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Activision Layoffs Radical, Luxoflux & Neversoft

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Gamasutra -

 

Layoffs have apparently hit Activision studios today -- over 50 percent of the staff at Prototype creator Radical Entertainment has been let go, Guitar Hero developer Neversoft has seen an unspecified number of staff cuts, and licensed game studio Luxoflux is to close, our sources claim.

 

Gamasutra sources confirm reports at consumer weblog Kotaku that some 90 employees have been let go at Radical.

 

Twitter feeds purportedly from former employees confirm information from our sources suggesting Neversoft -- currently finishing Guitar Hero 6 -- is also affected, and Gamasutra sources also claim LA-area studio Luxoflux will close as part of the layoffs.

 

[uPDATE: Separate reports from multiple sources also confirm layoffs and claim potential closure at Bay Area-based Activision studio Underground Development, latterly the developer of titles such as Guitar Hero: Van Halen.]

 

Activision announced yesterday that sales for its third quarter fell 5 percent year over year to $1.56 billion, with losses widening to $286 million thanks to a soft casual market and the rapid decline of the music genre.

 

As to the latter, analysts say category sales fell 26 percent last year, and Activision says it plans far fewer music SKUs than in recent years.

 

Prototype, Vancouver-based Radical's most recent release, launched in June 2009 to strong critical reception and sales performance. It was acquired by Vivendi in 2005, and became one of Activision's studios when the publishers merged in 2007.

 

As for Neversoft, it's been owned by Activision for more than a decade. The studio is best known for producing Tony Hawk games -- however, the most recent Tony Hawk title, dubiously-received Ride, was developed by Robomodo. Neversoft has also developed major installments in the Guitar Hero franchise.

 

Updated:

 

Vicarious Visions Takes Over Guitar Hero Series.

 

Well, after Activision confirmed the reports of all the layoffs, news came out that Guitar Hero 6 would be the final Guitar Hero game developed by Neversoft. Instead, future Guitar Hero titles would be developed by Vicarious Visions, who is also known as the company that has been developing the Wii and Playstation 2 Guitar Hero games for the past few years.

Neversoft has developed every Guitar Hero game since 2007's enormous hit, Guitar Hero III: Legends of Rock. Vicarious Visions has been criticized in the past for their handling of the Wii and PS2 versions, but many defend the company, claiming the two consoles they developed for did not have the hardware or the resources of the Playstation 3 or Xbox 360. It appears as though we'll see just how Vicarious Visions can handle the spotlight come 2011.

 

Activision makes alot money but still get rid of developers and companies?

 

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They've obviously realised they can still churn out Guitar Hero without Neversoft. Also Tony Hawks isn't what it used to be. Yes they make a shit ton of money but doesn't mean they are obliged to keep afloat what they see as deadwood. Neversoft are a big company and if they think they can still make GH using just Vicarious Visions then fair enough remains to be seen whether they can take the series forward.

 

As for Luxoflux the only game of theirs I remember liking was Vigilante 8 and that was bloody ages ago.

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Well it's a shame that they don't do what they really could and should do...

 

Take the talent from the studios and restructure or re-facilitate the staff into existing studios.

 

Most of the trouble at these studios and failures are the fault of 1% of the staff, not the talent.

 

Ah well...

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Well it's a shame that they don't do what they really could and should do...

 

Take the talent from the studios and restructure or re-facilitate the staff into existing studios.

 

Most of the trouble at these studios and failures are the fault of 1% of the staff, not the talent.

Ah well...

 

That is very true and that 1% are usually the corporate tossers brought in who are brought in when companies buy studios out.

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The people at Harmonix must be laughing all the way to the bank, they might not have the brand of Guitar Hero but they appear to be in a much steadier ship.

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Also aren't their rumours that Greenday Rock Band might be the last RB game EA want from Harmonix?!

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Harmonix aren't because Viacom wants $150 million dollars from them.

 

Is it not shareholders who have to return the money? Click.

 

Also aren't their rumours that Greenday Rock Band might be the last RB game EA want from Harmonix?!

 

Didn't they already make Lego Rock Band without EA? They've pretty much hinted that RB3 is coming, but who knows whether EA wants a slice of the cake.

 

Either way, I'd be much happier at a studio thats not in the hands of Activision.

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