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VU Games Cuts

Vivendi Universal Games sends along the announcement of a reorganization, which is costing 350 people their jobs. The release specifies that Blizzard is not impacted by the moves, but it seems likely this is connected with recent speculative stories of the closings of Papyrus (story) and Impressions (story). Here's the word:

VIVENDI UNIVERSAL GAMES ANNOUNCES REORGANIZATION AND COST REDUCTIONS AS PART OF TURNAROUND PLAN

LOS ANGELES – June 21, 2004 – Vivendi Universal Games (VU Games) today announced another step in its turnaround plan to improve operating effectiveness, reduce costs and position for growth. The changes include a significant staff reduction in its North American based operations resulting in the elimination of 350 staff positions. The Company's Blizzard Entertainment studio was not part of the staff reduction.

"Restructuring the organization and reducing our cost base are necessary to improve our operating effectiveness and profitability," said VU Games CEO Bruce Hack. "This constitutes another important step in our turnaround plan aimed to better position the Company for growth."

With a global and more focused organization in place, VU Games is looking ahead to the second half of the year with several major releases scheduled for launch. VU Games plans to release World of Warcraft from Blizzard Entertainment, marking the Company's entry into the massively multi-player online role-playing games category. Other current and upcoming releases for 2004 include Crash Twinsanity, Leisure Suit Larry, The Chronicles of Riddick: Escape from Butcher Bay, Van Helsing, Ground Control II, Fight Club and Spyro: A Hero's Tail.

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50 Replies. 3 pages. Viewing page 2.
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30. Re: No subject Jun 21, 2004, 20:12 bizarro
 
"Sure, who wouldn't want to open a store at a dead market? Certainly not me! Oh, wait... Then again, I doubt PC gaming will "die". But it probably won't ever be as big as it used to (atleast if you compare it to the console market). Unless somehow gaming stop to be mainstream (wich won't happen either). Afterall, it's PC gaming (mostly) that keep progress going in video card (and partly in other technology) and nVidia/Ati sure don't want to be in a market that produce new videocard every four years"


I agree the PC market will play second fiddle to consoles for the forseable future but thats not so bad and yes, it will not die by any stretch of the imagination. Of course it is tragic that all that wasted talent that goes into developing the next Crash Bandicot title is lost for PC gaming but again I see more and more smaller more creative software companies filling that void.

This comment was edited on Jun 21, 20:16.
 
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29. Re: No subject Jun 21, 2004, 19:57 quazz
 
there are simply too much mature gamers out there that want to play games like ...
Maybe, but there's more consumers that will buy console games. And with today's multi-million game dev cost, guess who wins.
we are going to see new PC only game store
Sure, who wouldn't want to open a store at a dead market? Certainly not me! Oh, wait... Then again, I doubt PC gaming will "die". But it probably won't ever be as big as it used to (atleast if you compare it to the console market). Unless somehow gaming stop to be mainstream (wich won't happen either). Afterall, it's PC gaming (mostly) that keep progress going in video card (and partly in other technology) and nVidia/Ati sure don't want to be in a market that produce new videocard every four years.

This comment was edited on Jun 21, 19:58.
 
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28. Re: Offshoring Rocks Jun 21, 2004, 19:52  Menzo 
 
Fenster, not sure who you are, but you are giving misinformation about Thrax. He is still around and continues to work on Tribes: Vengeance.

Also, Freedom Force was created by Irrational Games Canberra (not Boston).

 
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27. Re: Offshoring Rocks Jun 21, 2004, 19:50 Fenster
 
To be completely fair,

Irrational has offices in New England and Australia. Its not the 'traditional' offshoring we're seeing so much of in the news. After Freedom Force, which I believe was developed in Boston, I'm willing to cut them a little slack.

With that being said, Thrax was utterly devoted to the Tribes title. He loved to play the games and was always doing what he could to help further the title and improve it. So, while Menzo's assertion that development will continue is all fine and good, I can tell you with total certainty that the Tribes games have been diminished with Chris no longer being a member of the team.

