Epic Games has announced the layoff of more than 1,000 employees as the company grapples with a significant downturn in Fortnite engagement and popularity. The layoffs, which represent a substantial reduction in workforce, are part of a broader effort to cut costs by $500 million. In conjunction with these layoffs, Epic Games will also be shutting down several less popular modes in Fortnite, including Rocket Racing, Ballistic, and Festival Battle Stage. The CEO has clarified that these job cuts are unrelated to advancements in AI. This move comes amid challenging market conditions, as the once-celebrated gaming title faces a slump, prompting the company to make difficult decisions for its future.