"“They are talented individuals who have been part of our success and we are grateful for their contributions,” wrote President and CEO of Sony Interactive Entertainment, Jim Ryan, as quoted from CNN, Wednesday, February 28, 2024. "However, the gaming industry has changed and we must prepare ourselves for future challenges," added Jim."

Specifically, the video game industry has been facing a reduction in employees since 2023 until now, with Epic Games laying off 830 of its employees in September 2023 and Riot Games, owned by Tencent, also laying off 11% of its employees last January. Like CEOs in other companies, Ryan outlined his plans in an email sent to his subordinates.

"We need to take a step back for a moment, look at our business holistically, and move forward together by considering the long-term sustainability of the company and delivering the best for our entire community," Sony Group Corporation (SONY) shares are known to have fallen less than 1% after the announcement on Tuesday."