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Microsoft Refutes Notion That Foreign-Worker Visas Were Behind Mass Xbox Layoffs
Microsoft communications lead Frank X. Shaw refuted claims that foreign-worker visas were the cause of recent mass layoffs affecting 1,600 people at Xbox. Shaw stated the workforce changes were due to a necessary business restructure, not to replace employees with foreign workers, and that H-1B visa holders represent a small percentage of the overall workforce and were not specific to Xbox.
Microsoft comms lead says Xbox layoffs "were not made to replace employees with foreign workers" in response…
Microsoft communications lead Frank Shaw clarified that recent Xbox layoffs, affecting 1,600 employees initially and planned to reach 3,200, were not made to replace workers with foreign H-1B visa holders. Shaw stated the workforce changes were necessary to restructure the Xbox business, which he described as unhealthy, and emphasized that the H-1B visa figures mentioned are company-wide and not specific to Xbox. He also highlighted that Xbox is the largest employer of American workers in the gaming industry.
id Software provides proof of life, says it 'still has the crew we need to build the games and tech we're…
Following significant layoffs at id Software, the studio has issued a statement assuring that it retains the necessary staff and technology to continue developing its signature games and the idTech engine. The company stated its current team size is comparable to when DOOM (2016) was in development, aiming to quell concerns about its future capacity and reliance on Unreal Engine.
Id Software confirms layoffs reduced the team to its size 'when making DOOM (2016)'
Id Software has confirmed significant layoffs, reducing its team size to what it was during the development of DOOM (2016). The studio thanked fans for their support and stated it would still be present at QuakeCon 2026. Reports indicate around 96 on-site and 40 remote roles were affected.
Id claims it has "the crew we need to build the games and tech we're known for" following mass layoffs
id Software stated on X that it retains the necessary staff to develop its known games and technology, following significant layoffs across the Xbox portfolio. The studio claims its current team size is comparable to when DOOM (2016) was developed, emphasizing a flat, maker-focused philosophy. This comes after reports suggested the layoffs left the company unable to maintain its idtech engine.
id Software Issues Statement Following Xbox Layoffs, Says It's Back to the Size It Was When It Made 2016's Doom
id Software has released a statement addressing recent layoffs at Xbox, confirming that the studio has returned to its approximate size during the development of the 2016 game Doom. The statement follows news of significant staff reductions at the first-person shooter developer.
Comings and Goings
The union representing Bethesda employees confirmed participation in Xbox layoff protests, stating they will not 'quietly disappear.' This action highlights ongoing employee concerns regarding recent job cuts within Microsoft's gaming division.
Bethesda's last Skyrim concept artist has been laid off after "almost 18 years of dedication to The Elder Scrolls, Fallout, and Starfield" amid Xbox cuts: "It has been my honor"
Ray Lederer, the last concept artist from the original Skyrim team at Bethesda Softworks, has been laid off after nearly 18 years. His tenure included work on The Elder Scrolls, Fallout, and Starfield. This layoff is part of broader restructuring and cuts within Xbox's gaming division.
Game Pass Gets A Few Freebies For This Weekend Only, Including One Where You’re A Teddy Bear Fighting Nightmares Come To Life
Xbox is offering three games, MLB The Show 26, The Alters, and Stuffed, for free this weekend through its Free Play Days promotion for Game Pass subscribers. Additionally, Gears of War: Reloaded and Tamashika were recently added to various Game Pass tiers. Xbox CEO Asha Sharma commented on recent company changes, including layoffs and studio divestments, stating they were necessary for the business's health.
Summary: what's happening at Xbox?
Xbox announced a major restructuring involving 3,200 job cuts, with 1,600 immediate layoffs, primarily affecting ZeniMax studios like Bethesda and id Software. Several studios, including Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, are being sold off or spun out as independent entities. This move aims to refocus on high-earning franchises and improve profit margins, impacting the development of upcoming titles like The Elder Scrolls 6 and potentially State of Decay 3.
Xbox After The Layoffs: Studios Left And What They’re Making
Xbox has undergone significant restructuring, including layoffs and the divestment of five studios, as it aims to increase profitability and focus on major intellectual properties. This shake-up impacts numerous development teams and projects across Xbox Game Studios, Activision, Blizzard, and Bethesda, with a renewed focus on core franchises and a shift in business strategies like the exclusion of Call of Duty from Xbox Game Pass day-one launches.
