Sony Online Entertainment slashes 205 jobs, ceases development of The Agency in reorganization

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Sony Online Entertainment said Thursday it will cut 205 jobs, close three development studios and cancel development of an ambitious online spy game dubbed The Agency.

Most of the job cuts are coming at Sony’s Seattle studio, which had been developing The Agency for the last five years. The game was slated to ship last November but was delayed. In addition to the Seattle location, Sony will shutter studios in Denver and Tucson.

Sony is expected to take an undisclosed financial charge to close the studios this fiscal year, which ends Thursday.

The company, in a statement, said it would focus on developing two upcoming titles based on its PlanetSide and EverQuest franchises. It continues to run nine online games, including its latest, DC Universe Online. Sony Online, which is a separate division from Sony’s PlayStation business, estimated that 20 million people have played its online games over the last 12 months.

-- Alex Pham