Seattle's Rec Room Reduces Workforce by 16%

March 4, 2025 - 12:44

The Seattle-based company behind the popular virtual hangout app, Rec Room, has announced a significant reduction in its workforce, laying off 16% of its staff. In a memo addressed to employees, the CEO expressed that this was not an easy decision and acknowledged the emotional weight of such actions on the team. The layoffs come as part of a broader strategy to streamline operations and ensure the company can continue to thrive in a competitive gaming landscape.

The CEO emphasized the importance of the remaining team members and their contributions to the company's mission of creating a vibrant social platform for users. Despite the challenges posed by the current economic climate, the leadership remains optimistic about the future of Rec Room and its potential for growth. The decision reflects a commitment to maintaining a sustainable business model while continuing to innovate and enhance the user experience. Employees affected by the layoffs are being offered support as they transition to new opportunities.