Wizards of the Coast announced today that it is restructuring “to focus on key growth strategies for core brands,” which will result in job eliminations. A spokesperson for the company declined to reveal the number of positions eliminated, or their departments, but did say that the total job cuts were less than 5% of the workforce.
Sorry, can't link it from where I am, when I get to a more useful space I can link the story, or else someone else can.
"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
It's Hasbro's show.
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"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
It's Hasbro's show.
Starting with Alara it seems like they are releasing more books per year. Before we just had the three parts of the Block Novel. Now we have a single Block Novel, a Planeswalker's Guide, and 2 Planeswalker Novels that cover 2 different stories. That sounds like a lot more work to me.
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"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
It's Hasbro's show.
I know they aren't cutting new art. I know a few of the artists, and they have new commissions lined up, so...
OR it means the company won't be wasting its time producing flop after flop anymore.
I hope so. I liked Dreamblade, but it was a flop, and tried to push it too hard on the pro scene. Magic wouldn't have worked if that was the case, either. You have to have balance.
Probably a lot of waste is being cut. dreamblade, DuelMasters, the charm bracelet thing for preteen girls, Neopets, Hecatomb, etc. sucked a lot of staff away from Magic and required new hires and production methods. A figure like 5% cuts in jobs probably means that a total of 30% of the workforce is being removed from current projects, which will end abruptly or be phased out. 25% will be reassigned to core projects, and that 5% are those who will get the ax. Of course, Wizards probably offers them priority status for reapplying for the new openings.
As for publishing, the initial surge in Planeswalkers Guides and whatnot is intended to set the new tenor for the publications in the future. So this year we're getting a couple extra novels. They will transition the community from "one novel per expansion" to "one or two novels per year, one or more of which will be about one of the planeswalkers featured in that set". Notice the difference is NOT in the number of novels issued, it's in the delivery method. Previously, you got the novel bundled in with your fat pack. Now, the novel is separate, and if you want it, you pay for it individually. This is a great boon to fat pack buyers who just wanted the players guide, or the packs, or the dice, or the sturdy box. Now they can get some of those things on the cheap by just getting an intro pack.
It's also a great boon for the guy who occasionally bought them mostly for the books. Now he doesn't have to pay $30 or so just to get the book (and a few boosters thrown in).
As for the box I don't have a clue where you can get those now.
It's a standard strategy for weathering a bad economy. Value added bundles are taken apart and buyers can pick and choose what they can afford. That way Wizards makes some money, as opposed to no money.
I don't think that this is just excess positions outside of Magic. According to someone who informed me about this before I saw this thread, one big Magic name removed in the layoffs is Devin Low.
I don't think that this is just excess positions outside of Magic. According to someone who informed me about this before I saw this thread, one big Magic name removed in the layoffs is Devin Low.
WOW...WHAT!?!?!?!
So you're saying Devin Low has been fired? (or at least that you heard a rumor that he was getting fired?)
It's a standard strategy for weathering a bad economy. Value added bundles are taken apart and buyers can pick and choose what they can afford. That way Wizards makes some money, as opposed to no money.
I don't think that this is just excess positions outside of Magic. According to someone who informed me about this before I saw this thread, one big Magic name removed in the layoffs is Devin Low.
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That is crazy...you can't ax D. Low...he is freaking awesome and I like what I am starting to see with him in his current position. I still think that overall Magic has become stronger as a game, although I don't like all the changes, I am not immediatly taken aback by any single change they have made, but firing Devin is a bad move by Hasbro.
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"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
It's Hasbro's show.
They are focusing on magic because it's the greatest game ever made.
I don't see a problem here of any kind. These are long over due moves for WOTC.
good news and bad news.. MTG is at the core a damn good game, and the overall health of the game is a great thing, but killing off some of the people that PROMOTE the game.. like DEvin Low, the head designer and whatnot.. is horrible.. who's next? Brian-David-Marshall or MaRo?
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I bet we have a case of Jon Finkel sleeping with the girl, then never calling her again and she going bat #%^% crazy and writing this article case closed.
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If Devin's "let go", I'd take that as a sign that we are simply getting smaller sets, as opposed to smaller-but-better sets. Fewer cards, fewer developers, fewer artists, still rake in money with Mythics? Smells like $$$.
"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
Less cards per set also means less people involved making a set, including, R&D, artists, FFL, and everything in between.
We'll see another Great Designer Search soon as they look for new people with lower salaries, and tons of cards for them to browse thru.
I am optimistic that this change is in the best interest of the company and the game we love: Magic: the Gathering. Let's all cross our fingers that none of our favorite employees are let go. Namely, any of the writers on the main site.
