Video game giant’s layoffs hit 162 Bay Area workers
Activision Blizzard’s mass layoffs will affect 86 workers in Novato and 76 in Foster City, according to state filings.
The video game giant was purchased by Microsoft for $69 billion in October, in what was the biggest U.S. tech deal in history. Microsoft said two weeks ago it was cutting around 1,900 jobs — 9% of its gaming division workforce, which includes Activision Blizzard and Xbox — as Microsoft integrates its new acquisition with existing operations.
The layoffs in Novato at 4 Hamilton Landing match an address for gaming studio and “Skylanders” creator Toys for Bob, which was acquired by Activision in 2005. The facility will also be closing, according to a state filing.
The Foster City layoffs at 1001 E. Hillsdale Boulevard match the address for Activision subsidiary Sledgehammer Games, which worked on the popular “Call of Duty” franchise.
Insider Gaming reported last month that Sledgehammer is also closing its office, having workers temporarily go remote, and relocating to a smaller space.
The bulk of Activision Blizzard layoffs were in Southern California, including 479 in Irvine, where its Blizzard division is headquartered; 209 across two locations in Santa Monica, where Activision is headquartered; along with 49 in Woodland Hills in Los Angeles, according to state filings. All of the California layoffs commence on March 30.
The video game industry has been hit hard with layoffs, with cuts last year at San Francisco-based Unity, Redwood City-based Electronic Arts,“Fortnite” creator Epic Games and, this year, layoffs at “League of Legends” maker Riot Games.
Economists told the Chronicle that despite the layoffs, the broader Bay Area labor market remains strong, with unemployment at 3.5% in San Francisco in December.