Epic is laying off more than 1,000 workers, citing a downturn in Fortnite engagement

Epic Games is laying off over 1,000 employees, epic Games announced layoffs of more than 1,000 employees.

Tim Sweeney said Fortnite engagement downturn began in 2025 and is reducing company revenue, cEO Tim Sweeney said the downturn in Fortnite engagement started in 2025 and is causing financial strain.

Epic Games identified over $500 million in cost savings, epic identified cost savings exceeding $500 million across contracting, marketing, and open roles.

Will pay at least four months of base salary to laid-off workers, epic will provide affected workers at least four months of base pay and additional amounts based on tenure.

Will fund six months of extended US healthcare for affected employees, epic will pay for extended healthcare coverage for affected US workers for six months.