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Xbox announces further layoffs and major studio restructuring

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SummarySYNTHESIZED

Xbox has announced another round of layoffs and a significant restructuring of its studios, with Gaming Bolt first reporting the rumor on September 22. Activision will now develop the next Halo game, while Halo Studios shifts to a support role. Bethesda will oversee Obsidian Entertainment, and Playground Games will merge with Turn 10 Studios. Ninja Theory faces proposed closure, and Undead Labs, Compulsion Games, and Double Fine Productions are being divested.

The number of employees affected by the layoffs is disputed, with some outlets reporting hundreds of employees, while others specify 268 roles or employees. Retro Gamer reported that Xbox CCO Matt Booty stated these cuts are part of a larger restructuring plan that will eliminate 3,200 employees in total, while PC Gamer cited 1,600 employees. The Age of Empires studio, World's Edge, has been significantly impacted, losing nearly half its staff and its upcoming project, with World's Edge and Rare now falling under Activision's remit. The future of Arkane Studios also remains uncertain.

Coverage across 20 outlets

46 articles
Rock Paper Shotgun

Xbox reportedly set to lay off hundreds more staff and "consolidate" several game studios in second round of major cuts this year

Microsoft's Xbox division is reportedly preparing for a second wave of significant layoffs, with hundreds of employees expected to be affected. The company is also rumored to be consolidating several of its game studios, including those under Bethesda, Activision, and Blizzard. This follows earlier cuts in July and a shift in focus towards established franchises.

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Eurogamer

Second wave of Xbox cuts reported to be happening this week, with "several" studios apparently facing consolidation

Microsoft's Xbox division is reportedly planning a second wave of layoffs this week, potentially affecting hundreds of employees and consolidating several studios. This follows a major restructuring in July and is part of Xbox CEO Asha Sharma's plan to return the gaming division to profitability by focusing on major franchises. The news has reportedly lowered morale among staff.

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Games Industry

Xbox reportedly set to announce second round of layoffs this week

Xbox is reportedly preparing for a second round of layoffs this week as part of an ongoing restructuring that includes consolidating several of its game studios. This follows an earlier round of 1,600 redundancies and the divestment of five studios. Xbox CEO Asha Sharma cited spreading resources too thin and fragmentation as reasons for the changes, aiming for future growth.

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Gaming Bolt

Xbox to Undergo New Round of Layoffs Affecting “Several” Employees, Will Consolidate Studios – Rumor

Xbox is reportedly preparing for another round of significant layoffs, potentially affecting hundreds of employees across multiple studios, including Blizzard. This follows previous job cuts and a stated need to 'reset Xbox' due to weakening business margins. The company is also consolidating some of its studios, with Ninja Theory, Compulsion Games, Double Fine Productions, and Undead Labs being divested.

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Gaming Bolt

Halo Studios Eliminates 268 Roles, Activision Working on Next Halo Amid Xbox’s Reorganization

Xbox has confirmed significant layoffs and studio reorganizations, with 268 roles eliminated at Halo Studios. Activision is now developing the next Halo title with a new team, while Halo Studios will maintain a small support team. Other studios like World's Edge, Rare, Obsidian, Playground Games, Turn 10 Studios, and King have also been affected by the restructuring.

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Gaming Bolt

Activision’s Goal is to “Make the Greatest Halo Game Ever,” Says President

Activision will now develop the next Halo game following significant layoffs at Xbox's Halo Studios. Activision president Rob Kostich stated the company's goal is to "make the greatest Halo game ever." The article notes the troubled legacy of the franchise under 343 Industries, citing issues with Halo 4, Halo 5: Guardians, and Halo Infinite.

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