Take-Two lays off 'vast majority' of Private Division staff

As widespread job layoffs continue to impact the games industry, double-A publisher Private Division, and its various studios, have become the latest casualty to suffer from major job cuts.

Earlier in the week, it was already reported that indie studios Roll7 and Intercept Games, best known for the OlliOlli and Kerbal Space Program games, respectively, are set to close. Both studios are part of Private Division, which is owned by Take-Two Interactive.

Take-Two announced last month plans to cut 5% of its global staff, estimated to be around 580 people, by the end of the year – and it appears Private Division has borne the brunt of those cost-cutting measures.

According to GamesIndustry.biz, a source said the ‘vast majority’ of Private Division staff in Seattle, New York, Las Vegas and Munich have been let go. According to the label’s website, the publisher is also based in Singapore.

In response, Take-Two issued the same statement it released following the Roll7 and Intercept Games closures. The statement reads: ‘On April 16th, Take-Two announced a cost reduction program to identify efficiencies across its business and to enhance the company’s margin profile, while still investing for growth

‘As part of these efforts, the company is rationalising its pipeline and eliminating several projects in development and streamlining its organisational structure, which will eliminate headcount and reduce future hiring needs. The company is not providing additional details on this programme.’

Take-Two claimed the label will ‘continue to make updates to Kerbal Space Program 2’, but it’s unclear how this will happen without Intercept Games.

Private Division recently launched Moon Studios’ No Rest For The Wicked in early access, with Wētā Workshop’s Tales Of The Shire set to be released later this year.

While the exact amount of people affected by Take-Two’s layoffs so far is unclear, it’s unlikely to stop anytime soon – with the company’s two major publishing labels, Rockstar and 2K, also likely at risk.