Support NeoGAF

[MrTroubleMaker]

not good news

 

[jetjevons]

Me thinks Acti-Blizzard only want the IPs they can own and exploit as franchises. They can't own Ghostbusters, or Brutal Legend, or Riddick, or Scarface etc. They can own Prototype, Spyro, Crash, etc.

The other games they are probaly just dumping due to quality reasons.

Also sucks for Radical. :-(

 

[Fuu]

In 2007 the company hired almost 100 people...

I think this is an important detail.

I noticed that too. Looks like something didn't go right between last year and now concerning the hire of so many people.

Also means that the staff managed to get things done fine with half the recent number of people in the years before 2007.

 

[drohne]

actiblizzard is a fucking plague. the new ea and then some

 

[Azih]

Maybe New EA can hire some of these people and continue accumulating karma points.

 

[MikeHaggar]

I work for a small organization 2 hours south of them, and we are hiring. Any Radical members affected who're interested in a move, PM me.

wow, that's potentially great news for anyone at radical who has been affected by this and very cool of you.

 

[joesmokey]

Radical was founded in 2001 and bought by Vivendi in 2005 for an undisclosed price. In 2007 the company hired almost 100 people, only half of whom came from British Columbia. Twelve were from other provinces and the rest came from outside Canada. The hiring spree brought the number of employees to more than 200.

Great business planning there.

 

[Opiate]

I genuinely dont know what Activision are doing at this point. Canning games like Scarface and Ghostbusters, both with lucrative licenses attatched and potentially surefire retail hits in favour of dying mascot licenses like Crash and Spyro?

Short-sighted doesnt even cover it.

Activision has been, by quite a wide margin, the most profitable western third party for a couple of years now, and it doesn't appear that streak will end any time soon.

Sierra games (And their subsidiaries, including Radical and Massive Entertainment) has been bleeding money for years; it's difficult to tell how much money they've been bleeding, as WoW's massive profits have obscured losses in other divisions, but it's quite likely Sierra has been approaching at least 100 million dollars a year in losses.

Clearly we don't have a per-title analysis of what's doing well and what isn't, but Activision does, and again, they're the most profitable western third party in the world. Based on the above evidence, my guess is that you don't understand the industry well enough, and they do.

 

[Tiktaalik]

Great business planning there.

???

It's fine business plan if you're launching a large AAA new IP after years of making smaller scale games and building technology.

 

[beat]

Great business planning there.

Precisely how much advance warning do you think Radical had about the December merger?

 

[Weenerz]

So basically Activision is pulling an old EA move, destroying as many acquired companies as possible. Thank god they can't touch Blizzard.

 

[KHarvey16]

The reality is none of us understand the financial situation or have the relevant knowledge of the company's business to say much about this other than "good luck to everyone who was let go."

 

[NetMapel]

I think this is an important detail.

Interesting. Perhaps Free Radical hired a whole bunch of people for a rush job and is now laying them off after the project is done ? Sad sad news but there's always EA

 

[Warm Machine]

Radical was founded in 2001 and bought by Vivendi in 2005 for an undisclosed price.

BS. Radical Entertainment was actually founded around in 1992. I worked there from 96 to 98. Through slight of hand they became Radical.

 

[Opiate]

So basically Activision is pulling an old EA move, destroying as many acquired companies as possible. Thank god they can't touch Blizzard.

This is pretty different.

EA kept everyone on, but worked them in such a dogged and uninspiring way that they left or saw drastically reduced results. EA didn't fire many people: most people simply left.

Activision, on the other hand, is outright firing people.

 

[Crazymoogle]

Also means that the staff managed to get things done fine with half the recent number of people in the years before 2007.

The danger though is that when you fire wholesale like that, the remaining staff confidence is shaken enough that most studios tend to lose more staff - the folks they intended to keep - forcing a hiring drive in short order. It's a good beancounting move but for HR and studio stability, it's dicey.

 

[KHarvey16]

The danger though is that when you fire wholesale like that, the remaining staff confidence is shaken enough that most studios tend to lose more staff - the folks they intended to keep - forcing a hiring drive in short order. It's a good beancounting move but for HR and studio stability, it's dicey.

Any idea if they fired the same people they hired in 07? That might help mitigate any morale problems on staff if that were the case.

 

[Acosta]

Sorry to hear. This merger is an absolute mess, it shows a very poor sensibility and lack of attention for their own people.

 

[Crazymoogle]

Any idea if they fired the same people they hired in 07? That might help mitigate any morale problems on staff if that were the case.

I'm betting it was project based. Not that I've ever worked there, but Prototype is obviously the studio darling, so to speak, so staff related to that would be retained along with a certain amount of management decision on talent keeping. From what I've heard over the years, when these corporate edicts come down the studio, the studio literally gets a number and a salary area to hit (sort of like setting up a pro sports team, you have X roster spots and a salary cap), and it's up to management to decide who to keep.

 

[skynet]

I work for a small organization 2 hours south of them, and we are hiring. Any Radical members affected who're interested in a move, PM me.

So small they get you to do Human Resources as well?

 

[Phife Dawg]

I think this is an important detail.

Just like this:

Activision Blizzard is committed to making the best games possible and has elected at this time to reduce the number of titles that Radical is developing from four games to two. Therefore, we will be proportionately reducing the size of our studio.

I noticed that too. Looks like something didn't go right between last year and now concerning the hire of so many people.

Also means that the staff managed to get things done fine with half the recent number of people in the years before 2007.

They hired these people because there were projects they were working on, with these projects being canned (or more generally half of the projects Radical was working on being canned), they got to leave (see above).

