Amazon is once again making significant cuts to its gaming division, this time axing over 180 jobs in two separate initiatives. The company is shuttering its Crown Channel and Game Growth programs, citing a need to “focus our resources and efforts to deliver great games to players now and in the future.”
This marks the second time in 2023 that Amazon has made major layoffs in its gaming business. Back in April, the company slashed over 100 positions, and these latest cuts bring the total number of gaming-related layoffs this year to nearly 300.
The decision to shutter Crown Channel and Game Growth is a clear indication that Amazon is scaling back its ambitions in the gaming space. Crown Channel was a weekly livestreaming program that aimed to promote Amazon’s gaming offerings, while Game Growth focused on helping publishers reach new audiences.
Amazon is now refocusing its efforts on Prime Gaming, its subscription service that provides free games to Prime members. The company says it will be “increasing our focus” on Prime Gaming, suggesting that it may be putting more resources into the service in the future.
These layoffs are another sign of the challenges facing the gaming industry. The industry is facing a number of headwinds, including rising development costs, increased competition, and a slowdown in consumer spending.
The impact of these layoffs will be felt throughout Amazon’s gaming division. The company’s internal development studios and publishing arm will also be affected, as the company seeks to “focus our resources and efforts” on specific projects.
Amazon remains committed to its gaming ambitions, but it is clear that the company is taking a more cautious approach. The company is focusing its resources on Prime Gaming and upcoming projects like “Throne and Liberty” and “Blue Protocol,” while scaling back its experimental initiatives.
It remains to be seen whether this new approach will be successful, but it is clear that Amazon is facing an uphill battle in the competitive gaming industry.