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More Valve Layoffs

Gamasutra expands upon the story of Valve's firing of engineer Jeri Ellsworth with the report that as many as 25 staff were fired by the developer yesterday. Details are scarce, though after contact with some of those involved, they say: "the impression we get is that these cuts were driven more by company challenges than by individual performance issues." They also have a speculative list of those who may have been let go by comparing the company's employee directory to a cached version from last month. Following up, Engadget has a statement about this from Valve Managing Director Gabe Newell:

"We don't usually talk about personnel matters for a number of reasons. There seems to be an unusual amount of speculation about some recent changes here, so I thought I'd take the unusual step of addressing them. No, we aren't canceling any projects. No, we aren't changing any priorities or projects we've been discussing. No, this isn't about Steam or Linux or hardware or [insert game name here]. We're not going to discuss why anyone in particular is or isn't working here."

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27. Re: More Valve Layoffs Feb 14, 2013, 08:18 ASeven
 
Dev wrote on Feb 14, 2013, 04:27:
ASeven wrote on Feb 14, 2013, 04:05:
Well, guess Valve's work environment is no longer as good as it was painted. You don't fire these many people without a damn good reason, like finacial overstreching.
Makes you wonder doesn't it? Especially since Gabe is "obsessed" with employee health, and generally to get hired at valve someone has to be somewhat of a generalist, so people can move their desks somewhat freely.

If they are having money problems they have to be spending it like NUTS though. They are bringing in such a huge amount, and no real visible things they are spending tons on. They certainly don't spend it on the steam GUI. They aren't pumping out tons of money losing games. In one interview they talked about spending a million on a hardware lab, but that's not all that much compared to the billions they bring in. I find it hard to believe that they are running out, but like I said this makes me wonder.


Apparently the head of Steam was also let go. Also, if no projects were canceled as Gabe says then why fire people? It doesn't add up and firing the guy that made Steam a powerhouse indicates something is very wrong withing Valve.
 
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