1UP Network Sold, EGM Discontinued, and 40 1UP Employees Reportedly Laid Off

Over the past few years, readers of Electronic Gaming Monthly may have noticed that their video game magazine of choice was losing some weight, that its page numbers were dropping lower by the month. Given the dire state of print journalism, we knew it was only a matter of time before EGM went the way of The Official U.S. PlayStation Magazine, Games for Windows, and dozens of other discontinued gaming mags. What we didn’t expect, however, is that most of the 1UP Network would go down with it.

Yesterday, the long-rumored sale of the 1UP Networks (which includes 1UP.com, MyCheats.com, Gamevideos.com, and Gametab.com) by owner Ziff Davis became a reality, with full ownership passing to UGO Entertainment and its parent, Hearst Corporation. In a press release posted on UGO.com, 1UP Editorial Director Sam Kennedy stated that the 1UP crew was “excited to join the UGO team… Relying on UGO’s publishing platform will allow us to focus on what we do best—creating great content and ‘owning the conversation’ among gamers through our unique, authentic and definitive voice and community.”

However, not all was smiles and handshakes, as it was soon revealed that EGM would cease publication immediately. In a leaked email obtained by Gamasutra, Ziff Davis CEO Jason Young divulged the fate of the magazine: “With this transaction happening, we have also made the decision to discontinue publication of EGM. The January 2009 issue will be the final issue of the publication. With demand for print continuing to decline amongst both advertisers and readers and the content being produced by 1UP no longer available for use in the publication, it simply did not make sense for us to move forward with this business any longer.” The January 2009 EGM will now be known as the magazine’s final issue, which sadly ends just short of its 20th anniversary issue.

The first EGM debuted almost 20 years ago.

In a day full of announcements about growth and success, there was one statement that is more confusing and (dare I say it?) contradictory than the rest. In the UGO press release, CEO of UGO Entertainment J Moses stated that “The acquisition of 1UP, with its authentic voice, tenured editorial personalities and bustling user community, allows us to expand our base of quality content and represents a major step forward in UGO’s mission to become the leader in the games space.” This statement is confusing because shortly after the news broke, Joystiq posted a list of 40 1UP employees that had been laid off in the wake of the deal, including the entire staff of EGM. Maybe it’s just me, but it seems difficult for UGO to use the “authentic voice” and “tenured editorial personalities” if they are immediately fired.

While there has been no official announcement regarding 1UP’s downsizing, several of those listed have corroborated the reports via their blogs and/or Twitter entries. “With the buyout by UGO, many of us here won’t be moving on into the new organization,” said former 1UP editor Ziff Davis Alum Matt Chandronait on his blog. “That includes most of Gamevideos and the entire crew of The 1UP Show.” Other posters have stated that all of 1UP’s podcasts, including The 1UP Show (which was nominated for a Best of Web award last year), have been discontinued.

Judging by the legions of posts on Internet message boards, I’m not the only one a bit miffed at yesterday’s proceedings, and hopefully more will be revealed later today. But no matter how great or terrible 1UP becomes as a result of these events, I think I speak for all of us here at GotGame when I wish the best of luck to those who have lost their jobs, and I thank them all for the years of enjoyment you have brought to millions of readers and listeners.

Good luck to all of the 1UP crew—here's hoping we hear from you soon.

More news is expected later today, so stay tuned to GotGame for future reports.