Capcom Europe To See Lay-Offs To Half Its Staff

By Ishaan . October 3, 2013 . 2:30pm

Capcom Europe are undergoing a restructuring that will see the company shed half its staff and merge certain jobs, according to an MCVUK report.

 

“Following a restructure at its US operation, Capcom’s European organisation is currently evaluating its structure to ensure it is in the best position to take advantage of the changing market conditions the industry is facing,” a Capcom spokesperson said.

 

Capcom’s western branches have suffered as a result of a number of the company’s big titles failing to meet expectations, according to MCV’s report. Earlier in the year, Capcom USA, too, suffered lay-offs, and the resignation of its Senior Vice-President, Christian Svensson.

 

Prior to the lay-offs, Capcom announced that they were re-evaluating a number of work-in-progress projects, in the face of lower-than-expected sales for some of their games, such as Resident Evil 6 and DmC Devil May Cry. This re-evaluation involved cancelling certain games that were slated for release in 2014 and beyond.

 

Going forward, Capcom intend to increase their focus on the sale of downloadable content, in order to increase the longevity of each game they develop. The company also recently released Monster Hunter 4, which is well on its way to beating its sales forecast of 2.8 million copies sold by March 31st, 2014.


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  • subsamuel01

    Sad, but that’s the result when you have poor budgeting and game decisions employees suffer because the higher ups can’t do their jobs right.

  • xAKUM3TSUx

    Figures….

  • Chaos_Knight

    *facepalm*

    Oh Capcom…

    “This re-evaluation involved cancelling certain games that were slated for release in 2014 and beyond.”

    Ultra IV better not be one of them.

    • DanteMasamune

      Wow you’re the only person I know not raging over Ultra SF IV.

      Plus the cancellation of games was announced far back to the first quarter of 2013 and Ultra IV was announced months after so no that is not getting cancelled.

      What may have been cancelled may have been DmC2 and some MegaMan games as well as other western reboots (yet Strider survived the cutting block) and a RE7 that continued what RE6 (technically RE5 started).

    • Vesperion

      Street Fighter is one of the few franchises Capcom can get a sure profit from. I doubt they would cancel Ultra at this point

      • Just Tim

        …not to mention how Capcom isn’t making money off more Marvel vs Capcom 3 DLC’s. Seriously, it missed out two Halloweens in a row and is now projected to miss Halloween 2013. Really, is intentionally missing out for a potential Marvel Zombies DLC for Halloween a part of Capcom’s overall financial plans?

        This reads like a sensible business move to me and I’m necrophobic!

        • Vesperion

          Sorry that was way over my head lol

          • Just Tim

            Given how most cynics had called out Capcom’s tendency to make various updates for Street Fighter and how it also happened in MvC3 and the subject’s constant dependence on DLC, and not to mention most Americans have a collective obsession towards zombies…

            Specifically, the persistent in-story rumor how Wesker started Marvel Zombies and Nemesis infected Sentry…

          • Warboss Aohd

            Marvel Zombies iz a comic series where various superheroez an’ villainz are zombiez, da kind dat want yer brainz……an’ da kind dat can SPEAK AN’ THINK.

            Honestly, it’s a perfect idea fer a Halloween released DLC.

  • Raharu95

    I just came from a video ecplaining to.me that unfortunately; Campcom.is nearly broke. so this is not too surprising ‘^’

    • Kaihedgie

      This is the European branch. They do not encompass Capcom as a whole

  • Solomon_Kano

    Well, this isn’t good.

    • NintendoPSX

      You kidding me? This is fantastic news! I’m just waiting here for other devs to purchase Capcom’s IP’s or the entire studio.

      • Solomon_Kano

        You’re right. Completely missed how great it was that half of their staff is losing jobs.

        Maybe they’ll lay off everyone else so Europe won’t be burdened with localizations, since we know Europeans hate those!

        • NintendoPSX

          They’ll live. Not like everyone’s raring for the next Capcom title anyways. Well, besides Monster Hunter 4. But let’s not hold breath for that one.

