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Microsoft Spent $80 Billion On Its Bet For Xbox Game Pass. It Did Not Work.
A report indicates Microsoft spent nearly $80 billion over the past decade on initiatives to boost Xbox and Xbox Game Pass, but these efforts did not meet growth expectations. Despite significant investments in acquisitions and third-party deals, Game Pass subscriber numbers have stagnated, leading to recent layoffs and studio divestitures as Microsoft aims to refocus its strategy.
Doom developer id Software is reportedly losing half its staff
Developer id Software, known for the Doom franchise, is reportedly experiencing significant staff reductions, with approximately half of its employees leaving. This news comes amid broader organizational changes within Xbox.
After Xbox Pulls Funding, Hitman Dev Is Closing A Studio And Laying People Off
IO Interactive is closing its Istanbul studio and laying off staff after Xbox withdrew funding for its upcoming RPG, Project Fantasy. The studio has regained full ownership of the project and its IP, but these cuts were deemed necessary for the company's long-term future and to focus on its core internal titles.
With the sword of Microsoft hanging over it, Blizzard quietly drops Overwatch in Korea into the hands of Nexon
Blizzard Entertainment is transferring publishing duties for Overwatch in Korea to Nexon, with a new PC service set to launch on August 12. This move comes amidst significant restructuring within Microsoft's gaming division, including layoffs and studio divestitures. Nexon aims to enhance the Overwatch experience through hyperlocalization and advanced live operations.
Id Software veteran of over 20 years absolutely rips and tears into Microsoft after devastating layoffs: "XBOX decided half the team was no longer needed"
Long-time id Software developer Michael Maynard expressed his anger and sadness following significant layoffs at the studio, which he states impacted roughly half the team. Maynard, who had been with id Software for over 20 years, criticized Microsoft and Xbox for the decision, highlighting the loss of institutional knowledge and the impact on the studio's legacy. The article also briefly mentions Sony and Bungie's recent workforce reductions and John Romero's support for the affected developers.
'These are hard, but necessary decisions' — Xbox pulled funding for Io Interactive's 'Project Fantasy' but the developer will continue working on the game independently
IO Interactive has regained full ownership of its online fantasy RPG, Project Fantasy, after Xbox withdrew its funding. The developer will continue to fund and develop the game independently, but will close its Istanbul studio and lay off an unconfirmed number of employees. This decision comes amidst broader restructuring and layoffs at Microsoft.
John Romero has a private collection of "critically important" id Software history "including materials and assets that, as far as I know, id itself no longer has"
Following major layoffs at id Software under Microsoft's Xbox division, co-founder John Romero highlighted the critical importance of preserving the studio's history. Romero revealed he has personally archived significant early materials from id Software that the company may no longer possess. The article also touches on the impact of the layoffs on id Software's development teams and the broader discussion of game preservation.
Doom dev id Software loses half its staff and all its coders in Xbox bloodbath
id Software, the studio behind the Doom franchise, has reportedly lost approximately half of its staff, including most of its coders, in recent Xbox layoffs. This significant reduction in workforce has led to concerns about the studio's ability to continue developing its proprietary technology and future titles. Co-founder John Romero expressed concern for the preservation of id Software's legacy amidst these drastic cuts.
Bethesda Tells Workers The Company Needs To “Change Course” And Focus On Games With “Greatest Potential”
Bethesda is undergoing a significant shift in strategy following recent layoffs at Microsoft's Xbox division. Company boss Jill Braff informed staff that Bethesda must 'change course' and focus on franchises with the 'greatest potential,' including The Elder Scrolls and Fallout, to ensure sustainable growth and continued investment in its games and players.
Raphael Colantonio on Arkane's Status
Raphael Colantonio addressed the uncertainty surrounding Arkane Studios' future following recent layoffs at Xbox. Colantonio, who co-founded Arkane and left in 2017, commented on the situation via X, noting Arkane's acquisition by ZeniMax Media in 2010.
