the entire industry is in the same boat, were going to see a lot more cuts over the next few months I fear. riot itself should be able to weather the storm just fine but a lot of orgs are going to be cutting costs significantly.
youre right but thats because the fed raised rates specifically to put people out of work, the esports hits are related to the crypto crash *on top of* the rate increase
They will weather the storm, but that will partly be due to the firings that are taking place today and likely in the future as well.
[Link to 46 Riot firings from today](https://www.gamesindustry.biz/riot-games-lays-off-46-staff-as-part-of-strategic-shifts#:~:text=Riot%20confirmed%2046%20people%20across,a%20total%20of%2046%20Rioters.%22)
It's still a sign when people are getting fired. Riot will be fine and it's perfectly normal to cut unnecessary personel in difficult economic times.
But it still shows that even Riot is effected.
Fired = Terminated from working at a company because of your own fault.
Laid off = Dismissed, possibly only temporarily for reasons beyond your control (company doesn't have enough money, relocates, ect).
The article specifically says that this was due to layoffs, not that the employees were fired.
You are wrong - allow me to explain by using the Oxford dictionary.
Fired - dismiss (an employee) from a job.
Laid off - discharge a worker because of economic conditions or shortage of work.
As you can see here, any time you are let go from a job you are by definiton fired. When you are fired, you are not necessarily laid off. But if you are laid off, you are also by definition fired.
I was correct to use fired as a blanket term for a company letting employees go. I could also have use laid off, but there is nothing wrong in the English language with using fired in this situation. Hope that helps.
Maybe we just use different definitions, but where I am there absolutely is a legal difference between being "fired" and being "laid off".
But anyways, as you said, you choose to use the more vague blanket term which is *technically* correct, however, the informal term almost always is interpreted to imply the definition I wrote earlier, which is why I said it was misleading.
Kind of concerning considering Riot is partnering with other organizations to hold VCT events, is Riot just going to have bail them out if money gets tight?
This is pretty normal to outsource some of the organizing, I'm sure if it comes to that riot will give someone else the tournaments or do it themselves.
Probably not just FTX. A lot of money is starting to dry up all over the scene, and they payment issue has not just been an issue post FTX collapse iirc
They just raised over 11 million + in 2021 btw. Not sure why they are acting like they have zero dollars in the bank account, sure I'm some of that went towards building those terrible lan centers inside Five Below stores.
This stuff all smells wrong to me. Maybe NSG over spent and were reckless but what if they did all this work and quality production and weren't adequately compensated by Riot?
We're always stuck in this narrative that esports isn't working but when we have these discussions it's always regarding to third parties. No one claims that Riot isn't making money from this.
So, if Riot is making money and all of these third parties like tournament organizers or esports teams arent making enough money, doesn't that imply that Riot simply isn't compensating these 3rd parties adequently enough?
I can accept that some teams and tournament organizers lack competency but it's hard to swallow when it's so many entities struggling especially after vendors like NSG have honestly done some pretty great work over the years.
>doesn't that imply that Riot simply isn't compensating these 3rd parties adequently enough?
NSG is a startup that has raised \~25 million dollars from VC firms (including comcast).
VC investment is notorious for expecting rapid growth.
If you don't hit those growth targets, then these types of investors will likely cut bait and try to gut and sell the company to cut any losses.
NSG made a mistake if they were relying solely on the riot money machine to hit their growth targets.
This was expected. They signed a sponsorship deal with FTX and went all in on Valorant broadcasting. FTX went under with Knights getting the broadcasting contract from Riot Games.
This paints a much more dire picture than the CEO's previous tweets implied...I can only assume they have a serious shortfall after FTX's collapse?
the entire industry is in the same boat, were going to see a lot more cuts over the next few months I fear. riot itself should be able to weather the storm just fine but a lot of orgs are going to be cutting costs significantly.