Well, we don't know the specifics. Maybe he volunteered to try out other opportunities. I've seen that in my office, they say "we need 5 people willing to take a buyout, who wants to go"
As a person who follows business practices. This does not bode well for WOTC. Usually when a company tries to restructure they are doing one of two things.
Trimming the fat to sell the company
or
Sell off assets to gain market share.
I don't see the last one happening. I wouldn't be surprised that in the next 6 months Magic and D&D get sold. If you saw Wotc's poor showing at Gencon like I did, you definately can see the blood in the water.
Alot of people complained about the WOTC people's attitude during the con. This explains it.
Devin Low would strike me as a fairly unlikely person to get the axe in this circumstance -- paper Magic is a pretty solidly performing brand that's done well at retail over the past few years for Hasbro, and his position (Head of Development) is one that needs to exist -- it's not like he can really be made redundant here. If Magic R&D is taking cuts, I'd expect the "less important" hires (like, say, the people they brought in with the GDS) to be first on the block.
Buehler, on the other hand, I wouldn't be surprised at all to see let go. He hasn't been involved in anything remotely successful in some time and Gleemax was his baby.
As a person who follows business practices. This does not bode well for WOTC. Usually when a company tries to restructure they are doing one of two things.
No, there are lots of reasons to restructure besides those. In this particular case, there are three specific reasons that might apply: getting rid of "junk projects" to refocus on the core brands of D&D and Magic (something that's happened in two or three rather brutal rounds of layoffs at WotC in the past), clearing out dead wood (the digital side of WotC has been pretty poorly managed, all things considered), and increasing efficiency (though I seriously doubt it's true, I can easily imagine Hasbro believing that Magic could be made at the same quality level with a noticeably smaller staff.)
I wouldn't be surprised that in the next 6 months Magic and D&D get sold.
Er, no. Neither of these brands is worth what Hasbro would need to charge for them to someone who's just buying the IP without the infrastructure behind it. Both products are based around a constant release business model and neither could survive a gap followed by relaunch with a totally different creative team (especially D&D, which just launched a wildly successful new edition).
It could be possible that Hasbro would be looking to spin off WotC as a whole or unload it on another company, although I'm not sure this sort of cut would necessarily be how they'd prep for that. It's also at least conceivable that they'd consider shuttering WotC and just dumping the IPs in the bank, although I can't imagine it would be worthwhile for them to do so -- again, neither D&D nor Magic has much value as a brand outside the game itself, and Hasbro very specifically does not have the infrastructure or skills to manage either game under its own roof.
Sorry I think you are just dead wrong Charelquin. but I would expect this retort from you.
Look at all the cuts and changes the past year.
Relaunch of D&D (the rewriting of the open game liscense)
Magic tournie cutbacks.
Magic product changes
Failure of Dreamblade.
Moving of Heroscape to Wotc ( a money loser for Hasbro)
Cut back on advertising
Glemmax's demise
MTGO 3.0 debacle.
Do these seem like the actions of a thriving, growing company?
I think Hasbro has always turned a blind eye to Wotc's shenanigans, because Magic and D&D always "evened things out" when it came to the finances coming out of Wotc. Not anymore. I think Dreamblade was the final blow. Alot of people "in the know" have stated that Dreamblade's financial hit to Wotc is alot more than people realize. Same thing happened to TSR and we all know what happened to them.
I have been part of several companies that sunk. This is classic behavior. Most businesses if they see a damaged limb, would rather cut it off then patch it up. Personally I hope they sell it off. Never liked there decision to sell to Hasbro in the first place. But I don't think Wotc will ever be a independant game company again. And I do believe they could find a buyer for D&D and Magic. There are game companies who would KILL for a liscense like those for basement prices. OR Hasbro just shelves the entire IP. They have done it before.
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Sorry, can't link it from where I am, when I get to a more useful space I can link the story, or else someone else can.
"to focus on key growth strategies for core brands"
translation:
we're cutting staff, cutting tournaments, introducing new rarity levels to encourage more people to buy packs, cutting novels
I fully expect them to start cutting artists (thus I'm betting we'll start seeing reused artwork; or new artists that are probably willing to work for less), and cutting playtesting staff, probably start accepting fan-made cards (with iron-clad copyright laws) in order to cut some of R&D, higher prices
It's Hasbro's show.
"Sometimes, the situation is outracing a threat, sometimes it's ignoring it, and sometimes it involves sideboarding in 4x Hope//Pray." --Doug Linn
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Starting with Alara it seems like they are releasing more books per year. Before we just had the three parts of the Block Novel. Now we have a single Block Novel, a Planeswalker's Guide, and 2 Planeswalker Novels that cover 2 different stories. That sounds like a lot more work to me.