          • Kaihedgie

            I guess any bad thing that happens to anyone in Capcom is a good thing, isn’t it. Dozens of people without income to feed themselves or their friends and family, and you’re celebrating that because…

            Well let’s face it, it’s the same reason as always: No Mega Man, right? Or is it the DLC. Or both

          • DanteMasamune

            Then I can see why people call gamers “entitled”. Its not just him but I’ve seen plenty of others literally wanting Capcom to go down under and have everyone lose their jobs to teach them a lesson. WHAT LESSON!?
            People want people to lose their jobs and struggle just because they did things to their franchises they don’t approve of and other crappy business practices (that 75% of the market are already doing).
            “They turned RE into a shooter, rebooted DMC, and cancelled MegaMan games. Boo Hoo!”
            They’re just games, its not like they literally shot your mothers or did anything negative to you. I can understand being pissed, upset, and angry but at the very least if you care for your games (you really shouldn’t for its just a damn product/an object and being so vain of an object to the point you want people to lose their jobs is blatant selfishness).
            If you care for the series at least hope or pray to whatever God or gods or universe or something that Capcom starts making the right decision or try to do something about it and not want them to go under.
            Its attitude like this that makes me wants to stop being associated with gaming and gamers if this is how people react to horrific news.
            Its not like Capcom is Monsanto or Bank of America no one deserves this. However, it is a result of Capcom’s poor decisions so it is to be expected and if it happens it happens. I just hope for the best for Capcom and their workers. That they either turn this around or get the least positive outcome (get bought out like Atlus).

          • Kaihedgie

            I coulda told ya that.

            But seriously, it’s an especially ironic twist how today’s late teen/adult gamers are being the biggest crybabies today, especially about Capcom. It’s one thing to be passionate about video games, but it’s an entirely different matter to become so obsessed to the point of borderline misanthropy. I feel like I shouldn’t have to continue repeating myself, but I am a Mega Man fan. However, unlike some people, I chose not to be offended or act in such a manner in light of everything that’s happened. Even when there is news of something that actually ticks me regarding a game series I like such as something being removed or left unfinished, I get over it pretty quickly.

            Even if I were just as bitter and angry as these other people, I sure as hell wouldn’t keep giving them all my undivided attention to every single Capcom-related article just to make more snide remarks secretly wanting Mega Man back or make more unoriginal jokes about DLC.

          • DanteMasamune

            I might get panned a lot for this but there is a lot of problems with the industry and (most/some) gamers are in fact one of the MAJOR problems.
            If a company is doing something you don’t approve then petition or form a joint boycott and make your voice loud clear. Do something about it. Sitting on your a$$ and whine about it won’t get things. Make them clear what they’re doing is wrong for they’re not going to generate the right answers just poor sales of their games alone. When Capcom was caught doing on-disk DLC they were slammed super hard before it escalated to get any worst but its cause the community became vocal and did heir best to let Capcom know what they were doing were wrong. But the problem is even though Capcom may have learned their lessons about that there are plenty of other publishers doing the exat same sh*t, in fact on disk DLC and charging of on-disk DLC has been around before SFxT (in fact there was some Capcom games before SFxT that did had on-disk DLC) and there are plenty of other publishers still using on-disk DLC but yet we seem to gloss over them. HELLO CAPCOM AREN’T THE ONLY EVIL PUBLISHERS HERE. Generate negative publicity and make the publishers know what you don’t want. If these publishers aren’t going to reach out or listen to you then shout back at them and get others involved. We (or some gamers) won’t waste time to create a petition to have a person fired for giving a game (GTA5) a 9/10 or to not have a game (GTA5) go to PC but we decide to ignore the more important issues and sit on our a$$ and whine all day.
            Geez when did (most) gamers turn into lazy self entitled B*TCHES.
            *note I’m not talking about everyone*

          • http://shadious.tumblr.com/ Vince

            They also have to take risks even if the price is a very unpopular feedback from the audience/fans and consumers.

            Big companies like Capcom have to make such moves as they see fit in order to remain financially healthy, operational and lessen the circumstances that they have to lose considerable amount of money.

            Though, then again, right decision making can make a business company prosper and last longer, as the wrong one would be the opposite.

          • CirnoLakes

            Or, it’s entirely possible they might struggle to find a job.

            And that happening is always sad.

          • malek86

            The layoffs are in Capcom Europe, and given the current unemployment situation in the eurozone, I wouldn’t wish a layoff to my worst enemy.

