Niantic, the maker of the popular Pokemon Go video game, has announced plans to lay off 230 employees and reorganize its business due to a slowdown in demand within the gaming industry following the surge in downloads during the pandemic.

The company will also close its Los Angeles studio and discontinue two games. Niantic's CEO, John Hanke, cited the company's expenses outpacing revenue growth as the reason for the workforce reduction.

Despite the challenges, Hanke emphasized the company's commitment to keeping Pokemon Go thriving while adapting to the changing market conditions.