Summary:
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Mass Layoffs in Gaming: The video game industry, worth nearly $200 billion, saw an estimated 10,500 layoffs in 2023. This trend has worsened in 2024, with approximately 11,000 additional job cuts. Companies like Microsoft, which owns Xbox and Activision Blizzard, closed studios such as Tango Gameworks and Alpha Dog Games.
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AI’s Rising Influence: Generative AI systems by OpenAI and competitors are increasingly used across industries, including gaming. A survey by the Game Developers Conference found that 49% of over 3,000 respondents reported AI usage at their workplace, with 80% expressing ethical concerns. Industry veterans acknowledge AI’s growing role and its impact on jobs.
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Case Study - Activision: At Activision, many 2D artists were laid off, and the remaining concept artists are now required to use AI in their work. Employees have been compelled to attend AI training sessions, signaling a broader push to integrate AI into the company’s workflow.
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