            Not that it would be much better anywhere else, but it happening in Europe right now is just making things even harder for them.

          • Hraesvelgr

            “They’ll live”, lol. I wonder if you’d have the same attitude if it were you losing your job. It doesn’t matter how crummy their games have been, that doesn’t justify saying people losing their income is “fantastic news.”

      • http://www.siliconera.com/ Ishaan

        Putting your inane comment aside for a moment, you’re being factually incorrect as well. You realize that this is Capcom Europe, not one of Capcom’s development studios.

      • $36598391

        Dude, you would be saying otherwise if you were jobless with no money coming in to put food on the table with…

        I’m not a big fan of the direction Capcom is going but I’d never wish for people to lose their jobs
        The economy is bad enough as it is without all this going on

      • LaserVision

        All you can say is “I’m not interested in their games anyway?” How self-centered can you be? These are people’s jobs. You know, that thing you do when you have actual responsibilities and obligations that require a steady paycheck. Show some empathy.

        Then again, I guess you wouldn’t know if you’re living out of your parents basement without an actual real-world care in the world.

    • Warboss Aohd

      no, layoffz are alwayz bad.

      I will admit though,,,,,it shall be interestin’ ta see if dey can bounce back from dis.

  • Tee Niitris

    Yikes!
    Hopefully they find jobs soon.

    As for Capcom, wow things are going downhill fast… almost as is there’s something we don’t know about.

  • konsama

    Can’t say i’m surprised.

    Still, want my money? Then localize MH as fast as you can.

  • Martian Wong

    Maybe Capcom is holding off Monster Hunter on Vita and use it as it’s last resort.

    • Ferrick

      well there is a monster hunter coming for vita, the MH frontier G, but other than that, i seriously doubt that capcom has enough budget to bring the rest over to vita. And even if they did, the amount of players on vita wouldn’t be enough to bring profit towards capcom as fast as 3ds does

      • Martian Wong

        Are you sure about that? When Monster Hunter first released on PSP, the sale was crazy. I am sure that if MH 4 or MH4P comes to Vita, it will boost the sales of Vita tremendously.

        • Ferrick

          if it’s MH5, sure, but MH4 ? probably not, japan bought the shit out of that on 3ds already, releasing it on vita wouldn’t boost sales that much

          • Martian Wong

            Well, every portable game will be kind of like an expansion. New monsters, new weapons and armors etc will be introduced. So it is like double-dip.

        • Suicunesol

          Without a doubt it would boost Vita numbers. Without a doubt.

          But it wouldn’t sell as much as a new MH on 3DS. At least, at the moment.

          Vita is quite a bit more expensive than a PSP is, by the way. Install base is too small to make a new MH on Vita worthwhile.

        • Herok♞

          Capcom’s goal isn’t to sell the Vita, that’s Sony’s job and I can say that going from 3DS to Vita wouldn’t help boost overall sales at all, the people who want dual analogs have CPP(Capcom asked Nintendo to make it for them after all) and almost everyone who plays MonHun in Japan probably already has a 3DS since there have been two MonHun games for it so far. Granted Vita has the built in hunting game audience that Sony is trying to achieve through their hunting game campaign. If it were the other way around Vita to 3DS the sales would increase in a very large amout from the Vita version going by Ishaan’s this week in sales articles the number of Japanese 3DS sold(normal and xl) is at 12,886,975 units and The Japanese Vita sales are a 1,840,923 units. I like the Vita and all but releasing monster hunter for it wouldn’t really be wise when the 3DS version gives it so many more people to sell to after all more people already have MonHun4 in Japan then the number of people who have Vitas.

    • http://www.siliconera.com/ Ishaan

      Monster Hunter 4 just sold more units in three days than Vita has sold in two years. I don’t think they’re in any hurry to bring Monster Hunter to Vita. If anything, their quickest solution is probably going to be a Monster Hunter 4G released next year to take advantage of the giant MH4 audience they’ve already built up.

      • Warboss Aohd

        but will it be enough i wonder?

        • http://www.siliconera.com/ Ishaan

          Monster Hunter alone? No, of course not. A single franchise can’t support a company as large as Capcom. They’ll need other successes in order to remain sustainable.

