Playtika to cut workforce by about 15%

Israeli gaming firm Playtika Holding Corp said on Monday it would cut its workforce by about 15% as part of a restructuring, as the gaming sector faces a slowdown.

After posting blockbuster sales during the pandemic, the gaming sector is grappling with slowing demand this year as inflation pushes people to cut back on discretionary spend. (Pixabay)

Israeli gaming firm Playtika Holding Corp said on Monday it would cut its workforce by about 15% as part of a restructuring, as the gaming sector faces a slowdown.

The company, which has more than 3,700 employees, is consolidating studios and centralizing evaluation of new game concepts through its creative team at game studio Wooga, it said.

"Three current titles have been removed from the pipeline with priority toward strategic high-growth potential new games investments," Playtika said.

After posting blockbuster sales during the pandemic, the gaming sector is grappling with slowing demand this year as inflation pushes people to cut back on discretionary spend.

Founded in 2010, Playtika has been known for its casino-themed games and operates apps for poker and solitaire.

The company has more than 34 million monthly active users and its popular games include "Bingo Blitz" and "Slotomania", according to its website.

In February, Playtika said it would explore strategic alternatives to maximize value for its stockholders.

Playtika, which went public on the Nasdaq in January last year, has fallen nearly 50% this year, as of last close.