
Yield Guild cuts 35 jobs for AI pivot
- Yield Guild Games (YGG) will cut 35 jobs and shut its YGG Play publishing business after citing weak crypto and gaming markets.
- The company said the restructure will extend its operating runway to four years, supported by a US$20.6 million treasury.
- Yield Guild Games said it will shift resources to AI data services using gaming datasets generated by its community.
Yield Guild Games (YGG) will cut 35 employees and close its YGG Play publishing division as it shifts its focus from Web3 game publishing to supplying data for artificial intelligence models.
The company said prolonged weakness in the crypto market and video game publishing industry meant YGG Play was no longer commercially sustainable, adding that it does not expect the Web3 gaming market to recover sufficiently in the near term.
“Sunsetting YGG Play is a heavy decision, but it is a market decision, not a product decision,” said Yield Guild Games co-founder Gabby Dizon.
Yield Guild Games said it will close the YGG Play website, game launcher and rewards platform, end marketing support for third-party games, retire LOL Land and Waifu Sweeper, and continue operating the Web3 versions of GIGACHADBAT and Ragnarok Breaker.
The company said the restructuring is expected to extend its operating runway to four years, supported by a treasury of US$20.6 million, and there was no immediate market reaction because Yield Guild Games is not a publicly listed company.
Yield Guild Games said it will redirect resources to the AI data economy by creating gaming datasets that can be used to train artificial intelligence models, with players generating behavioural data through gameplay.
The announcement follows more than 5,000 crypto industry job cuts this year as companies including Block, BitGo, Robinhood, Kraken, Coinbase, Gemini and Crypto.com reduced headcounts while increasing their focus on artificial intelligence.