Long story short:
-EA is cutting 1,500 jobs (approx. 17% of their staff), with Mythic (Warhammer Online) apparently being the hardest hit. Other notable cuts are at Viceral (Dante's Inferno, Dead Space), EA Tiburon (Madden) and Black Box (Skate 3, prior NFS titles. This is the second major resructuring at Black Box since July). These cuts should save EA $100 million annually, and come less than a year after EA slashed 1,100 jobs.
-In addition, "over a dozen" games have been cancelled, with CEO John Riccitiello stating "anything that doesn't measure up to be in a very high profit contributor and unit seller got cut from this point going forward."
After years of pushing quality as the number one focus, it's disheartening (to say the least) that EA could very well be going back to their old "Evil Alliance" ways. As for the 12+ games that have been canned, it's hard not to imagine that Dead Space 2, Mirror's Edge 2 and NFS: Shift 2 could very well be among them.
I hate to drag Activision into this, but between their rivalry with EA and their recent overwhelming success it's impossible not to -- EA focused on quality while Activision focused on profit margins, and the gaming community has evidently spoken. :(
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