Sumo Group to Lay Off Up to 15% of Workforce

Sumo Group to Lay Off Up to 15% of Workforce


Sumo Group, a prominent holding company in the gaming industry, has announced a significant reduction in its workforce, with up to 15% of employees set to leave the company. This move is a response to ongoing challenges faced by the gaming sector.

In its official statement, Sumo Group emphasized that these layoffs are a necessary measure to ensure the company's long-term sustainability amidst the current industry difficulties:

While Sumo has managed to navigate many of the challenges the gaming industry has faced, we are not completely immune. To secure the long-term health of our business, we must adjust our operations to prepare for the challenges ahead in the coming months.

The decision to reduce costs across various areas of the company inevitably includes a reduction in the number of employees. Sumo Group is committed to exploring every possible way to mitigate the impact on its workforce, but up to 15% of employees in Canada, the United Kingdom, Poland, the Czech Republic, and India will be affected by this transformation process.

Sumo Group is well-known for its subsidiary Sumo Digital, which has developed notable games such as the platformer "Sackboy: A Big Adventure" and the racing game "Team Sonic Racing." Another division of the holding, Secret Mode, is set to release the horror game "Still Wakes the Deep" by The Chinese Room on June 18.

The gaming industry continues to face a variety of challenges, including increased production costs, market competition, and changing consumer preferences. Sumo Group's proactive measures aim to position the company better for future resilience and growth, despite the immediate impacts on its workforce.

This strategic decision underscores the complex and often difficult choices that gaming companies must make to adapt and thrive in a dynamic industry landscape.