Confirmed: SEGA Studios Australia Makes 37 Of Its Staff Redundant

Confirmed: SEGA Studios Australia Makes 37 Of Its Staff Redundant

We’ve just had confirmation that SEGA Studios Australia has undergone restructuring in order to focus on “the digital marketplace”, leaving 37 of its 80 staff members redundant.

An direct email from the SEGA Studios Australia stated the following…

As SEGA Studios Australia nears completion of London 2012™ – The Official Video Game of the Olympic Games, it is essential to look to the future and take steps to ensure long-term growth and success. The rise of digital gaming provides an opportunity to align the studio with a rapidly growing market at a time when the games industry is undergoing a significant transition. To this end, we can confirm that SSA has signed a multi-product deal focussing across the digital marketplace. We have commenced development on these titles and will announce more details in the near future.

As part of this focus on digital avenues, there is a requirement to re-structure the studio resources accordingly and regrettably, we are announcing the loss of 37 staff. The decision to downsize was not taken lightly but this strategic re-structure will ensure we have a more effective and agile team that will enable us to quickly adapt to consumer needs and deliver strong content across multiple digital platforms. We thank those team members affected for their contributions and wish them well in their future endeavours. We are very confident that their efforts on London 2012™ will help us deliver the highest quality official Olympic video game to date.

Good luck to everyone who lost their job today.


    • Yeah they used to be Sega Creative Assembly (I think they’ve had several name changes actually). They developed Stormrise and the Total War games.

      • Not sure its entirely accurate to say the Brisbane studio developed Total War games. Just according to Wikipedia, the UK branch would have done Total War, while the Brisbane studio handled things like porting Sonic games to the Sega Collection.

        • Well they did at least contribute to the Total War games.

          They did Stormrise themselves though if I’m not mistaken.

          • Hey there, just to let you know the Brisbane studio made Medieval II Totar war and the kingdoms expansion. The UK had very little involvement at all. Wikipedia has it wrong in this case. The Brisbane studio created all the content and gameplay and developed the engine from the existing Rome engine. The talent at the studio was quite impressive and the game was a huge success. The UK creative assembly just had all the interviews and no development ;]

        • Porting sonic games to the sega collection? The mega drive games? Does that just mean giving an emulator and a handful of roms a pretty GUI menu? That sounds like the easiest developer job in the world.

  • Sigh. These guys were really the only ones that had survived unscathed, and now they too have been hit. It’s good that half the employees are still there and it seems they have projects signed and ready to go, but that wouldn’t make those 37 that lost their jobs any happier.


    • The mistake you are making is you believe management in a studio like this actually care about the employees. They imported and replaced 99% of management and lead positions with UK staff. The CEO forced people to take pay cuts and threatened their jobs with UK replacement if they didn’t accept. All the contractors have been let go, so I’m guessing they are additional to this number. Employees in there don’t even know if they still have a job, as they haven’t been told yet who is going. Yes I worked there and left.

  • “SSA has signed a multi-product deal focussing across the digital marketplace”

    So is that code for “we’re just going to be making iphone / android / portable handheld games”?

  • Is it just me, or does Australia have no Video Game Industry left?

    So what are all the young budding programmers in this country going to look forward to now?

    I bet they really don’t want to make iphone games for the rest of their career.

    • I believe otherwise, However I will be the first to admit our industry is in a transitional phase. Events like GameJam show that we’re big or will soon be but our current future potential is still young.

      It may take a few years and a couple of indie/mobile market but another AAA hit from Australia is inevitable.

    • As SoulSilver said, if GameJam alone is any indication there are hundreds of keen developers around Australia (actually looking at a much higher number).

      For every studio with lay offs, I can name 2 up and coming developers. And though there might be a hit or two, slowly but steadily the Australian developers will rebuild themselves without international reliance.

      We’ll have AAA games made in Australia again, but we are definitely in a transition phase.

      I personally hope all the budding programmers are looking forward to being an awesome creative unrestricted indie.

  • LoLz… This is exactly why I got out of the Australian industry and have very little intention of coming back; this sort of insecurity is no way to live.

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