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Most of the fired employees come from the hardware (Steam Box) and mobile divisions

Prepping for the launch of its upcoming Steam Box and expansion onto multiple mobile platforms, gaming giant Valve Corp. is making some major changes to its staff, including firing a number of employees.  The software firm -- which became famous for its Half-Life series, its Source engine, and its Steam game distribution network -- has fired at least 25 employees, according to Gamasutra.  At least eight employees disappeared from a publicly available staff registry, seemingly partially confirming the news.

The casualties include Jeri Ellsworth, a hardware engineer responsible for prototyping the Steam Box controllers, and Jason Holtman, who helped architect the STEAM service and handle developer relations.

The bulk of the cuts appear to be in the hardware and mobile (Android) divisions.  While ostensibly the Steam Box is still on track for a release sometime next year, the cuts raise question about whether Valve is second-guessing the leap into the hardware space.

Gordon from Half Life
Valve is thinning the herd.

Firings are very unusual at Valve.

The Seattle-area company is famous for its outside-the-box management strategy.  There are no bosses, no employee at the company has an official title, and there are no cubicles -- employees migrate their desks around the building to wherever they're working each week in organic fashion.

In the past, most employees who didn't work out left on their own terms without being fired.  Gabe Newell -- who The NYT says is at times referred to as the "CEO" of the company, but only by empty formality -- comments, "I get freaked out any time one person leaves.  It seems like a bug in the system."

Valve employs a little over 300 employees, reportedly, so the cuts may represent as much as 8 percent of the total workforce.  Valve employees told Gamasutra that the company is making "big decisions" and referred to the uncharacteristic firing as "the great cleansing".

Sources: Gamasutra, Develop

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By NellyFromMA on 2/15/2013 2:31:55 PM , Rating: 2
Also, don't get me wrong; I don't hate Valve or Steam, as I mentioned before.

Rather, I think Gabe is not suited to carry through the vision he outlines and don't personally beleive its ambitious compared to the state of PC gaming as it currently has been for 10 years.

Ironically, I find it only ambitous in the sense that it is so outside of Valve's strong suit and after following up on details thusfar, I'm very unconvinced that there's even a need for a Steam box other than Gabe's ego being shunted by the world evolving around him.

It's an opinion. One I'm not ashamed to have either. Do I want Steam to succeed, sure why not. I don't care if they do or don't all that much because frankly Id on't think they've done anything so amazing that they are somehow a leader in gaming.

Bottom line is Gabe is angry because if he wants to expand into the mobile space, he's gonna have to pay Apple or MS a peice of the pie because thats where mobile is trending and infact already at. He doesn't like this because he has no alternative, so he's trying to make an option for himself. Great. Do I think he's going to execute it well. No.

"Nowadays you can buy a CPU cheaper than the CPU fan." -- Unnamed AMD executive

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