Microsoft recently announced extensive layoffs and restructuring efforts, significantly impacting its Xbox division. This included the cancellation of several games, defunding of projects, and the dismissal of thousands of employees. This decision prompted widespread condemnation and an outpouring of sadness from the industry, including comments from Shaun Noguchi, the general manager of EA Japan.
Writing in his personal capacity on X, Noguchi expressed his deep disappointment regarding the latest wave of layoffs and project cancellations. He commented (originally in Japanese, translated by IGN) that the tendency among Western companies to prioritize short-term profits over long-term stability is detrimental to the game industry as a whole. He stated, “The game industry is supported by every single creator and staff member who diligently develops games on the ground,” adding, “As someone within the same industry, I feel profound pain concerning this decision.”
He later reiterated in English his belief that Microsoft`s choice to abandon projects that had been in development for many years was deeply regrettable. While companies often justify cancellations to cut losses and avoid the sunk-cost fallacy, Noguchi specifically voiced concern for the staff who would have no public outcome to show for their significant work. He argued, “This is just my personal opinion but if a game was in development for 7~10 years, canceling feels like the worst move. That`s a decade of work, potentially a quarter of someone`s entire career completely lost.” He concluded, “Even if the final product isn`t what people originally expected, I think it still deserves to ship. Something is better than nothing for both the team and for the players.”
Noguchi`s viewpoint may be influenced by Japan`s culture and legal framework, which emphasize corporate continuity and strong protections for workers. Japanese developers appear to have experienced considerably fewer contractions compared to their Western counterparts in recent years, and it is quite common for Japanese employees to remain with one employer throughout their career.
It`s worth noting that Noguchi`s own employer, the US-based corporation Electronic Arts (EA), has also been actively involved in laying off staff and canceling games over the past few years. For instance, EA canceled its Black Panther game and laid off employees at the end of May. This followed reports of EA canceling a Titanfall game and laying off 300 people back in April.