Square Enix executes massive layoffs, plans to automate 70% of QA and debugging using AI
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Key points
- Over a hundred UK employees and an unknown number of US Square Enix workers are expected to be impacted by layoffs.
- Square Enix plans to automate 70% of QA and debugging tasks in game development by the end of 2027 using AI.
- AI implementation will be carried out through joint development with the Matsuo–Iwasawa Laboratory from the University of Tokyo.
Over a hundred UK employees and an unknown number of US Square Enix workers are expected to be impacted by massive layoffs in line with the company’s ‘Reorganization of Overseas Organizations.’
The news comes along with the company’s announcement of plans to automate 70% of QA and debugging tasks in game development by the end of 2027 using AI.
Both facts were outlined in the company’s Progress Report on the Medium-Term Business Plan published on Nov 7, 2025, with ‘Overseas Structural Reform’ missing any specific numbers or direct mention of layoffs.
While the figure of employees undergoing mass layoffs was estimated by IGN, Square Enix confirmed dismissals in a statement to the outlet without mentioning specific numbers: “We are reorganizing our operations in North America and Europe to strengthen our development structure and to drive a globally integrated marketing strategy.”
As for the company’s plans to automate 70% of QA and debugging using AI, this will be carried out through joint development with the Matsuo–Iwasawa Laboratory from the University of Tokyo. A joint research team of more than ten members will include engineers from Square Enix and researchers from the university.
