Pixel P&L: ESL FACEIT Cuts, EA Beats Forecast, East Asia Market Drops

Welcome to another Pixel P&L edition. This issue takes 4 minutes to read. If you only have one, here are the 5 most important things:

• ESL FACEIT Group prepares another massive layoff wave affecting 250 employees across gaming operations.

• Electronic Arts beats Q1 expectations with strong sports franchise performance but maintains cautious full-year outlook.

• NODWIN Gaming secures major streaming deal with Sony LIV for India's Esports World Cup 2025 coverage

• East Asia gaming market faces a 2.3% decline in 2025 amid economic headwinds.

• IGN launches a new analytics platform revealing mobile gaming's surge, with 93% of Gen Alpha preferring mobile over consoles. 

Let's dive in.

ESL FACEIT Group Plans Fresh Round of Layoffs Across Gaming Operations

ESL FACEIT Group (EFG) is preparing to announce another wave of layoffs affecting approximately 250 employees across its gaming platform and tournament operations, according to sources cited by journalist Richard Lewis.

The cuts will impact roughly 50 positions at FACEIT's gaming platform and over 200 at ESL's tournament division, according to Lewis. Key departments including growth, integrity, and marketing teams face significant reductions, with the integrity team responsible for player behavior and anti-cheat development particularly affected.

This marks the third round of layoffs since Saudi Arabia's Savvy Games Group began its acquisition spree. In July 2023, EFG laid off approximately 65 employees at Esports Engine following its acquisition of Vindex, primarily affecting staff in Burbank, California. A much larger reduction followed in February 2024, eliminating 15% of the global workforce, an estimated 250-300 employees across all departments and seniority levels.

EA Reports Strong Q1 Results, Maintains Full-Year Outlook

Electronic Arts reported first-quarter results that exceeded expectations, driven by robust performance in its sports franchises and battle royale game Apex Legends, though the videogame publisher maintained its full-year guidance.

The company posted net bookings of $1.298 billion for the quarter ended June 30, up from $1.262 billion a year earlier and above the high end of management's guidance. Net revenue rose to $1.671 billion from $1.660 billion, while net income declined to $201 million from $280 million in the prior-year period.

EA Sports titles delivered standout results, with it recording a record quarter for FC Mobile and F1 25 showing year-over-year bookings growth. The performance underscored the strength of EA's live-services model across its portfolio.

"We delivered a strong start to FY26, outperforming expectations ahead of what will be the most exciting launch slate in EA's history," said Chief Executive Andrew Wilson.

The company maintained its fiscal 2026 outlook despite the better-than-expected quarter, citing confidence in upcoming releases including Battlefield 6 and College Football.

⚡️Quick Bytes

NODWIN Gaming Partners With Sony LIV For Esports World Cup 2025

NODWIN Gaming secured a streaming partnership with Sony LIV for India's broadcast rights to the Esports World Cup 2025. The tournament, featuring a record $70.45 million prize pool, will stream in Hindi and English across Sony's platform, covering chess, BGMI, and Tekken competitions from Riyadh this summer.

East Asia Gaming Market to Decline 2.3% in 2025

The East Asia videogame market will shrink 2.3% to $28.5 billion in 2025, driven by weakened currencies and economic slowdown amid global trade tensions, according to a Niko Partners report. The Japan-South Korea market generated $29.1 billion in 2024, already down 3.1% year-over-year. The firm expects a rebound in 2026, projecting growth to $30.3 billion by 2029.

IGN Launches Gaming Trends Platform, Predicts Mobile Dominance

IGN Entertainment introduced a data analytics platform that tracks gaming trends using traffic from its 500 million monthly users. The company's research shows mobile gaming gaining ground, with 93% of Gen Alpha players and 32% of millennials now preferring mobile devices over consoles.

⚔️Side Quest

📺 Listen: Game Changers host Jackson Vaughan examines why gaming's biggest successes aren't revolutionary, they're smart remixes of familiar formats. From Echo Chess to Fortnite, this episode reveals how developers are building on what players already love while delivering fresh experiences. Essential listening for understanding why innovation often starts with tradition.

🎮 Play: Worshippers of Cthulhu masterfully nails Lovecraftian atmosphere with immersive music, visuals, and cult-leader decision-making that even non-city-builder fans will enjoy. Despite repetitive housing management and petty cultist needs, this addictive colony sim delivers authentic supernatural horror, madness, and eldritch management. Perfect for fans of cosmic dread and dark strategy games.

📚 Read: Tech news site Sherwood's comprehensive feature on Roblox explains the company's 200% share surge over the past year despite never posting a profit. The piece unpacks the confusing no net profit, lots of cashflow dynamic that puzzles investors, while exploring safety concerns and monetization issues in the $80 billion children's gaming platform.

💡Did You Know

Solid Snake from Metal Gear Solid was directly inspired by Snake Plissken from John Carpenter's Escape From New York, and the resemblance nearly sparked a lawsuit. Copyright holders wanted to pursue legal action against Konami over what they considered a "rip-off," according to Carpenter himself in a Hollywood Reporter interview. However, no lawsuit materialized. Why? "I know the director of those games, and he's a nice guy," Carpenter explained. "Or at least he's nice to me." 

📜 Quote of the Day

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