Electronic Arts Inc. announced plans to lay off approximately 400 employees, representing about 3% of its workforce, and to close its BioWare development studio located in Edmonton, Canada. BioWare, known for its role-playing game franchises such as "Dragon Age" and "Mass Effect," will see roughly 50 job cuts as part of the restructuring.

The move comes amid EA’s broader strategic shift following a $55 billion leveraged buyout led by Saudi Arabia’s Public Investment Fund, which placed around $18 billion in debt on the company. Earlier this year, EA outlined a plan to save up to $700 million by reducing research and development expenses and focusing on higher-return projects.

In a letter to employees, EA’s Chief Operating Officer David Tinson and Chief Studios Officer Cam Weber indicated that the company had reevaluated its business priorities over recent months. This review led to the cancellation of an early-stage "Mass Effect" game in development at BioWare and the discontinuation of a "The Sims" franchise project internally referred to as Project Lotus. The company also noted plans to downsize the team working on the "Skate" game series.

EA said it will continue to invest in major franchises such as its sports games, the online shooter "Apex Legends," the next "Star Wars Jedi" title, and a new game featuring Marvel’s Iron Man. The company also confirmed ongoing commitment to the "Battlefield" series, highlighting collaboration between its Respawn and DICE studios on a new project likely connected to the "Star Wars: Battlefront" franchise.

Founded in 1995 and acquired by EA in 2007, BioWare earned critical praise and commercial success early on but encountered challenges with recent releases like "Mass Effect: Andromeda" and "Anthem," which received mixed to poor reviews. Its latest title, "Dragon Age: The Veilguard," underperformed commercially, prompting EA to reduce the studio’s size last year before deciding on the full shutdown.

The restructuring reflects EA’s shift toward focusing resources on projects with larger-scale action-adventure appeal and stronger potential for long-term growth, as the company adapts to its new financial framework post-buyout.