Telltale states that the decision to cut staff was to make the company "more competitive" to the types of games they are best known for making. While I can understand how less staff would save money, fears are spreading that this marks an unhealthy point for the company.
Telltale Games CEO Pete Hawley said in the following statement:
Our industry has shifted in tremendous ways over the past few years. The realities of the environment we face moving forward demand we evolve, as well, reorienting our organization with a focus on delivering fewer, better games with a smaller team.
A common criticism by the community is that Telltale has been that they are churning out too many games, believing it is causing a dip in quality. This change may be for the better if they're genuine in their statements.
Telltale says that the current going projects will not suffer any from this restructuring, so Minecraft: Story Mode, Guardians of the Galaxy, and the fourth and final entry in The Walking Dead series all remain safe.
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