FaZe Clan is a professional esports organisation and a pioneer in the world of esports. It is also one of the largest gaming teams since its establishment in 2010. The brand has made a splash across multiple games and obtained talented players and loyal fans from all over the world, proving themselves to be one of the most formidable teams in the industry.
However, the gaming organisation is purportedly facing financial troubles and was forced to lay off about 40 percent of its staff. According to Dexerto, FaZe was publicly listed last year at a U$725 million valuation, but its current stock price is currently below US$1.
This is the second round of layoffs this year; the first wave of terminations happened in February when the company had to let go of 20 percent of its workforce.
FaZe chief executive officer Lee Trink told Digiday that the latest batch of unfortunate employees would receive a calendar invite from their human resources team to inform them of their termination.
“This does not mean that we are abandoning the aspirations we have for FaZe - we are simply setting some of our larger goals aside so we can put our heads down and focus on what’s directly in front of us,” Trink added.
Despite its colossal popularity, FaZe’s financial struggle is not the only problem they are facing. Some of the team’s personalities have also been accused of making homophobic and misogynistic statements on their personal social media accounts in the past few years.
Atlanta FaZe have issued an apology for a tweet that drew some backlash in the community. Saying it has been handled internally. pic.twitter.com/TNRkQJY6T9
— Jake Lucky (@JakeSucky) July 7, 2022
It is unclear if FaZe will consider further downsizing as a means to ease its financial woes, but hopefully the company will finally find its footing and overcome this difficult challenge.
