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By Faye James
US news reporter
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Electronic Arts is reportedly cutting about 400 jobs, or around 3 percent of its workforce, as it closes BioWare and shifts investment toward a smaller number of large-scale games. Bloomberg reported that about 50 of the job cuts are at BioWare.
The changes affect projects across several parts of EA’s business. The next Mass Effect game will not move forward, development on The Sims project known as Project Lotus is paused, and EA is reducing the team working on Skate. But EA says it is continuing to invest in EA Sports, Battlefield, Apex Legends, the next Star Wars Jedi game and Marvel’s Iron Man.
EA’s announcement to employees says the company is concentrating its teams and investment on fewer projects. BioWare confirmed it is closing in a statement on social media.
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Newsweek has reached out to EA, BioWare and the Communications Workers of America for comment.
How Many Jobs Is Electronic Arts Cutting?
EA plans to eliminate about 400 jobs, including roughly 50 positions at BioWare, Bloomberg reported. EA’s public announcement did not specify the total number of roles affected or give a breakdown by studio.
The reductions are part of a broader restructuring. EA’s employee memo said it had reviewed “our business, how we operate, and what it will take to lead in this next era of interactive entertainment.” The company said it would concentrate its resources on projects it sees as having the greatest potential for players and long-term growth.
Which EA Games and Studios Are Affected by the Layoffs?
BioWare, the studio behind Mass Effect and Dragon Age, is closing, and EA said it will also close the studio’s Edmonton workspace. Bloomberg’s reported figure of about 50 BioWare job cuts is part of the company-wide total.
In a social media post on Wednesday, the BioWare team stated: “For more than 30 years, BioWare has been more than a studio. It has been a home for storytellers, developers, and the players who brought our worlds to life. Baldur’s Gate. Neverwinter Nights. Star Wars: Knights of the Old Republic. Dragon Age. Mass Effect. Anthem. Now, after more than three decades of shared adventures, BioWare is closing and early development on the next Mass Effect project is ending.”
“There is nothing easy about writing those words. Our focus right now is on our incredibly talented team who put their hearts into these games, and supporting one another through this transition. What generations of BioWare built together is something to celebrate and remember. These games became so much more because you played them, debated your choices, fell in love with the characters, and made these worlds your own. From all of us at BioWare, thank you for being the most meaningful part of our story.”
EA is also changing teams working on two other projects: Project Lotus, a Sims project, is paused as EA prioritizes Project Evergreen. Skate. is continuing, but EA said it is making changes to the studio and moving to a smaller team.
EA has not said that the The Sims franchise or Skate. is ending. The Project Lotus pause and Skate. team changes are distinct from the cancellation of the next Mass Effect project.
Why Is EA Shutting Down BioWare?
EA said the gaming industry is changing quickly, with players having more choices and competition intensifying. The company said it plans to focus on fewer, larger projects and direct teams and investment toward opportunities it believes have stronger potential.
In its memo, EA said BioWare had a small team in the early development stage of a new Mass Effect game. “We’ve made the decision not to move forward with this development, which means we’re closing the studio and our Edmonton workspace,” EA executives Cam Weber and David Tinson wrote.
EA did not provide a separate explanation for why the Mass Effect project was cut or disclose how much the restructuring is expected to save.
Which EA Games Are Still in Development?
EA said Battlefield 6 was successful and that the company learned from the game’s launch and live-service operations. It plans to use those lessons on future Battlefield titles. EA also said Respawn and DICE will collaborate on a future project, which the company did not name.
EA said it plans to continue investing in Apex Legends, including new multiplayer modes and other experiences. It also said Marvel’s Iron Man and the next Star Wars Jedi game remain in development.
In EA Sports, the company announced Project Gridiron, a social-first, open-world American football game. EA also said a new Fight Night title is in preproduction. These projects were included in the company’s announcement to employees
EA said it sees “long-term potential” in The Sims and Skate. It is prioritizing Project Evergreen and has “paused development” on Project Lotus. For Skate., EA said it is moving to a “more focused, smaller team” while working toward a roadmap for the game’s community.
What Happens to 'Mass Effect' and 'Dragon Age'?
EA has ended early development on the next Mass Effect game. BioWare’s closure does not, on its own, mean that EA has ended the Mass Effect franchise; the company has not announced whether another studio will work on a future game.
EA’s memo did not announce a new Dragon Age project or say that the series has been canceled. The existing games remain part of BioWare’s catalog, but EA has not detailed plans for future entries.
Star Wars: The Old Republic is also associated with BioWare’s history, but its development moved to Broadsword in 2023; EA remained its publisher. BioWare’s closure therefore does not mean that Broadsword’s development team is closing.
BioWare, based in Canada, was founded in 1995 and acquired by EA in 2007.
EA’s Cuts Come Amid a Wider Video Game Industry Downturn
Electronic Arts’ restructuring comes after a period of rapid expansion across the video game industry. Hiring surged in 2020 and 2021 as publishers and developers invested in new projects, and staffing levels continued to rise until they peaked in 2023, according to S&P Global Market Intelligence, which said widespread layoffs and project cancellations began to surface in late 2023 and continued through 2024.
The job cuts have continued. In the 2026 State of the Game Industry survey, which received responses from more than 2,300 game industry professionals, 28 percent of respondents said they had been laid off in the previous two years. Half said their current or most recent employer had carried out layoffs in the past 12 months.
The industry is also facing higher hardware costs. Memory prices have risen as demand from AI data centers tightens supply, according to TrendForce. Higher memory costs are adding to console manufacturers’ production expenses and could make price cuts harder.
In the past, manufacturers had relied on retail price reductions and promotions on consoles to expand their user base. But, some console prices have risen instead of falling as a generation matures, Sony raised U.S. recommended retail prices for the PlayStation 5 in August 2025 by $50: the standard model went to $549.99, the Digital Edition to $499.99 and the PS5 Pro to $749.99. Sony cited a “challenging economic environment.”
The announcement also followed U.S. tariff changes that threatened to raise costs for the company, though Sony did not name tariffs as the reason for the increase. Sony had also raised PS5 prices in some other markets, citing inflation and currency fluctuations.
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