There's no proof she's being chased
by ninja squirrels either. - Dr. Wilson
I know they aren't cutting new art. I know a few of the artists, and they have new commissions lined up, so...
I hope so. I liked Dreamblade, but it was a flop, and tried to push it too hard on the pro scene. Magic wouldn't have worked if that was the case, either. You have to have balance.
You should read them.
"Rejoice, for bad things are about to happen"
As for publishing, the initial surge in Planeswalkers Guides and whatnot is intended to set the new tenor for the publications in the future. So this year we're getting a couple extra novels. They will transition the community from "one novel per expansion" to "one or two novels per year, one or more of which will be about one of the planeswalkers featured in that set". Notice the difference is NOT in the number of novels issued, it's in the delivery method. Previously, you got the novel bundled in with your fat pack. Now, the novel is separate, and if you want it, you pay for it individually. This is a great boon to fat pack buyers who just wanted the players guide, or the packs, or the dice, or the sturdy box. Now they can get some of those things on the cheap by just getting an intro pack.
It's also a great boon for the guy who occasionally bought them mostly for the books. Now he doesn't have to pay $30 or so just to get the book (and a few boosters thrown in).
As for the box I don't have a clue where you can get those now.
It's a standard strategy for weathering a bad economy. Value added bundles are taken apart and buyers can pick and choose what they can afford. That way Wizards makes some money, as opposed to no money.
You should read them.
"Rejoice, for bad things are about to happen"
WOW...WHAT!?!?!?!
So you're saying Devin Low has been fired? (or at least that you heard a rumor that he was getting fired?)
That's pretty shockingâŠ
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They are focusing on magic because it's the greatest game ever made.
I don't see a problem here of any kind. These are long over due moves for WOTC.
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We'll see another Great Designer Search soon as they look for new people with lower salaries, and tons of cards for them to browse thru.
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You should read them.
"Rejoice, for bad things are about to happen"
Trimming the fat to sell the company
or
Sell off assets to gain market share.
I don't see the last one happening. I wouldn't be surprised that in the next 6 months Magic and D&D get sold. If you saw Wotc's poor showing at Gencon like I did, you definately can see the blood in the water.
Alot of people complained about the WOTC people's attitude during the con. This explains it.
Buehler, on the other hand, I wouldn't be surprised at all to see let go. He hasn't been involved in anything remotely successful in some time and Gleemax was his baby.
No, there are lots of reasons to restructure besides those. In this particular case, there are three specific reasons that might apply: getting rid of "junk projects" to refocus on the core brands of D&D and Magic (something that's happened in two or three rather brutal rounds of layoffs at WotC in the past), clearing out dead wood (the digital side of WotC has been pretty poorly managed, all things considered), and increasing efficiency (though I seriously doubt it's true, I can easily imagine Hasbro believing that Magic could be made at the same quality level with a noticeably smaller staff.)
Er, no. Neither of these brands is worth what Hasbro would need to charge for them to someone who's just buying the IP without the infrastructure behind it. Both products are based around a constant release business model and neither could survive a gap followed by relaunch with a totally different creative team (especially D&D, which just launched a wildly successful new edition).
It could be possible that Hasbro would be looking to spin off WotC as a whole or unload it on another company, although I'm not sure this sort of cut would necessarily be how they'd prep for that. It's also at least conceivable that they'd consider shuttering WotC and just dumping the IPs in the bank, although I can't imagine it would be worthwhile for them to do so -- again, neither D&D nor Magic has much value as a brand outside the game itself, and Hasbro very specifically does not have the infrastructure or skills to manage either game under its own roof.
Look at all the cuts and changes the past year.
Relaunch of D&D (the rewriting of the open game liscense)
Magic tournie cutbacks.
Magic product changes
Failure of Dreamblade.
Moving of Heroscape to Wotc ( a money loser for Hasbro)
Cut back on advertising
Glemmax's demise
MTGO 3.0 debacle.
Do these seem like the actions of a thriving, growing company?
I think Hasbro has always turned a blind eye to Wotc's shenanigans, because Magic and D&D always "evened things out" when it came to the finances coming out of Wotc. Not anymore. I think Dreamblade was the final blow. Alot of people "in the know" have stated that Dreamblade's financial hit to Wotc is alot more than people realize. Same thing happened to TSR and we all know what happened to them.
I have been part of several companies that sunk. This is classic behavior. Most businesses if they see a damaged limb, would rather cut it off then patch it up. Personally I hope they sell it off. Never liked there decision to sell to Hasbro in the first place. But I don't think Wotc will ever be a independant game company again. And I do believe they could find a buyer for D&D and Magic. There are game companies who would KILL for a liscense like those for basement prices. OR Hasbro just shelves the entire IP. They have done it before.