Amazon as part of its ongoing layoffs has laid off over 100 employees across its gaming divisions that include Prime Gaming, Game Growth and the company's San Diego studio.
The company is now reassigning workers to projects that fit its "strategic focus", according to a report in Engadget.
The report also said, "Laid off employees are already being notified, and will get severance pay, health benefits and paid time to find new jobs."
In an internal memo, the company said the cuts come after Amazon weighed its ongoing projects against its "long-term goals". According to a report by Bloomberg, Games Vice President Christoph Hartmann in the memo said, "Our resources will be aligned to support our focus on content." He also added, "Going forward, we will continue to invest in our internal development efforts and our teams will continue to grow as our projects progress."
Amazon is only offering the 'New World' game at the moment and its move to popularise a free-to-play shooter game called 'Crucible' was shut down after just a few months.
The company has been struggling to capitalise on the resources in the segment, including through its Crown channel, which is an entertainment show on the Twitch streaming service.
The company has only released one internally developed game called 'New World' an online role-playing game, that suffered a steep decline in its player base post the launch in September 2021. The company was however successful in publishing the South Korean online role-playing game Lost Ark. According to Bloomberg's report Hartmann said the company would focus on growing its third-party publishing efforts, which includes a recent agreement with NCSoft Corp.
In March, the company had announced plans to lay off another 9,000 employees in Amazon Web Services (AWS), Twitch, advertising, and HR.
In a memo, Amazon CEO Andy Jassy said that as the company concluded the second phase of its operating plan. "I'm writing to share that we intend to eliminate about 9,000 more positions in the next few weeks, mostly in AWS, PXT, Advertising, and Twitch."
Amazon initially eliminated 18,000 positions in January and as "we completed the second phase of our planning this month, it led us to these additional 9,000 role reductions".
With inputs from IANS
(To receive our E-paper on WhatsApp daily, please click here. To receive it on Telegram, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)