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Update, Oct. 28, 2025 at 5:57 p.m. ET — Amazon Games shared that New World’s newest content material replace shall be its final, and that the group’s intention is that the sport’s servers will stay on-line via 2026.
Original story:
Cuts throughout the gaming business proceed to unfold as large tech shifts. The newest firm to see main job cuts is Amazon, with the company confirming on Tuesday that it’s shedding 14,000 workers.
An unknown portion of those job cuts is falling on the corporate’s gaming division, with Bloomberg reporting that the cuts are primarily happening at Amazon Games’ Irvine and San Diego studios, in addition to the publishing division.
In an announcement reviewed by Bloomberg, Steve Boom, vice chairman of audio, Twitch, and video games, says that the corporate is “leaning into the issues that Amazon does greatest,” while pulling back much of its internal game development, especially for larger MMO (massively multiplayer online) titles.
Why are the layoffs happening? Broadly, Amazon claims it is focusing on a leaner structure and accomplishing more through the use of generative AI.
“Some could ask why we’re decreasing roles when the corporate is performing properly. Across our companies, we’re delivering nice buyer experiences daily, innovating at a speedy price, and producing sturdy enterprise outcomes. What we have to bear in mind is that the world is altering shortly,” says Beth Galetti, senior vice president of people experience and technology at Amazon.
“This era of AI is probably the most transformative know-how we’ve seen for the reason that Internet, and it is enabling firms to innovate a lot sooner than ever earlier than (in present market segments and altogether new ones). We’re satisfied that we must be organized extra leanly, with fewer layers and extra possession, to maneuver as shortly as attainable for our clients and enterprise.”
Where does this depart Amazon Games?
Amazon Games has had a long road up until now, with some projects not coming to fruition while the company slowly acquired or opened new studios.
Infamously, Amazon Games launched a hero shooter called Crucible, with a poor reception leading to the game being taken back into beta before being cancelled outright.
In 2021, Amazon found some success with New World, an internally developed MMORPG that saw huge player counts at launch. The company also published Lost Ark in 2023, another MMORPG that was developed by Smilegate.
Amazon also recently published a party game called King of Meat, which tasks groups of players with going through dungeons in co-op together.
At this time, it’s not clear where this leaves several upcoming projects from Amazon Games. Notably, the company’s Orange County studio was leading development on an MMO set in the world of The Lord of the Rings after reaching a deal with Embracer Group.
Amazon Games also signed a publishing deal with Maverick Games for the team’s upcoming debut racing title, while Amazon Games is also publishing the next Tomb Raider game from developer Crystal Dynamics. Neither of these titles have a release date right now.
Given the scale of the layoffs, it’s not clear exactly what will happen in the near future, but it seems unlikely the company will be expanding with numerous large-scale projects, internally or externally.
Is Amazon Games cancelling any upcoming projects as part of these layoffs?
It’s currently unclear if any of Amazon’s upcoming games have been cancelled because of the job cuts.
What is Maverick Games?
Maverick Games is an independent studio founded by former Playground Games staff. Maverick Games is currently working on an open world racing title.
Will the Amazon Games layoffs affect New World?
Yes, New World is not receiving any further content updates. The game’s servers will stay online through at least 2026.
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