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As ZeniMax also faces cuts, Xbox seeks a "significant overhaul" to focus on Fallout, The Elder Scrolls, Quake, and other big franchises
Microsoft's Xbox division is undergoing a significant overhaul, including layoffs affecting approximately 3200 jobs and restructuring at ZeniMax Media and Bethesda Softworks. The focus will shift to major franchises like Fallout, The Elder Scrolls, Doom, and Quake, potentially impacting the future of other IPs and studios like Arkane.
Xbox Layoffs Hit Id Software And ZeniMax As Focus Shifts To Bigger Franchises
Xbox is undergoing its most significant restructure in history, with approximately 20% of its workforce being laid off. This includes significant staff reductions at Id Software and ZeniMax Online Studios, though these developers will remain operational. Xbox leadership stated the company will focus on higher-priority projects and major franchises, assuring that no previously announced first-party games will be canceled as part of these changes.
Xbox acquisitions have been a disaster: "In a typical year, we lost 64 cents for every dollar we invested"
Xbox CEO Asha Sharma revealed that Microsoft's aggressive acquisition strategy has resulted in significant financial losses, with the company losing 64 cents for every dollar invested in typical years since 2018. In response to this unsustainable model, Xbox is undergoing a reset, leading to layoffs and the divestment of several studios, including Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, while others like Arkane Studios are reviewing strategic options.
Microsoft needs to "reset Xbox," says Asha Sharma, as the company lays off 3,200 employees
Microsoft's Xbox division is undergoing significant restructuring, with approximately 3,200 employees being laid off throughout the 2027 fiscal year, including 1,600 immediately. CEO Asha Sharma stated the business is not healthy and operating at lower margins than comparable companies. Several studios, including Compulsion Games and Double Fine Productions, will transition to independent management, while Ninja Theory and Undead Labs are set to be acquired by new owners.
ZeniMax's pivot to big series amid Xbox cuts reportedly isn't a death knell for Doom, Quake and Wolfenstein
Xbox has announced significant layoffs and studio restructuring, affecting studios like Double Fine and Arkane, while shifting focus towards established franchises such as Fallout and The Elder Scrolls for ZeniMax Media. Despite these changes, core series like Doom, Quake, and Wolfenstein will continue development. Mojang Studios will now report directly to CEO Asha Sharma, with increased investment planned for Minecraft.
Xbox cuts 3,200 staff as four studios to exit Microsoft – Arkane under review
Microsoft has announced significant layoffs affecting approximately 3,200 employees within its Xbox division, with 1,600 staff being let go immediately. Four studios, including Ninja Theory and Undead Labs, are becoming independent or being sold off, while Arkane Lyon's future is under review. This restructuring follows a period of rapid developer acquisitions and aims to refocus Xbox's business strategy.
Xbox are parting ways with Double Fine, Arkane, Undead Labs, Compulsion, and Ninja Theory in the course of thousands of layoffs
Microsoft has announced significant layoffs affecting 3200 employees and is parting ways with five Xbox-owned studios: Double Fine, Arkane, Undead Labs, Compulsion Games, and Ninja Theory. Some studios will become independent or find new ownership, while Arkane's future is uncertain. CEO Asha Sharma cited rising costs, underperforming acquisitions, and a challenging industry landscape as reasons for the "reset."
Microsoft confirms 3200 layoffs and four studio departures
Microsoft has confirmed significant layoffs affecting approximately 3,200 employees across its Xbox business, including 1,600 on the day of the announcement. Four studios, Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, will either become independent or find new ownership, while Arkane Studios faces strategic review. Xbox CEO Asha Sharma cited slower-than-expected growth in Game Pass, multi-platform strategies, and content portfolio as reasons for the restructuring, which will also involve reducing management layers.
Xbox is laying off 3,200 people and dumping 4 studios
Xbox announced significant layoffs affecting approximately 3,200 employees and the restructuring of four studios: Compulsion Games, Double Fine, Ninja Theory, and Undead Labs. While Compulsion and Double Fine will become independent, Ninja Theory and Undead Labs are being sold to new management. The company also confirmed reductions across Activision, Bethesda, Blizzard, King, Mojang, and Xbox Game Studios, with CEO Asha Sharma citing the business's unhealthy state and slower-than-expected growth from Game Pass and multi-platform releases.
