In late October, it became known that AppLovin and its subsidiary gaming studio Machine Zone had laid off part of their staff. At that time, the number of employees who lost their jobs was not disclosed, but the portal SFGATE uncovered these figures in a statement submitted last week by AppLovin to the California state authorities.
Game of War
The document states that over the past 90 days, AppLovin has laid off 120 people, with 11 of them being definitively let go only on Friday, November 15. Among all the laid-off employees were three vice presidents and nine directors. From AppLovin's subsidiaries, the layoffs affected not only Machine Zone but also the publisher Lion Studios along with the CTV platform Wurl.
SFGATE also noted in another similar statement by AppLovin that the company conducted significant layoffs in August, when it parted ways with 61 employees.
The reason for the recent layoffs remains unknown. Previously, rumors arose online that the reductions in gaming teams might be connected to the cancellation of a certain game in the R&D phase, the closure of Final Fantasy XV: War For Eos, and a decline in revenue from the games Game of War and Mobile Strike. There were also speculations that AppLovin attempted to sell the last two titles but was unsuccessful. AppLovin itself has not commented on these reports.
It is worth noting that otherwise, AppLovin is doing well. In the financial report for the third quarter of 2024, the company reported a revenue increase of 39% to $1.2 million and a net income increase of 300% to $434 million. Additionally, since the beginning of the year, the value of AppLovin's stock has soared 728.24% to $321.19 per share.