Bandcamp Lays Off Half of Its Staff Amid Epic Games Restructuring

Epic Games' mass layoffs have impacted Bandcamp, with half of the music platform's employees being let go. Those affected will receive six months of severance pay, although the Bandcamp United union is seeking to negotiate more favorable terms. According to a Songtradr spokesperson, 60 out of 118 Bandcamp employees have been offered positions, while 58 have not. This development comes as Epic Games finalizes the sale of Bandcamp to Songtradr, a music licensing company, following the initial announcement of the layoffs. In September, Epic Games revealed plans to lay off 830 employees, representing approximately 16% of its workforce, with Mediatonic, the studio behind Fall Guys, also being affected. In addition to the sale of Bandcamp, which was acquired by Epic in March 2022, the company is also divesting itself of SuperAwesome, a 'kidtech' specialist acquired in 2020. Songtradr has issued a statement explaining its decision not to acquire Bandcamp in its entirety, citing the need to adjust to rising operating costs and ensure the company's long-term sustainability. The statement reads: 'Over the past few years, Bandcamp's operating costs have increased significantly, requiring adjustments to ensure a sustainable and healthy company that can serve its community of artists and fans. After a comprehensive evaluation, including the importance of roles for smooth business operations and pre-existing functions at Songtradr, 50% of Bandcamp employees have accepted offers to join Songtradr.'