Picsum ID: 381
Amazon’s Gaming Division Undergoes Major Restructuring
In a significant shift, Amazon is scaling back its efforts in the Massively Multiplayer Online (MMO) game space. This strategic pivot involves halting a substantial portion of first-party AAA MMO development and implementing role reductions within Amazon Game Studios, specifically in Irvine and San Diego, as well as its central publishing team. The announcement, shared with The Verge, comes from Steve Boom, VP of audio, Twitch, and games.
MMOs on the Chopping Block
Amazon’s current MMO lineup includes titles like New World: Aeternum, Throne and Liberty, and Lost Ark, which had a promising start in 2022. The company had also planned a Lord of the Rings MMO in partnership with Embracer Group. However, the company is now moving away from this genre. In a further blow, Amazon canceled the planned western release of Blue Protocol, an MMO developed by Bandai Namco, which was later shuttered in Japan in January.
A Focus on Casual and AI-Focused Games
While the company is pulling back from MMOs, Amazon isn’t abandoning game development entirely. Boom highlighted the revamped Luna platform and its Studio 5 team, which developed Courtroom Chaos: Starring Snoop Dogg for the cloud gaming service. Studio 5 will now concentrate on more casual and AI-focused games, optimized for Luna. This move aligns with Amazon’s strategy to deliver value for Prime members through streaming entertainment, as Luna offers a catalog of social party games and AAA blockbusters.
Ongoing Projects and Partnerships
Despite the changes, Amazon continues to be involved in several other projects. Its Montreal studio recently concluded a successful closed alpha for March of Giants. Furthermore, Amazon is collaborating with Crystal Dynamics on a new Tomb Raider game, and with Maverick Games on an upcoming open-world driving game. These partnerships suggest a continued commitment to game development, albeit with a refined focus.
The strategic changes are a response to the evolving dynamics of the games industry and competitive landscape. Amazon aims to deliver the best gaming experiences while leveraging its strengths. The layoffs are difficult, but necessary for the company to move forward. The transition is expected to be handled with care, with impacted employees being notified and supported throughout the process.
Source: The Verge
About the Author
