Garena Implements Significant Staff Reductions

According to sources, Garena is undergoing a major restructuring, resulting in the loss of hundreds of jobs at its Shanghai offices. This move is part of a broader effort by parent company Sea Ltd. to downsize, following a substantial quarterly loss of $931 million. The layoffs, which account for 15% of Garena's Shanghai staff, are accompanied by the cancellation of several new game projects. A spokesperson for Sea confirmed that Garena has made adjustments to certain teams, although the company has not provided further details. The digital entertainment sector has experienced a decline, with bookings down 27% and 40% in the first two quarters, respectively. The pandemic-driven surge in gaming has subsided, and Garena has faced additional challenges, including the ban of Free Fire in India due to its links to China. Sea Ltd., headquartered in Singapore, has a significant stake held by Tencent, totaling almost 19%. This development follows recent reports of staff reductions at Garena's livestreaming platform, Booyah.