Amy Coleman
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Xbox staff among up to 60,000 Microsoft employees offered voluntary exit
Microsoft is offering a voluntary exit to eligible employees across various teams in the US, UK, Canada, and India, including those in Xbox and AI divisions. This follows previous layoffs and a voluntary retirement program earlier in the year, with sources suggesting up to 60,000 employees could be eligible for the new offer.
Xbox revenue plunges $1.7bn, with hardware dropping 29% YoY
Microsoft's latest financial results reveal a significant 7% year-on-year decline in Xbox revenue for the full year and 10% in the fourth quarter, primarily driven by a 29% drop in hardware sales. Despite growth in Game Pass, content and services revenue also fell by 10%. The company announced widespread layoffs affecting 4,800 roles, including 1,600 at Xbox, as part of a restructuring aimed at long-term growth, with several studios transitioning to new management or becoming independent.
The Gaming Industry Is Eating Itself Alive
Xbox is undergoing a massive restructuring, including 3,200 layoffs, impacting numerous studios and divisions like Activision, Bethesda, and Blizzard. While some studios regain independence and first-party projects remain safe for now, the article criticizes Xbox's overall strategy, citing Game Pass's performance and declining hardware revenue. The piece also touches on PlayStation's similar issues with digital ownership and preservation, painting a bleak picture for the future of gaming costs and ownership.
Xbox gets a new logo, a new mission, and reports of more changes to come
Xbox has unveiled a new translucent logo and the slogan "We are Xbox" as part of a significant brand overhaul led by new CEO Asha Sharma. Reports indicate potential collaborations with Discord, a rebranding of Microsoft Gaming back to Xbox, and a re-evaluation of game exclusivity and release windows. The company also aims to expand into China and is reportedly offering voluntary buyouts to up to 7% of its US employees.
Microsoft will reportedly invite 7% of their US workers to retire early, as the Xbox division talk up "strong cost discipline"
Microsoft is reportedly offering a voluntary early retirement program to approximately 7% of its US-based employees, targeting those at senior director level and below whose age and years of service total 70 or more. This initiative, aimed at achieving 'strong cost discipline' within the Xbox division and the wider company, follows previous rounds of layoffs. Executive VP Amy Coleman stated the program offers eligible employees a choice for their next step with company support.
Microsoft is reportedly offering voluntary buyouts to up to 7 percent of its employees
Microsoft is reportedly offering voluntary buyouts to up to 7 percent of its US employees, potentially affecting around 8,750 individuals. This program, aimed at employees at the senior director level and below, is described as a way to offer employees a choice with generous support. The company's significant spending on AI infrastructure is also cited as a factor influencing its financial decisions.