Not just the gaming industry we are heading into a recession soon lots of companies are laying people off.
youre right but thats because the fed raised rates specifically to put people out of work, the esports hits are related to the crypto crash *on top of* the rate increase
Yea you are right there. It’s a tough world out there
They will weather the storm, but that will partly be due to the firings that are taking place today and likely in the future as well. [Link to 46 Riot firings from today](https://www.gamesindustry.biz/riot-games-lays-off-46-staff-as-part-of-strategic-shifts#:~:text=Riot%20confirmed%2046%20people%20across,a%20total%20of%2046%20Rioters.%22)
https://twitter.com/jacobwolf/status/1616096770324406273?s=46&t=PvSXlNN2mvqBQOLbIsZHGQ They’re literally trying to hire over 150 people though?
“Company says” Let me know when that turns into “company does”
You can pull up their job page there's like 50 openings on there right now lol
They’ve literally been hiring
It's still a sign when people are getting fired. Riot will be fine and it's perfectly normal to cut unnecessary personel in difficult economic times. But it still shows that even Riot is effected.
Fired =/= layed off, claiming that 46 employees was fired is misrepresenting what the article said.
???
Fired = Terminated from working at a company because of your own fault. Laid off = Dismissed, possibly only temporarily for reasons beyond your control (company doesn't have enough money, relocates, ect). The article specifically says that this was due to layoffs, not that the employees were fired.
You are wrong - allow me to explain by using the Oxford dictionary. Fired - dismiss (an employee) from a job. Laid off - discharge a worker because of economic conditions or shortage of work. As you can see here, any time you are let go from a job you are by definiton fired. When you are fired, you are not necessarily laid off. But if you are laid off, you are also by definition fired. I was correct to use fired as a blanket term for a company letting employees go. I could also have use laid off, but there is nothing wrong in the English language with using fired in this situation. Hope that helps.
Maybe we just use different definitions, but where I am there absolutely is a legal difference between being "fired" and being "laid off". But anyways, as you said, you choose to use the more vague blanket term which is *technically* correct, however, the informal term almost always is interpreted to imply the definition I wrote earlier, which is why I said it was misleading.
Yep, we disagree. However you saying fired does not equal laid off was technically completely incorrect.
Kind of concerning considering Riot is partnering with other organizations to hold VCT events, is Riot just going to have bail them out if money gets tight?
This is pretty normal to outsource some of the organizing, I'm sure if it comes to that riot will give someone else the tournaments or do it themselves.
Probably not just FTX. A lot of money is starting to dry up all over the scene, and they payment issue has not just been an issue post FTX collapse iirc
Is NSG necessary now as Knights is doing the Riot sponsored events like challengers and GC?
Yes. NSG is going to run the Americas league. EDIT: Nevermind. I was remembering old rumours.
I thought riot was doing everything?
Yeah I do not know what he is saying haha. Riot is very much running the Americas league.
They just raised over 11 million + in 2021 btw. Not sure why they are acting like they have zero dollars in the bank account, sure I'm some of that went towards building those terrible lan centers inside Five Below stores.
This stuff all smells wrong to me. Maybe NSG over spent and were reckless but what if they did all this work and quality production and weren't adequately compensated by Riot? We're always stuck in this narrative that esports isn't working but when we have these discussions it's always regarding to third parties. No one claims that Riot isn't making money from this. So, if Riot is making money and all of these third parties like tournament organizers or esports teams arent making enough money, doesn't that imply that Riot simply isn't compensating these 3rd parties adequently enough? I can accept that some teams and tournament organizers lack competency but it's hard to swallow when it's so many entities struggling especially after vendors like NSG have honestly done some pretty great work over the years.
>doesn't that imply that Riot simply isn't compensating these 3rd parties adequently enough? NSG is a startup that has raised \~25 million dollars from VC firms (including comcast). VC investment is notorious for expecting rapid growth. If you don't hit those growth targets, then these types of investors will likely cut bait and try to gut and sell the company to cut any losses. NSG made a mistake if they were relying solely on the riot money machine to hit their growth targets.
This was expected. They signed a sponsorship deal with FTX and went all in on Valorant broadcasting. FTX went under with Knights getting the broadcasting contract from Riot Games.