  • Zeonsilt

    “Going forward, Capcom intend to increase their focus on the sale of downloadable content, in order to increase the longevity of each game they develop”
    No,just NO.
    Just look at Street Fighter X Tekken Steam DLC list(x8~ amount of game price).

    • http://www.hamstapowah.com/ Zaron

      DLC can be pretty dandy when it properly extends an experience for a reasonable price, but I can understand the worry given Capcom’s, uh… sterling reputation…

      • CirnoLakes

        Good DLC is basically a cheap, downloadable expansion pack.

        With Capcom, it’s basically “how cheap can we make a buck?”.

  • JustThisOne

    Erm, is this their method of hunkering down? I wish the best for those who were laid off. I hope all this “restructuring” will actually accomplish something.

    • GH56734

      Another wide scale re-structuring occured in 2011 in Capcom Europe, but they did say this wouldn’t affect the localizations, since they’re outsourced.
      But seriously, another one? It’s not looking good at all for them.
      That stinks. Hope they’ll find work soon.

  • MrJechgo

    Remember the old days when devs were giving second chances to their teams after a bad game? I miss those times…

    • Testsubject909

      That said.

      Did you know that the original Megaman didn’t sell that well?

      Capcom was originally considering dropping Megaman right off the bat. Megaman 2 exists thanks to the passion of those involved with the game.

      • GH56734

        Mother 3 GBA, Zelda Twilight Princess (and all subsequent Zelda titles), Fire Emblem Awakening only exist because Nintendo gave them a second chance after a failed experiment.
        Plus Megaman 2 wasn’t really Capcom being good, but rather the developers working overtime on it as a side project, only that made it possible.

        • MrJechgo

          Then… how come I keep reading news about layoffs and studio shutdowns these days? You’ve probably named me the exceptions here.

          • GH56734

            It’s a sad reality that Nintendo’s business model is pretty much the exception nowadays.
            Enix (with NES Dragon Quest titles) and Square (mainly during the PlayStation era) used to give games second chances when it came to localization (and sometimes development). Now all that’s left is Nintendo, and maybe Atlus.
            As for Capcom, it’s business as always, nothing changed (except for Okami’s re-release and sequel, but they DID close Clover Studios after all).

    • MrSirFeatherFang

      Well the market has become way bigger than it was back then. There’s a lot of competition and more money put into game development (and very high sales expectations not being met). Those days are long gone…

      • MrJechgo

        *sighs*
        Devs should make games before making money…

      • http://shadious.tumblr.com/ Vince

        There’s this saying that the small, indie game developers have something that the big name companies like Capcom have lost through the passing of time.

  • CirnoLakes

    Wow, this is making it sound like the rumors about Capcom’s finances are actually true.

  • Göran Isacson

    Harsh news, man. While this is expected considering their economic woes, I at least hope that if people get fired the RIGHT people get fired, the ones responsible for the decisions that lead them here in the first place. Not that those people go scot-free for being high-ranking company men, and just the poor shmoes at the bottom have to suffer for their bosses mistakes.

  • Nice Boat Quatro

    Wonder which games could save Capcom

    • Derek

      Monster Hunter 4?

  • Go2hell66

    Not suprised after i heard how much money they had in the bank

  • PERSONA 5!!!! (Umar)

    AS much as I dislike Capcom right now, I hate to see this kinda things happen…

  • http://www.isfuturebright.com/ Silvio Carréra

    Didn’t RE6 sell more games then the rest of the franchise? What else do they want?

  • http://denpanosekai.blogspot.com denpanosekai

    As a sidenote, Remember Me is currently 20$ on play-asia.

  • http://www.gamefaqs.com/features/recognition/21421.html?type=4 Kashell

    Losing your job is the pits and I’m not sure about the unemployment rules in Europe. Still, I can’t say I’m surprised.

  • Aristides

    I hope everyone that lost their jobs forms indie studios and rake in cash. As for Capcom, I wonder how long it will take for them to get a wake up call.

    • http://shadious.tumblr.com/ Vince

      If they totally go bankrupt, (Which hopefully not as they were a well-known part of gaming childhood to many.) I do hope they won’t resort to placing blame on ugly gaming politics, smear campaign and the fans for their undoing. But I believe they’re professional and dignified than to resort to that. As well as to be able to humbly acknowledge the wrong moves or practices that lead them to their fall..

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