Engadget Podcast: Xbox resets with layoffs
This episode of the Engadget Podcast discusses the recent layoffs at Microsoft's Xbox division. The conversation features Mike Futter of the Virtual Economy Podcast, offering insights into the situation.
QuakeCon 2026 will be a place for celebration, mourning, and outrage
Recent layoffs at Xbox and id Software cast a somber shadow over the upcoming QuakeCon 2026, turning what should be a celebration into a potential funeral. The article discusses the uncertainty surrounding id Software's future, the potential abandonment of their proprietary id Tech engine in favor of Unreal Engine, and the likely fan outrage at the event.
Can a top-down, focused software strategy save Xbox? | Opinion
Xbox has undergone significant layoffs and studio closures, impacting 20% of its workforce and five internal studios, including Compulsion Games and Double Fine. This strategic shift, led by Asha Sharma, aims to address financial issues and improve first-party development, though the article questions the effectiveness of these measures and criticizes the company's past spending and treatment of developers.
Xbox CEO Joins Fed’s Task Force To Help With Price Stability And Employment After She Raised Xbox Prices And Laid Of Staff
Xbox CEO Asha Sharma has been appointed to a Federal Reserve task force focused on the economic impact of AI, aiming to improve job creation and price stability. This appointment comes despite recent controversial decisions by Sharma, including Xbox price hikes and significant layoffs, which have negatively impacted public sentiment towards the brand.
"They want us to accept this as a done deal and quietly disappear" – Bethesda union members organise protest in response to Xbox layoffs
Union members at Bethesda Game Studios, Id Software, and ZeniMax Online Studios are organizing protests and a strike in response to recent layoffs affecting 440 employees. The OneBGS union accuses Microsoft and Bethesda of attempting to circumvent bargaining obligations by framing the cuts as an 'entrepreneurial change.' They are demanding preferential transfers, stronger severance packages, and recall rights for affected workers.
Xbox confirms there isn't just "1 person left in Texas" working on id Software's engine following mass layoffs, but "dozens" across "multiple locations"
Xbox has refuted claims that only one person remains in Texas working on id Software's id Tech engine following extensive layoffs. A spokesperson stated that dozens of employees are still working on the engine across multiple locations, though the exact number is unconfirmed. Former id Software artist Derek Best criticized Microsoft's actions, stating that significant institutional knowledge and technological advancements, particularly for Doom: The Dark Ages, have been lost due to the layoffs.
Spyro: A Realm Beyond gets lots of details – flight mechanics, development, more
Toys for Bob developers Paul Yan and Lou Studdert shared details about the upcoming game Spyro: A Realm Beyond, which is planned for a Spring 2027 release on Nintendo Switch. The game will feature both ground and active flight mechanics, building upon the fluid movement of Spyro Reignited Trilogy. The studio also discussed their transition to independence and their decision to pursue Spyro as a business case, while clarifying that the game is a continuation of the original trilogy's tone and not a reboot.
'I find myself in the novel position of looking for a job' — 27-year Bethesda veteran who designed Skyrim's humanoid races and a Microsoft dev behind Xbox backwards compatibility have been laid off
Xbox has undergone a significant restructuring, leading to the layoff of thousands of employees, including industry veterans Christiane Meister from Bethesda Game Studios and Kevin LaChapelle from Xbox. Meister, who designed races for The Elder Scrolls series, and LaChapelle, a lead developer for Xbox's backward compatibility, are now seeking new employment. This wave of layoffs also affected studios like Compulsion Games and Ninja Theory.
"My 'Microsoft will probably be a good steward of the brand' statement isn't aging well" - id Software co-founder John Carmack speaks out after devastating Xbox layoffs
id Software co-founder John Carmack commented on the recent significant layoffs at his former studio following Xbox's restructuring. Carmack expressed sadness but not anger, suggesting id Software may have been a marginal business for Microsoft, with Minecraft revenues potentially subsidizing other studios. He reflected on the challenges of making games financially successful in a competitive market and questioned potential strategies for increasing revenue and reducing costs without alienating the existing player base.