Xbox cutting 3,200 jobs and parting ways with Double Fine, Compulsion, Ninja Theory, and Undead Labs
Microsoft has initiated a significant restructure of its Xbox division, eliminating 3,200 jobs and parting ways with four studios: Double Fine, Compulsion Games, Ninja Theory, and Undead Labs. New Xbox CEO Asha Sharma stated the cuts are necessary due to underperforming bets on Xbox Game Pass and multiplatform releases, as well as a severe hardware crisis impacting component prices. The company aims to streamline operations, reduce management layers, and foster a more efficient development environment.
Microsoft announces 3200 layoffs and four studio departures in "most significant" Xbox restructuring in history
Microsoft has announced a significant restructuring of its Xbox division, including approximately 3,200 layoffs and the departure of four studios. Compulsion Games and Double Fine Productions will become independent, while Ninja Theory and Undead Labs are seeking new ownership. Arkane Studios is also under review. Xbox CEO Asha Sharma cited business performance and industry challenges as reasons for the changes.
Xbox Layoffs, Studio Closures, And Spin-Offs: Everything Announced Today
Microsoft has announced significant layoffs and studio restructuring within its Xbox division, impacting 3,200 employees over the current financial year, with 1,600 layoffs starting immediately. Several studios, including Compulsion Games and Double Fine Productions, are transitioning back to independent management, while others like Ninja Theory and Undead Labs are seeking new ownership. The company cited financial underperformance and a need to reset its strategy, focusing investment on higher-priority games and core IPs.
Resetting XBOX
Xbox is undergoing its most significant restructure in history, involving approximately 3,200 job reductions throughout fiscal year 2027, with 1,600 roles eliminated immediately. Four studios, including Compulsion Games and Double Fine Productions, will transition to independent management, while Ninja Theory and Undead Labs are in terms to join new ownership. This strategic reset aims to improve profitability and focus on core businesses, with a simplified organizational structure and a new Chief Operating Officer, Helen Chiang, overseeing operations.
Xbox Announces 3,200 Layoffs for Fiscal Year 2027, Four Studios to be Released
Xbox CEO Asha Sharma announced significant layoffs affecting approximately 3,200 employees, with 1,600 layoffs occurring immediately. Four studios—Ninja Theory, Compulsion Games, Double Fine Productions, and Undead Labs—are being released. Sharma cited lower-than-comparable margins and industry hardware challenges as reasons for the restructuring, aiming to reset Xbox's business focus.
Xbox Layoffs Won’t Stop Work on Doom, Quake and Wolfenstein
Despite significant layoffs impacting Xbox and its ZeniMax Media subsidiaries, work on franchises like Doom, Quake, and Wolfenstein will continue. Xbox CEO Asha Sharma confirmed that ZeniMax will not be reduced to only developing Fallout and The Elder Scrolls. The company is also undergoing management restructuring to streamline decision-making processes.
DOOM, The Elder Scrolls Online Studios “Cutting a Significant Number of Staff” – Rumor
Reports indicate that id Software and ZeniMax Online Studios, both part of ZeniMax Media, are experiencing significant layoffs. While these studios are not closing, a substantial number of staff are being let go. This news follows broader layoffs at Xbox and impacts studios responsible for franchises like DOOM and The Elder Scrolls Online.
Modders made a Fallout 4 quest in a weekend for charity, and it features iconic Elder Scrolls actor Wes Johnson
A new Fallout 4 mod called Double Feature, created by modders Kinggath and others, has been released as part of an annual charity project. The mod features voice acting from Elder Scrolls actor Wes Johnson and has raised over $5,000 for Alzheimer's research, surpassing its initial goal. The mod includes a new quest, player home, companion, power armor, and weapon, and was developed over a single weekend.
Weekend PC Download Deals for July 3: Steam Summer Sale continues
The Steam Summer Sale and other PC gaming storefronts are offering numerous deals on a wide variety of titles. This includes discounts on major releases, indie games, and bundles across platforms like Steam, Epic Games Store, GOG, and Humble Bundle. Several retailers are participating, with prices and availability varying.
Fallout 76 developers discuss next-gen update and Super Mutant as a playable race
Fallout 76 developers discussed the game's upcoming next-gen update and the possibility of Super Mutants becoming a playable race. Production Director Bill Lacoste mentioned the technical challenges of updating libraries for PlayStation and Xbox platforms. While player Ghoul was considered, the team is exploring if a Super Mutant race could fill a gameplay niche.
Rare added to the list of Xbox studios under threat
Rumors suggest that Microsoft is planning significant layoffs across several Xbox studios, including Rare, Bethesda, and Arkane, with some studios potentially facing closure or sale. This follows recent layoffs at Bungie and Microsoft pulling out of a partnership with IO Interactive. The reported motivation behind these potential cuts is a focus on profitability by new Microsoft management.