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THQ Lays Off 100, Shifts Wireless Development to Smartphones

THQ Lays Off 100, Shifts Wireless Development to Smartphones Exclusive

February 2, 2009 | By Danny Cowan

February 2, 2009 | By Danny Cowan
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More: Exclusive

Global games publisher THQ will lay off about 100 employees as it restructures its mobile development division to focus solely on smartphones.

The layoffs will result in the closing of development studios in San Diego, Germany, and the UK, and is part of a plan to save more than $100 million in company costs.

In addition to the mobile division restructuring, the company's cost-saving initiatives will include the cancellation of several titles in development and layoffs of around 250 people worldwide. Staff cuts previously hit THQ's Juice Games and Paradigm studios.

In an e-mail sent to employees, chief executive officer of THQ Brian Farrell said that this week's restructuring "will strengthen our ability to drive growth and profitability in the future."

Farrell notes that THQ's Universomo studio in Finland will lead mobile development following last week's announcement. Universomo will exclusively focus its development efforts on Apple's iPhone and other high-end handheld devices.

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