Embracer CEO Says He Deserves Criticism After Mass Layoffs And Game Cancellations
The video game industry has been beset with layoffs and canceled projects in 2024, and one company in particular, Embracer, has received a wave of criticism for laying off staff, closing studios, and cancelling games after a huge hiring spree and growth period years earlier.
Embracer CEO Lars Wingefors said in a new interview that, as the CEO, he deserves criticism. But he says there is a job to be done, and he’s plodding ahead to try to “always maximize shareholder value in any given situation.”
“It’s been painful,” he told GI.biz. “But I still believe in what we do, I believe in my teams and the vision we set out. I also believe the public markets, if we do it right, are a fantastic place to finance your business and tap into both investors and the debt market.
“But you need to execute well. If you do, it could be a fantastic platform to enable growth and to really have a competitive edge.”
In February this year, Embracer disclosed that it canceled 29 unannounced games and laid off nearly 1,400 people in the previous six months as part of its previously announced restructuring effort.
Embracer made these drastic cuts in part due to a major deal falling through at the 11th hour, which has subsequently been revealed to be a pact with Saudi Arabia’s Savvy Games. Embracer previously took $1 billion from Saudi Arabia and defended that decision when people criticized Saudi Arabia’s position on human rights.
Wingefors said that as the leader of Embracer, he needs to “take the blame” and “be humble” about mistakes made.
“I’m sure I deserve a lot of criticism, but I don’t think my team or companies deserve all the criticism. I could take a lot of that blame myself. But ultimately I need to believe in the mission we set out and that is still valid, and we are now enabling that by doing this [new] structure,” he said.
The new structure Wingefors is referring to is Embracer’s decision to split the company into three divisions in an effort to become more profitable.
Wingefors also touched on why Embracer bought so many studios and staffed up so substantially years ago. The COVID pandemic led to a surge in revenue and potential opportunities for companies, and Wingefors said “everyone” was behind his decision to ramp up so significantly at the time. However, the reality today is “different and it’s painful and we need to adapt to it,” he said.
Some of the most high-profile moves from Embracer included the reported cancellation of a Deus Ex game and the closures of Saints Row studio Volition and TimeSplitters developer Free Radical. Embracer has also cut jobs at subsidiaries like Crystal Dynamics and Beamdog, among others. The company sold Gearbox to Take-Two for $460 million.
The video game industry layoffs are not limited to Embracer and its studios, as Microsoft cut 1,900 positions from its gaming team and League of Legends developer Riot also cut hundreds of positions, representing just a small number of gaming cuts so far in 2024.
For more, check out GameSpot’s deep-dive feature on video game industry layoffs.
You’ve Never Seen Weird Al Like This: UHF Finally Comes To 4K Blu-ray
The 1989 cult comedy classic UHF, starring a young Wierd Al Yankovic, is finally getting the 4K Blu-ray treatment this summer to coincide with its 35th anniversary. The new release will include plenty of special features to enjoy along with the new 4K remastering. UHF’s 4K Blu-ray version drops on July 2, but you can preorder your copy now at Amazon.
$40
This 4K Blu-ray release includes both 4K and standard Blu-ray discs, with both discs featuring a completely new scan of the film from the original negative. Otherwise, the special features have largely been re-used from the previous home video releases: the audio commentary with Weird Al and the director, video from a retrospective panel at Comic-Con 2014, deleted scenes, Easter eggs and more.
$28
If you enjoyed UHF, you’ll almost certainly have a similarly good time with Weird: The Al Yankovich story, which stars Daniel Radcliffe in a completely made-up version of Weird Al’s life story. This release includes special features like an audio commentary from Weird Al and director Eric Appel, deleted and alternate scenes, featurettes, and video interviews with the cast.
This flick is currently a Walmart exclusive, though it’ll be available at Amazon and other retailers on July 2 for $40.
In UHF, Weird Al Yankovich plays the manager of a struggling local TV station, Channel 62, who manages to juice the ratings by putting on a bunch of random weird and stupid shows. When this tactic works spectacularly, a bigger rival station takes notice and then tries to take over Channel 62, leading to all sorts of fun hijinks. The movie has maintained a cult following in the 35 years since its release and is also notable as Yankovic’s first–and only–leading role in a movie.
A bunch of other cult flicks is getting 4K Blu-ray releases soon, including the American live-action version of the tokusatsu classic The Guyver and the often-overlooked RoboCop 2. Meanwhile, fans of irreverent comedies can preorder the upcoming 4K versions of The South Park Movie and Team America: World Police.