Subscriptions, Clouds, and Streams
Xbox Game Pass will be adding Tony Hawk's Pro Skater 1 + 2, The Planet Crafter, and Palworld 1.0 to its service. The article also touches on broader topics of cloud gaming and game streaming.
State Of Decay 3 Might Not Come To Xbox Game Pass, After Being Promised Last Month
State of Decay 3, previously confirmed for Xbox Game Pass, may not launch on the subscription service due to the terms of its developer's acquisition. The deal between Microsoft and the unknown buyer reportedly lacks any Xbox-controlling clauses, contradicting earlier announcements. This news follows significant layoffs at Xbox and the sale of studios like Undead Labs and Ninja Theory.
Xbox Layoffs Included 37-Year Veteran Who Designed One Of Xbox’s Best Features Ever
Microsoft's recent layoffs at Xbox have impacted 1,600 employees, including 37-year veteran Kevin LaChapelle, who was instrumental in developing the popular backwards compatibility feature for Xbox consoles. The company is also divesting several studios as part of a broader restructuring, with some strategic bets like Xbox Game Pass not meeting expectations.
IO Interactive regains full ownership of Project Fantasy following end of Xbox deal, shuts down Istanbul studio and lays off developers "to find a new balance"
IO Interactive has regained full ownership and control of its upcoming game Project Fantasy following the end of a publishing and funding deal with Xbox. To find a new balance for the studio's long-term future, IO Interactive is closing its Istanbul studio, laying off developers, and refocusing on internal core titles rather than external projects or mobile derivatives.
"There's really no one left": Former Elder Scrolls Online dev says the MMO "basically funded other failing projects" as Microsoft guts the studio
A former senior content designer for The Elder Scrolls Online, Andrew Young, expressed anger over recent layoffs impacting up to half of the studio's developers. He stated that the MMO "basically funded other failing projects" while struggling with its own resource allocation. The article also mentions the closure of mobile spin-offs like The Elder Scrolls: Blades and The Elder Scrolls: Legends, and notes that Microsoft's Xbox division is undergoing significant cuts expected to total 3,200 jobs.
Xbox’s New Plan After Brutal Cuts: Focus On The Thing Called Xbox
Following significant layoffs, Xbox is refocusing its strategy on its core business, including its flagship console hardware and major IPs like Minecraft. This shift aims to address issues like spreading resources too thin and declining hardware revenue, despite industry-wide cost increases and component shortages. The restructuring also involves making some studios independent or selling them off.
State of Decay 3 could reportedly skip Xbox Game Pass after Microsoft dumped its studio
Following Microsoft's significant restructure and layoffs, Undead Labs, the developer of State of Decay 3, is reportedly moving to a new management structure or becoming independent. This change could mean that State of Decay 3 will not be required to launch on Xbox Game Pass, despite its recent gameplay reveal and 2027 release window.
After split with Xbox, Hitman developer IO will "continue to develop" Project Fantasy independently, but they're closing their Istanbul Studio
IO Interactive has regained full ownership of its fantasy project, Project Fantasy, after a split with Xbox. The developer will now fund and develop the game independently, but has closed its Istanbul studio as part of a restructuring to focus on its core titles. This move allows IO Interactive to maintain its status as an independent AAA developer and publisher.
Obsidian Hit Hard By Xbox Layoffs, With 25% Of Devs Cut From Studio
Obsidian Entertainment has been significantly impacted by recent Xbox layoffs, with approximately 25% of its workforce, around 60-70 employees, being let go. The cuts affected various roles, including senior talent, art directors, and recruiters. Despite the reductions, work is expected to continue on Grounded 2 and planned DLC for The Outer Worlds 2.
"I know how devastating it is, and my heart's with all of you": Doom's John Romero responds to id Software reportedly losing half their team
Microsoft's Xbox division is reportedly laying off approximately half of the staff at id Software, with a significant impact on the studio's technology team. Former id Software co-founder John Romero has responded to the news, expressing sorrow for those affected and emphasizing the importance of preserving the studio's historical code and assets.
