Riot Games Cuts 11% of Workforce in Layoffs, Shifts Focus on High-Impact Projects

The League of Legends studio Riot Games has laid off 530 employees and announced the closure of Riot Forge, its program for developing singleplayer League of Legends games with external studios. These actions are part of Riot’s plan to refocus on fewer, high-impact projects and move towards a more sustainable future. The layoffs represent approximately 11% of Riot’s total workforce. Riot CEO Dylan Jadeja explained in an email to employees that the company had made numerous big bets over the past few years as it expanded its business, but some of those bets were not paying off as expected. Jadeja emphasized that the layoffs were necessary for the company’s continued success and were not done to appease shareholders or meet quarterly earnings targets. Riot will also be making significant internal changes, including reducing the development team of the card game Legends of Runeterra and shifting the ongoing development focus to the Path of Champions PvE mode. The company’s new strategy aims to integrate esports, music, and entertainment more closely with its games. Riot has publicly shared its severance plan for affected employees, which includes a minimum of six months of severance pay, bonuses based on 2023 annual performance, and various other benefits. This move by Riot comes amidst an industry-wide trend of layoffs, with several other game companies also announcing job cuts recently. The layoffs at Riot highlight the challenges faced by creative companies in balancing growth and sustainability. As the gaming industry continues to evolve, it remains to be seen how Riot’s refocused approach will impact its future projects and success.