Take-Two Interactive, the parent company of GTA 6 developer Rockstar Games, is laying off 579 staff members ahead of the game’s release.

Layoffs are becoming all too common in the gaming industry, particularly in the last 12 months.

Over 10,000 industry jobs were lost in 2023, and this has been followed up by more than 8000 in the early months of 2024 alone.

Now, Take-Two Interactive is adding to the scoreboards as it announces layoffs for approximately 5% of its total workforce.

Take-Two Lays Off 579 Employees

In a new filing by GTA 6 publisher Take-Two Interactive, the company announced that it is laying off 579 employees—approximately 5% of its total workforce.

This announcement is accompanied by the confirmation that Take-Two is eliminating several projects currently in development. The company also aims to streamline its organizational structure, likely contributing to the number of employees let go.

Lucia in Prison Jumpsuit GTA 6 Trailer

According to a Bloomberg report, Take-Two will face losses of between $160-200 million as a result of the decision, with $120-140 million due to the cancelation of upcoming titles.

The company will also reportedly have to spend $25-$35 million on staff severance packages and employee-related costs, as well as up to $25 million on reducing office space.

These layoffs may come as a shock to employees, given that when Take-Two announced its newest Cost Reduction program back in February 2023, CEO Strauss Zelnick stated to IGN that the company had ‘no current plans’ to let staff go.

While Zelnick didn’t rule out layoffs as eventually being necessary, the Take-Two boss did confirm that its biggest expense was marketing.

“We also have third-party expenses, software, other vendors, supply services,” Zelnick stated. “And we always find opportunity there. The hardest thing to do is to lay off colleagues, and we have no current plans.”

Furthermore, these layoffs come not long after Take-Two Interactive acquired Borderlands developer Gearbox Entertainment for $460 million, a sum admittedly paid in company shares rather than cash.

Borderlands and Zynga Games

More notably, the company also completed a $12.7 billion merger with mobile developer Zynga back in 2022.

We’re having flashbacks to this year’s severe Microsoft layoffs, which came not long after the $68.7 billion acquisition of Activision Blizzard.

Will This Affect GTA 6?

Although we can’t confirm whether any members of the GTA 6 development team will be affected by the layoffs, we expect that Take-Two won’t be letting staff in that department go.

After all, the publisher is likely banking on Grand Theft Auto 6 being its biggest release ever, with GTA 5 still holding the record as the fastest-selling entertainment product of all time.

Lucia in Car With Money in GTA 6

And with rumors of GTA 6 being internally delayed swirling online, it’s unlikely that Take-Two Interactive will want to lose any staff members right now.

Furthermore, given that Take-Two has multiple major subsidiaries, including 2K, Dynamixyz, Private Division, Zynga, and more, there are plenty of other teams more likely to be affected by the layoffs at this point in time.

That said, Rockstar Games’ unpopular return to office mandate will almost certainly cause GTA 6’s development team to lose a few employees

Those who relocated after being given the chance to work remotely – or those hired to work from home in the first place – may not all stay with the company now that office work is mandatory.

Managing Editor
With almost a decade of experience in video game journalism, Max is a well-versed writer from Manchester, United Kingdom. His expertise shines in his comprehensive coverage of GTA 6, providing fans with the latest news and developments regarding the highly-anticipated sequel.
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