I hope the game does well but I am disappointed that my friend isn't working there anymore.

 
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26. No subject Jun 21, 2004, 19:50 bizarro
 
I just can't share this negative outlook for the future of PC gaming. The PC is not just another console that can just die. The installed base is just too big. Also there are simply too much mature gamers out there that want to play games like Joint Operation, Rise of Nations, Battlefield 2, Far Cry (just to name a few) that are miles ahead of any console game in almost any aspect except simplicity.
Yes, the big guys like EA are more and more ignoring the PC but already now we see smaller lesser known game companies stepping into that void (far cry came from a previously unknown german team). And if EBGames does not sell PC games anymore than probably we are going to see new PC only game stores sooner or later.

 
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25. Offshoring Rocks Jun 21, 2004, 19:43 B M
 
Cool Offshoring!

 
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24. ... Jun 21, 2004, 19:37 Bunko
 
With all this talk of the death of PC gaming, what's going to happen to good ole Blue's News?

Lose it? I didn't lose it. It's not like, "Whoops! Where'd my job go?" I QUIT.
 
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23. Re: Very true Jun 21, 2004, 19:27  Menzo 
 
There is no change in the status for any currently announced VU Games title. Tribes: Vengeance will come out exactly when it was planned to come out and it will kick exactly as much ass as it was planned to kick.

 
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22. Re: Very true Jun 21, 2004, 19:25 Fenster
 
I'm not sure about the specifics on this but Thrax -WAS- hit by the layoffs. As much of the development on the title was outsourced to another company, its hard to say how the layoffs will effect the title.

 
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21. Re: Very true Jun 21, 2004, 19:10 30SomethinGamer
 
The top selling PC game last year sold 450,000 units. That is nothing and warrants a development spend of about $6 million. Any decent game costs about $10 million to spend...

PC gaming is dying. And the reason is NOT because of "big business" - the reason is because of consumers all moving to consoles.

 
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20. Re: Very true Jun 21, 2004, 19:04 Michael Bolton's hair dresser
 
what about Tribes: Vengeance, damnit?? that shit BETTER get released

From Tribalwar.com

Today news hit the web that 350 people have been layed off from Vivendi Universal, parent company of Sierra. While we can't confirm who actually got the axe, we were able to get confirmation that work on Tribes: Vengeance is still proceding from Adam Kahn, head PR guy on Vengeance. No one from IGA got fired (as far as we know), and Chris "Thrax" Mahnken is still working. So the game is still on track.

Good luck to everyone who now has to look for a job.


This comment was edited on Jun 21, 19:04.
 
Dr. Michael Bolton's Hairdreser PhD, MD, LLP, DDS
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19. Very true Jun 21, 2004, 18:27 Istari
 
I agree with the point about lack of polish and bugs. I used to buy computer games the day they were released - but I've been burned so many times now (Battlefield: Vietnam being the latest), that I wait for months to read reviews and let the patches come. As a result, sometimes I never get around to the game - lost sales for them.

I think it's a combo of buggy, rushed software and a complete lack of originality in recent years. I can only think of *one* PC game I've heard about recently where I get excited about the concept: Evil Genius. Everything else recently has felt derivative and worse, consolized (DX:IW anyone?).

I'm actually replaying Planescape: Torment right now, and I'm still in awe of the sophistication and maturity of the dialogue. To me, PS:T stands as the perfect combination of original concept and mature execution. Of course, like so many other sophisticated, mature games in recent years (NOLF, NOLF 2, System Shock 2), it tanked at the box office.

I suppose in one sense, WE are to blame, in that the very games that are original and sophisticated have almost universally done very poorly in sales.

Don't know the answer - but I think there's a very real chance that PC gaming, as we knew it, is dead. I just hope I'm wrong.

