In a tweet, and later an article, Bloomberg reporter Jason Schreier has confirmed Epic Games (Fortnite, Unreal Engine) is laying off 870 employees as well as separating itself from two previously purchased acquisitions. Here's all the details we know:

  • 870 people are being laid off (~16% of workforce)
  • Employees will receive six months of severance and health insurance, and accelerated stock vesting.
  • It is also selling music store website Bandcamp
  • It is spinning out SuperAwesome, a marketing company, to act independently.

In an e-mail to staff, Tim Sweeney, CEO of Epic Games, made known the following:

  • "For a while now, we've been spending way more money than we earn."
  • No more layoffs are planned, although Epic is still hiring at the moment.
  • Fortnite Creator profit margins are not as big as Fortnite was.

Quote From Jason Schreier

NEWS: Epic Games, the maker of Fortnite and Unreal Engine, is laying off a whopping 16% of employees (or around 900 people), sources tell Bloomberg News. More to come

This morning, rumors were flying as Epic disabled Slack for employees ahead of the news. Laid-off Epic employees will receive six months severance and health benefits. All-hands meeting happening shortly. Story being updated as I learn more: https://www.bloomberg.com/news/articles/2023-09-28/epic-games-is-cutting-about-900-jobs-or-16-of-staff

Epic is also divesting from two previous acquisitions, sources say. It is selling music site Bandcamp to the marketer Songtradr and spinning out marketing company SuperAwesome to operate independently.

MORE: Epic boss Tim Sweeney says in email to staff: - "For a while now, we've been spending way more money than we earn" - Fortnite Creator profit margins not as big as Fortnite was - 870 jobs eliminated, but Epic is still hiring - No more layoffs planned