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Riot Games laying off 11%

riotgames.com

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Re: Riot Games laying off 11%

#11

Post by mcmcmc »

gamblor956 wrote: post #2

Riot Games is profitable, so this is about increasing profits. EDIT: As several people have noted, while Riot Games is private, their majority owne (Tencent) is not. According to Tencent's most recent filings, video game revenue is up by double-digits and they reported profits in the past. Unless Riot is claiming that they increased expenses by double-digit % in Q4, they are profitable.

Got a source for that? They’re a private company, unless you have access to non-public financial info it seems like you’re just making an assumption.

Re: Riot Games laying off 11%

#12

Post by eganist »

It's a decent severance package, honestly.

But, as usual,

> As CEO, I’m accountable for the changes we’re making and where we’re headed in the future. So, I think it’s important for me to share how we got here and how the next few days will work.

I see no indication as to how Dylan will actually be held accountable for the decisions that ultimately led to this.

Re: Riot Games laying off 11%

#13

Post by Rebelgecko »

msie wrote: post #6
gamblor956 wrote: post #2

Riot Games is profitable, so this is about increasing profits. EDIT: As several people have noted, while Riot Games is private, their majority owne (Tencent) is not. According to Tencent's most recent filings, video game revenue is up by double-digits and they reported profits in the past. Unless Riot is claiming that they increased expenses by double-digit % in Q4, they are profitable.

Gotta juice that stock price!

Whose, Tencent?

Re: Riot Games laying off 11%

#15

Post by wahnfrieden »

eganist wrote: post #12

It's a decent severance package, honestly. But, as usual, > As CEO, I’m accountable for the changes we’re making and where we’re headed in the future. So, I think it’s important for me to share how we got here and how the next few days will work. I see no indication as to how Dylan will actually be held accountable for the decisions that ultimately led to this.

Accountable... to the board, who are loving the efficiencies.

Who's upset with this CEO's actions besides the families affected by it, who have no power individually over anything to hold him accountable? They're his capital resources. Executives aren't accountable to that.

Re: Riot Games laying off 11%

#16

Post by brianwawok »

gamblor956 wrote: post #2

Riot Games is profitable, so this is about increasing profits. EDIT: As several people have noted, while Riot Games is private, their majority owne (Tencent) is not. According to Tencent's most recent filings, video game revenue is up by double-digits and they reported profits in the past. Unless Riot is claiming that they increased expenses by double-digit % in Q4, they are profitable.

Why wouldn’t they want to be as profitable as possible? They aren’t a charity.

Re: Riot Games laying off 11%

#17

Post by echelon »

msie wrote: post #4

All it takes is for one of the big firms to go on a big hiring spree and the others will follow.

Probably not until IRC 174 is fixed. You can't write your employees off on taxes anymore, but have to amortize them over four years.

https://www.stambaughness.com/blog/amortize-research-and-dev...

Lovely new little wrench in everyone's plans.

Plus many companies hired going into Covid, thinking online was the "new normal". They're returning to a healthier headcount now.

Plus they probably let go those underperforming certain metrics or backing unproductive initiatives. Though that should have no bearing on hiring, it will.

Plus it's no longer ZIRP.

That's a lot of hiring headwind.

Re: Riot Games laying off 11%

#18

Post by izzydata »

anotherhue wrote: post #3

> Severance Pay — We’ll offer a minimum 6 months of salary, Well that actually does make it seem like it was something they wanted to avoid. I might need to eat my hat https://news.ycombinator.com/item?id=38957024

I wonder how hard it would be to wait 4-6 months and then attempt to get rehired at Riot again. It seems unlikely that they will be on a total hiring freeze for over 6 months.

Re: Riot Games laying off 11%

#19

Post by parsimo2010 »

wahnfrieden wrote: post #15
eganist wrote: post #12

It's a decent severance package, honestly. But, as usual, > As CEO, I’m accountable for the changes we’re making and where we’re headed in the future. So, I think it’s important for me to share how we got here and how the next few days will work. I see no indication as to how Dylan will actually be held accountable for the decisions that ultimately led to this.

Accountable... to the board, who are loving the efficiencies. Who's upset with this CEO's actions besides the families affected by it, who have no power individually over anything to hold him accountable? They're his capital resources. Executives aren't accountable to that.

But what about being held accountable for all the “significant investments” that didn’t pan out into the expected revenue? The board may be happy that the layoff cuts cost, but is the board happy with a CEO that has made multiple bad bets?
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