Dec 5, 2022 - Economy

GameStop begins layoff

Brady Dale

Illustration of a video game controller with an absurd number of buttons. — Illustration: Aïda Amer/Axios

A round of layoffs have begun at GameStop, the company at the center of 2021's meme stock craze, according to a source familiar with the matter and multiple LinkedIn posts from people claiming to be impacted.

Details: One source within the company tells Axios that the team building GameStop's blockchain wallet was heavily impacted.

Subsequently, at least six software engineers have claimed on LinkedIn to have been let go.
Axios has been unable to confirm the approximate scale of the layoff.
GameStop has not replied to multiple requests for comment from Axios.

What they're saying: A software engineer at GameStop posted on LinkedIn: "Another big round of layoffs from GameStop currently in progress... E-commerce Product and Engineers... Lots of them."

A second GameStop software engineer wrote, "Super sad to say I was apart of the layoffs today at GameStop."
Another posted on Twitter about being let go, but under a pseudonym.

By the numbers: GameStop's stock is trading above $25, more than 500% above its price going into 2021's reddit-powered boom.

Flashback: GameStop also announced a round of layoffs after sacking its CFO in July.

What we're watching: GameStop's quarterly earnings call is Dec. 7.

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GameStop begins layoff

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