Electronics Arts is to close its Black Box Studio facility in downtown Vancouver as part of a company-wide restructuring.

The move follows an indication last week by the California-based gamemaker that it has abandoned plans to build a third production studio in Vancouver because of weaker video game sales in the run-up to Christmas.

The gamemaker will now consolidate its Black Box Studio and 350-strong workforce, which developed the popular Need For Speed game franchise, at its campus location in nearby Burnaby.

EA acquired the Black Box facility in 2002 when it purchased Black Box Games.

The gamemaker did not specify plans for any layoffs in Vancouver, where it employs around 1,800 people, as part of overall plans revealed Friday to cut 1,000 people, or 10% of its worldwide workforce, by March 31.

EA said it will close nine studios worldwide, but the Vancouver studio was the only facility identified in a statement issued Friday. The company-wide consolidation aims to save $120 million in annual operating costs.

Electronic Arts in recent years has posted around $1 billion in annual sales from video games conceived at its Vancouver facilities.