Take-Two Interactive Software

History

2024: Dismissal of 5% of employees

On April 16, 2024, Take-Two Interactive Software, publisher of the Grand Theft Auto (GTA) franchise, announced a restructuring aimed at reducing costs and improving its financial situation. This process will reduce headcount by approximately 5%.

As of March 31, 2023, Take-Two, which owns Rockstar Games, 2K, Private Division and Ghost Story Games, had approximately 11,580 full-time employees. Thus, the layoffs will affect about 600 people. In addition, Take-Two will curtail a number of projects - which ones are not specified. The publisher will also give up some of the office space.

𝓲

Unsplash

Reduced workers will receive cash compensation and other due payments: Take-Two estimates the cost at about $35 million. Even up to $140 million will be the costs associated with the closure of unannounced products. The company estimates the total losses due to restructuring at $200 million. At the same time, it is noted that in the future, organizational changes will provide savings of up to $165 million per year. Major activities related to the reorganization are expected to be completed by December 31, 2024.

Take-Two has focused on developing the game Grand Theft Auto VI, which is supposed to be one of the highest-grossing media products in the history of the gaming industry. The release is scheduled for 2025 for the PlayStation 5 and Xbox Series X/S consoles. However, some network sources report that the release of the game may be delayed until 2026. In general, as they say, the gaming industry faced difficulties due to the formed macroeconomic situation. In addition, users began to spend less time playing games amid the easing of restrictions imposed during the peak of the COVID-19 pandemic. ^[1]

2022: $12.7 billion purchase of game developer Zynga

On January 10, 2022, the sale of Zynga to Take-Two Interactive, which, among other things, owns the rights to such a popular series of games as GTA, was officially announced. The transaction value was $12.7 billion. Read more here.

2020: Purchase of racing simulator developer Codemasters Group Holdings for $956m

In mid-November 2020, Take-Two Interactive Software, behind popular video games such as Grand Theft Auto and NBA 2K, decided to buy British racing simulator developer Codemasters Group Holdings for £726 million ($956 million). Read more here.

Notes