Istari


 
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18. Re: VU Games business Jun 21, 2004, 18:26 Brian Reynolds
 
"Wait, which Brian Reynolds are you?"

I'm a freelance videogame artist, formerly with VU and not the Brian Reynolds of greater reknown.

This comment was edited on Jun 21, 18:26.
 
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17. No subject Jun 21, 2004, 18:17 space captain
 
what about Tribes: Vengeance, damnit?? that shit BETTER get released

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16. Re: Will computer games rise again? Jun 21, 2004, 18:12 4D-Boxing
 
It'a all about gameplay and polish! So many compamies complain about sales but how many release games with the type of polish we've seen in titles such as UT2k4? I've seen ps2 games that where considered not good enough to be published on consoles be published on the PC. If Sony realized that the game sucked and that it had to many bugs why would you waist money packaging it and putting it on the shelves. Maybe they like getting horrible reviews that make people avoid their products... I'm not saying that ut2k4 is perfect game but at least it did not ship like BF:V.

PC gaming will be arround for a long time just cause it offers a different experience.

This comment was edited on Jun 21, 18:27.
 
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15. Will computer games rise again? Jun 21, 2004, 17:38 Istari
 
Wow. I was not a big fan of VU, but the cumulative impact of all these closures is the distinct feeling that computer gaming is a dying hobby.

I think it really hit home the other day when I went to EB Games, and found the PC Game section behind the magazine rack. Even more telling, 1/2 the games on the shelves of this small section were pre-owned games, recycling the classics of yesteryear.

Stick a fork in it, it's done baby. My only question is whether CG will rise again in the future, or whether a hobby that looked so bright and promising in 1999 (Planescape: Torment, Thief, Rainbow Six, Half-Life) is forever gone.

Istari

 
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14. Re: No subject Jun 21, 2004, 17:32 nin
 
said VU Games CEO Bruce Hack

Hack, indeed. I'm sure he won't lose a paycheck...

There is the theory of the moebius, a twist in the fabric of space where time becomes a loop time becomes a loop time becomes a loop http://www.loopz.co.uk/
 
RollinThundr Apr 17, 2013, 12:25: Eh really tossing stuff like that in there only to get your panties all bunched up. If you really want to call that trolling sure.

Mr. Tact Apr 17, 2013, 12:33: Pretty sure that's the definition of trolling...
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13. Re: No subject Jun 21, 2004, 17:28 Beamer
 
Businesses exist to make money.

When you get down to it, yes, yes it does.


But this is the entertainment industry. It makes money by pleasing it's customers, therefore it exists to please it's customers.


Big computer publishing companies have not been doing that. They've been doing more to hurt their industry and cause great mistrust than helping it.

The computer gaming industry should not be hurting the way it is. A large part of the hurt is that every product looks too much like the product next to it. Why? BECAUSE ALL THE INNOVATIVE TEAMS KEEP GETTING SPLIT UP.

It's not a good business practice to take a look at the people that just created your multimillion dollar title and decide it would make more sense to close their studio, pay to move some of them closer to your base of operations and pink slip the rest. Then, when bringing them closer you spread them out, working with new people on the next Matrix title.


All these moves have been stifling creativity, a problem when it's a company that knows only creativity. Or, when creativity leads to one lackluster game they call it day for the designer.




Blech. Anyone remember that article a ways back discussing how the board members of EA were each making over half a million a year in salary alone? Then the stock options pushed them well above a million? That's where the money that once funded intelligent gaming has gone - there, license aquisitions and wasted marketing.

 
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12. Re: VU Games business Jun 21, 2004, 17:27 Scottish Martial Arts
 
Wait, which Brian Reynolds are you? Big Huge Games is under microsoft not VU.

 
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11. Re: VU Games business Jun 21, 2004, 17:22 Paranoid Jack
 
Another reason for us to love the French?

"I'm so French I hate myself!" A funny quote from a movie that should surely apply here.

 
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