 

[Jonnyboy117]

I hope the people who are laid off get hired by Sega to make the next Hulk game.

 

[AlexM]

jeez, and I was just about to consider quitting my job and getting into the games industry..

thank god for this thread

 

[ZealousD]

I don't even see how this works from a business perspective. Radical has a track record of making both critically and commercially successful games.

 

[Farnack]

They're just reducing the number of games they are making from 4 to 2, so Prototype might be safe.

It's sad to see Activision getting a money printer Blizzard and yet cutting a shit load of projects. I believe that one of those games definitely is Scarface.

 

[Fuu]

They hired these people because there were projects they were working on, with these projects being canned (or more generally half of the projects Radical was working on being canned), they got to leave (see above).

Well, projects being canned are also a sign that things didn't go exactly as planned, wouldn't you say? It's the sort of thing I was referring to, we just don't know the details.

 

[Tiktaalik]

jeez, and I was just about to consider quitting my job and getting into the games industry..

thank god for this thread

On the whole the video game industry is quite healthy. I wouldn't let this dissuade you, since this incident is based on two huge companies merging, and not some industry wide downtrend.

 

[snatches]

So small they get you to do Human Resources as well?

Redmond is 2 hours south of Vancouver =P

 

[Ravidrath]

Actiblivion strikes again.

Just found out a friend of mine is likely being laid off from there, too... the day he posts the sonogram of his forthcoming baby online. :\

Look at it this way: if those people are talented, they'll get jobs elsewhere or start their own studio, free of Actiblivion. I know my friend will.

 

[Farnack]

On the whole the video game industry is quite healthy. I wouldn't let this dissuade you, since this incident is based on two huge companies merging, and not some industry wide downtrend.

Yeah, and Vancouver is the fastest growing city for this industry.

 

[krzyspc]

Holy shit...

I live in Vancouver, I doubt I know any of them.

 

[skynet]

Redmond is 2 hours south of Vancouver =P

Really? Aren't Microsoft are based in Redmond?

Spoiler

 

[hc2]

I'll bet this is more of a consolidation issue than anything. Probably some people in another office just got more work to do. Also, financing for new projects is a bit harder to obtain these days, like in the rest of the business world.
I would not like to be the one let go, but maybe someone got to keep their jobs because of the layoff.

 

[Farnack]

Redmond is 2 hours south of Vancouver =P

You mean it takes 2 hours to get through customs. :lol

You have to be illegally fast to get to Redmond in 2 hours. Takes me an hour or so to get to White Rock.

 

[Tiktaalik]

I heard there is a Microsoft exec that lives in Point Grey, Vancouver, and he commutes to Redmond via plane to Boeing airfield. :lol

 

[sangreal]

I heard there is a Microsoft exec that lives in Point Grey, Vancouver, and he commutes to Redmond via plane to Boeing airfield. :lol

Are you talking about Don Mattrick? I'm pretty sure he lives in Point Grey, Vancouver.

 

[Farnack]

Microsoft is going to be building a studio in Vancouver.

Mayhaps that will save him the commute cost.

 

[Tiktaalik]

Are you talking about Don Mattrick? I'm pretty sure he lives in Point Grey, Vancouver.

Maybe.. This was just someone talking. I don't even know if it's really true. It's more of a funny chain letter type story. I'm just passing along the rumour. :lol

 

[beat]

Microsoft is going to be building a studio in Vancouver.

A game studio, though? I thought it was going to be a general software shop.

 

[FieryBalrog]

We don't really know any details other than to say "Good luck."

 

[Hero]

Sorry to hear for those at Radical.

This generation is going to eliminate a lot of developers and publishers, it seems.

 

[RiZ III]

Activision has really been fucking things up recently.

 

[Firestorm]

So I guess -1 company that I should be looking at for a potential co-op position next summer.

Poor Radical, used to be one of the top 10 companies in Canada or something before Activision took over =(

 

[Kevtones]

That sucks, they're a good dev. I'm also bummed about High Moon Studios because I found the Bourne game to be very entertaining.

 

[Snaku]

This is Activision Blizzard, dude!

 

[NZNova]

Mergers and corporate consolidation are great for innovation and risk-taking.

 

[ram]

since activision axed SCARFACE 2 - it no wonder, that they axed also a lot of people... thats the business - actision is the new ea.

 

[Phife Dawg]

Well, projects being canned are also a sign that things didn't go exactly as planned, wouldn't you say? It's the sort of thing I was referring to, we just don't know the details.

At the time of the merger, Activision Blizzard CEO Bobby Kotick told a Variety reporter that if projects didn't meet the company's requirements for return to shareholders and profitability they wouldn't be retained.

They evaluated the projects and deemed them not worthy to hold on to/publish. Just like other projects, for instance that Ghosbusters game.

It was going as Radical planned I'd guess since it's not long ago that they hired these people for the projects, it's just that Activision Blizzard had a different take on two of the projects.

On the whole the video game industry is quite healthy. I wouldn't let this dissuade you, since this incident is based on two huge companies merging, and not some industry wide downtrend.

Depends on your definition really, Sega, EA, THQ, MS' game department, Midway, Namco Bandai's game department all posted losses last quarter. Then there's smaller studios shutting down.

 

[Snaku]

since activision axed SCARFACE 2 - it no wonder, that they axed also a lot of people... thats the business - actision is the new ea.

Seems like they're axing anything not including the following keyword(s) in their title: tony, hawk, war, hero, craft, guitar, star, diablo, 2, 3, etc.

 

[MassiveAttack]

Unfortunate. I think Radical is a good little dev house.

Not quite little. They have over 200 staff.