There has been no official word yet about the recent layoffs from Wizards and the total number of people laid off is unknown.
However, ICv2 went straight to WoTC for comments and their spokesperson explained that WoTC 'consolidated its digital game organizations to streamline execution of digital growth strategies for core brands'.
This is what Greg Leeds, president of WoTC have to say,
“Consolidating internal resources coupled with improved outsourcing allows us to gain efficiencies in executing against our major digital initiatives Magic Online and D&D Insider,” he said. “Wizards of the Coast is well positioned to maximize future opportunities, including further brand development on digital platforms. The result of this consolidation is a more streamlined approach to driving core brands.”
This sounds very familiar with the reason they gave during the August restructuring and I don't know if I can buy that. 'Consolidating' and 'Streamlined' sounds like a really polite way of 'cutting down' on expensive (and experienced) staff especially from the digital games department. How small do they need to get?
Scott Rouse's team got smaller in August and now he looks like he could use a hand; a hand they chopped off in August.