In a recent announcement, Amazon revealed a significant shake-up in its gaming division, including the cessation of its Crown channel on Twitch and the elimination of over 180 jobs. The restructuring, detailed in a memo from VP of Amazon Games Christoph Hartmann, is part of a broader effort to reallocate resources towards delivering high-quality games and responding to customer preferences.
The Restructuring Details
According to Hartmann's memo, Amazon is set to shut down its Crown channel, a Twitch streaming service. Simultaneously, the Game Growth initiative, aimed at assisting game developers in marketing their products, will also be closed. Furthermore, the company will be "refocusing" its approach to the free games offered through Prime Gaming, aligning with customer feedback that emphasizes the desire for monthly free game offerings.
Hartmann acknowledged the challenging nature of the decision, expressing pride in the teams' efforts to explore new areas with weekly content on Crown Channel and assist publishers in reaching broader audiences with Game Growth. However, after a thorough evaluation of the business, it became apparent that resources needed to be directed more specifically to deliver exceptional games both now and in the future.
Changes in Prime Gaming
The memo emphasized Amazon's commitment to its Prime Gaming subscribers and the importance of delivering what customers want most – free games every month. While specific details about the changes to Prime Gaming were not disclosed, the memo assured subscribers that the benefits would be refined to increase focus on delivering a compelling gaming experience.
Previous Layoffs and Ongoing Initiatives
This move follows the layoffs announced earlier in the year, affecting over 100 staffers in Amazon's games organization. The layoffs impacted various departments, including Prime Gaming, Game Growth, and the San Diego studio. Amazon, despite these changes, continues to manage a range of gaming initiatives, including the operation of MMO New World and the publication of Lost Ark. The company also has plans to publish games like Blue Protocol and the next Tomb Raider installment while working on a new Lord of the Rings MMO.
Assurances and Forward-Looking Statements
Hartmann, in his memo, reassured employees about the company's future, citing confidence in the development and publication of high-potential games. He highlighted the growth of studio teams, ongoing recruitment efforts, and a promising roadmap that includes upcoming launches like Throne and Liberty and Blue Protocol. The memo also mentioned future projects such as Tomb Raider and The Lord of the Rings games, as well as collaborations with Glowmade and Disruptive Games.
Conclusion
As Amazon shifts its focus within the gaming industry, the decision to discontinue the Crown channel and make changes to Prime Gaming reflects a strategic move to prioritize the delivery of high-quality games. While these changes come with the regrettable elimination of jobs, Amazon remains committed to its vision of becoming a leading developer and publisher of top-tier gaming content. The company's ongoing projects and future launches signal a continued dedication to the gaming community, even as it navigates the challenges of internal restructuring.
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