Disney India is undergoing a restructuring in its digital business in a process that has seen a reduction in manpower, both through redeployment as well as lay-offs, according to people with direct knowledge of the matter.
While the exact number of lay-offs could not be immediately ascertained — which range from 40-100 depending on various accounts —sources said that most of the affected employees were in the games division.
Disney’s games and online division has lost money for the last few years as the company tries to keep up with the explosion of mobile gaming worldwide.
“A number of people from the technical team have also been let go… in some cases they are shifted to other teams.
“In other cases, the company itself provides other job opportunities in different companies,” said an employee, who did not wish to be named.
In March, the company, on a global scale, overhauled its interactive division in a move that reduced the number of video games it develops while altering its advertising strategy.
When contacted, a company spokesperson confirmed that a restructuring was taking place in the digital business.
“We are undertaking a restructuring in the digital business, aligned with our global long-term digital strategy that is focused on sustainable profitability and innovation,” a company statement said.
“The intent is to concentrate all our efforts in a few core focus areas of the business, in which we will continue to develop high quality interactive digital products which include games, apps and other engaging offerings,” the company added.
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