Games are huge projects that require a lot of resources and team members that Niantic doesn’t seem to have. Even with all the revenue generated by Pokemon GO, the company announced that it will be canceling several upcoming products and reducing a percentage of its staff. This is due to the company not being able to land another successful title after Pokemon GO.
Niantic cuts projects and labor
In 2016, Niantic found success with the launch of the hugely popular AR mobile game, Pokemon GO. Even though the game continues to stay active with periodic updates and events, it just isn’t producing enough to sustain the entire company. Despite the team’s best efforts to create another hit, Niantic is in dire straits that impact its projects and employees. The company has decided to drop its upcoming planned games: heavy metal (a Transformers Game), Hamletand two projects codenamed Blue sky and Snowball. It has also led to an 8% reduction in its staff, which will lead to the loss of nearly 100 jobs.
Previously, Niantic was established in 2010 within Google before becoming independent in 2015. Since then, it has focused its efforts mainly on innovative augmented reality games. His first big hit came six years later with the launch of Pokemon GO which continues to be played globally year-round. Since then, they have tried to apply their AR tactics to a number of other properties to create the same spark. This includes Harry Potter: Wizards Unite in 2019, followed by the two Pikmin Flower and Catania World Explorers in 2021. Although each of them had a lot of brand recognition, both Catania and Wizards were closed months after their release, the latter having done so to make way for pikmine.
With Niantic having to cancel projects and lay off workers, the company is going through a tough time. Though they express hope with their latest projects NBA All World and their virtual pet title Peridotit is unclear what impact this will have on ongoing operations on other projects like Pokemon Go.