Epic Games Cuts Jobs and Announces Fortnite Mode Shutdowns Amid Declining Engagement

Epic Games has announced a major round of layoffs, confirming that approximately 1,000 employees have been let go following a decline in player engagement with Fortnite. Alongside the job cuts, the company also revealed plans to shut down several game modes in 2026, signaling a broader restructuring effort.

Despite Fortnite’s long history of high-profile collaborations and frequent content updates, Epic acknowledged that it is currently facing financial challenges. While employees have already felt the impact, players will soon see changes as well, with multiple features being removed from the game.

Three Fortnite Modes Set for Removal

Epic Games confirmed that three Fortnite modes will be permanently discontinued:

• Ballistic — April 16, 2026
• Festival Battle Stage — April 16, 2026
• Rocket Racing — October 2026

Ahead of its shutdown, Rocket Racing will begin winding down earlier, with quests becoming unavailable starting the week of March 30. Its track creation tools will also be removed from Unreal Editor for Fortnite (UEFN). While some previously planned updates will still roll out in April, no further ranked rewards will be added.

Creators will have the option to transfer compatible content — such as custom tracks and vehicles — into standalone UEFN islands before the mode is fully retired.

Meanwhile, Ballistic and Festival Battle Stage will be removed with the Version 40.20 update, although certain FPS tools will remain accessible in UEFN. Other Festival modes, including Main Stage and Jam Stage, will continue to operate as usual.

Uncertainty Around Future Content

The announcement has sparked speculation within the community. Some players are questioning whether upcoming collaborations could be scaled back as Epic looks to reduce costs associated with licensing major IPs.

Recent additions like Game of Thrones characters — including Daenerys, Jon Snow, and the Night King — have kept interest alive, and fans are still anticipating future crossovers such as Looney Tunes. However, it remains unclear whether all planned partnerships will move forward.

Part of a Wider Industry Trend

Epic’s restructuring reflects a broader trend across the gaming industry. Since 2023, major companies including Rockstar, Microsoft, Sony, Ubisoft, and Embracer Group have all announced significant layoffs.

While executives often cite rising development costs and overexpansion as the cause, players are now beginning to feel the effects directly. In Fortnite’s case, the removal of entire game modes marks a visible shift in priorities.

As Epic Games navigates its current challenges, many fans are hoping that these changes will be limited — and that no further cuts to Fortnite’s content are on the horizon.