Sony's CEO Says Layoffs Were Necessary to Run a Sustainable Business

In a recent interview, Sony Interactive Entertainment co-CEO Hermen Hulst commented on the massive layoffs that the company had, saying that the hard decision is driven by the need to "run a sustainable business."

When asked about the company's plans and perspectives after rounds of layoffs, taking Concord offline, and additional cuts at Bungie, Hulst said (via Variety): "It's our duty to look at our resource planning, and make sure that we run a sustainable business. That's part of being CEO. We never take that lightly, because we know these people personally, and it's very close to our hearts and the teams and good working atmospheres. But yes, we've had some layoffs."

Hulst continued, saying that PlayStation had grown "tremendously" on the content side, as well as in the terms of employment: "And that is organic growth that our existing teams, I think, hired quite aggressively, as well as through M&A. So the organization, the employment is much greater now than it was, let’s say, for example, five years ago."

Before, Sony announced the layoff of 900 employees, constituting roughly 8% of its global workforce, across teams from the Americas, EMEA, Japan, and APAC. Recently released Sony's Concord, a first-person shooter that wasn't received well and had no more than 700 concurrent players on Steam over the first few days after the release, was shut down just two weeks after its official release.

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