As far as Valve being a company and layoffs 'happening'. They actually brag about having one of the highest employee retention in the software industry (something like 98.7%) in the Valve hand book and in their statements they've made as well as talking about how hard it is to actually get fired from Valve. This is a really big deal as it violates their companies ideology.
according to Gabe Valve prefers to hire the best but with that comes expectations, he then went on to say the only way to maintain continued success in that model is to be ready to fire ppl who can't find a way to fit into their culture and cited that they've had the most difficulty with new hires from Hollywood.
that doesn't in any way sound like a company that never lets employees go, also mentioned is that Valve has experienced 50% year on year revenue growth since the company launched the original Half Life.
keeping those comments in context contradicts claims that Valve may be suffering.
got that from that video that TR posted of Gabe Newell last week, was well worth the hour invested, found it very interesting.
in response to this discussion across the web Gabe Newell wrote:We don't usually talk about personnel matters for a number of reasons. There seems to be an unusual amount of speculation about some recent changes here, so I thought I'd take the unusual step of addressing them. No, we aren't canceling any projects. No, we aren't changing any priorities or projects we've been discussing. No, this isn't about Steam or Linux or hardware or [insert game name here]. We're not going to discuss why anyone in particular is or isn't working here.
Splitting hairs, the source of every prolonged discussion on the web.