Epic Games Lays Off Over 800 Employees as Apple Legal Battle Drags On

Epic Games, the company behind popular video game Fortnite, is laying off 830 employees or approximately 16 percent of its workforce. The layoffs come amid Epic's ongoing legal battle with Apple, which started way back in 2020.

fortnite apple featured
Just this week, ‌Epic Games‌ asked the Supreme Court to hear the case, a request that follows two major losses and likely hundreds of thousands or more in legal fees. ‌Epic Games‌ has been trying to paint Apple as a monopolist, and it wants to be able to sell digital skins and other goods to Apple customers without having to pay a cut to Apple.

As a result of the legal dispute, Fortnite has been unavailable from Apple's App Stores for several years now, and those who want to play the game on the iPhone or iPad must seek alternate means to do so, such as web-based platforms.

Epic CEO Tim Sweeney in a memo sent out to employees and shared on the company's website said that it has been "spending way more money" than it earns to grow Fortnite, and other efforts to cut costs have "ended up far short of financial sustainability."

Sweeney says that layoffs are the only way to stabilize the company's finances. Employees will be provided with severance that includes six months of base pay and six months of paid healthcare.

As for the fight against Apple, Sweeney claims that ‌Epic Games‌ is taking steps to cut down on legal expenses, but will continue on with its legal battles so the "metaverse can thrive and bring opportunity to Epic and all other developers."

Popular Stories

imac video apple feature

Apple Unveils First New Products of 2026

Monday January 26, 2026 1:55 pm PST by
Apple today introduced its first two physical products of 2026: a second-generation AirTag and the Black Unity Connection Braided Solo Loop for the Apple Watch. Read our coverage of each announcement to learn more:Apple Unveils New AirTag With Longer Range, Louder Speaker, and More Apple Introduces New Black Unity Apple Watch BandBoth the new AirTag and the Black Unity Connection Braided...
Second Generation AirTag Feature

Apple Unveils New AirTag With Longer Range, Louder Speaker, and More

Monday January 26, 2026 6:07 am PST by
Apple today introduced the second-generation AirTag, with key features including longer range for tracking items and a louder speaker. For those who are not familiar, the AirTag is a small accessory that you can attach to your backpack, keys, or other items. Then, you can track the location of those items in the Find My app on the iPhone, iPad, Mac, Apple Watch, and iCloud.com. The new...
iPhone 5s

iPhone 5s Gets New Software Update 13 Years After Launch

Monday January 26, 2026 3:56 pm PST by
Alongside iOS 26.2.1, Apple today released an updated version of iOS 12 for devices that are still running that operating system update, eight years after the software was first released. iOS 12.5.8 is available for the iPhone 5s and the iPhone 6, meaning Apple is continuing to support these devices for 13 and 12 years after launch, respectively. The iPhone 5s came out in September 2013,...
Apple Logo Spotlight

Apple to Launch These 20+ Products This Year

Sunday January 25, 2026 6:02 pm PST by
2026 promises to be yet another busy year for Apple, with the company rumored to be planning more than 20 product announcements over the coming months. Beyond the usual updates to iPhones, iPads, Macs, and Apple Watches, Apple is expected to release its all-new smart home hub, which was reportedly delayed until the more personalized version of Siri is ready. Other unique products rumored for ...
M5 MacBook Pro

Apple Reportedly Aiming to Upgrade the MacBook Pro Twice This Year

Sunday January 25, 2026 11:46 am PST by
Apple plans to release new MacBook Pro, MacBook Air, Mac Studio, and Studio Display models in the first half of this year, according to Bloomberg's Mark Gurman. In his Power On newsletter today, Gurman added that redesigned MacBook Pro models with an OLED touch screen "should be hitting toward the end of 2026," meaning that the MacBook Pro line would be upgraded twice this year. First up...

Top Rated Comments

lotones Avatar
31 months ago
800+ employees laid off. Meanwhile years of lost profits by not being available on iPhone, and their lawyers get richer by the hour.

Brilliant business model.
Score: 79 Votes (Like | Disagree)
easy4lif Avatar
31 months ago
epic was warned that they didn’t have much of a case, but Tim Sweeney went ahead anyways. Of course the CEO could’ve taken a pay cut and save those jobs, but guess he decided meh.
Score: 68 Votes (Like | Disagree)
Will Co Avatar
31 months ago
Give it up already, Epic.
Score: 54 Votes (Like | Disagree)
miamialley Avatar
31 months ago
CEO not taking a pay cut, right?
Score: 38 Votes (Like | Disagree)
Spaceboi Scaphandre Avatar
31 months ago
Gee! It's almost as if burning billions of dollars on exclusivity deals that don't work, as well as picking a slapfight with Apple over your philosophy of app distribution was a bad idea or something.

We've known since discovery from the trial, all of Epic Games' money problems are because of Tim Sweeney's decision making. He is not a good businessman in the slightest and is ignoring his employees. He needs to go.
Score: 31 Votes (Like | Disagree)
Mazda 3s Avatar
31 months ago

Let’s not pile on please

People are losing their jobs
Yeah, I find nothing funny in people losing their jobs. I don’t blame them for the actions of the CEO and his executive team.
Score: 27 Votes (Like | Disagree)