For the people that don’t want to read the article, this seems especially relevant:
But much has changed since 2022: Embracer, which owns Gearbox, bet the house on a $2 billion deal with a Saudi investment group that fell through in 2023. Ever since, its many, many properties have been hit by layoffs on a near-monthly basis.
Yep, Embracer bought a LOT of studios expecting this deal to work out, and then it didn’t, so many of those studios are now effectively as good as dead in the water or on their way there. It amazes me how so many people and companies always forget the basic financial idea of “don’t spend money you don’t have”.
For the people that don’t want to read the article, this seems especially relevant:
But much has changed since 2022: Embracer, which owns Gearbox, bet the house on a $2 billion deal with a Saudi investment group that fell through in 2023. Ever since, its many, many properties have been hit by layoffs on a near-monthly basis.
Another good reason why every company shouldn’t be bought by the same big companies over and over again.
Yep, Embracer bought a LOT of studios expecting this deal to work out, and then it didn’t, so many of those studios are now effectively as good as dead in the water or on their way there. It amazes me how so many people and companies always forget the basic financial idea of “don’t spend money you don’t have”.
Just straight up skipped a step in “Embrace, Extend, Extinguish”
Embracer overextends, extinguishes.