Xbox Initiates Major Layoffs and Restructuring Under New CEO
Xbox is implementing significant layoffs and a broad restructuring following new CEO Asha Sharma's call for a business reset. Declining revenues and strategic overextension are cited as key reasons for the workforce reductions. The move impacts various studios, with some fighting for survival amidst the changes.
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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.
Own goal specialist Xbox rifles another into the roof of the net - Patch Notes #60Xbox announced significant layoffs, impacting approximately 3,200 employees across various studios including id Software, ZeniMax Online Studios, Double Fine, Compulsion Games, Ninja Theory, and Undead Labs. Xbox boss Asha Sharma cited a need to eliminate management layers and create a flatter organization, though many of the affected employees are senior staff integral to game production. This marks the fifth major round of layoffs at Xbox in three years, with unions like CWA Canada criticizing Microsoft's handling of the situation.
Report – Xbox cuts around 25% of Obsidian staffXbox has initiated significant layoffs across its studios, with Obsidian Entertainment reportedly losing around 25% of its staff, impacting producers, artists, designers, and more. This is part of Microsoft's larger plan to lay off 3,200 employees by June 2027, though Blizzard Entertainment teams have been spared for now. The restructuring aims to shift focus away from smaller acquired studios, but the arbitrary nature of the cuts is causing concern over lost expertise.
Xbox to cut 3200 jobs in the new financial yearMicrosoft's Xbox division is undergoing its most significant restructure in history, with approximately 3,200 jobs being cut over the next fiscal year, including 1,600 immediately. Five game development studios are also departing, with Double Fine and Compulsion Games becoming independent, while Ninja Theory, Undead Labs, and Arkane Studios are in various stages of negotiation or consultation for new ownership. Xbox CEO Asha Sharma cited unhealthy business margins and a strategic shift towards AI investment as reasons for the cuts.
The games industry reacts to Xbox layoffs: 'We are clearly at a turning point'Microsoft's Xbox division has announced significant layoffs, impacting approximately 3,200 employees and leading to the closure or restructuring of four game studios. This move has drawn widespread reactions from industry figures, expressing shock, sorrow, and anger, with many calling it a turning point for the game industry. The layoffs occur amidst Microsoft's continued investment in artificial intelligence, a decision that has drawn criticism for its perceived prioritization over game development talent.
Xbox layoffs: jobs lost at Bethesda, more reported at id SoftwareXbox CEO Asha Sharma announced sweeping layoffs affecting approximately 3,200 employees, or 20% of the organization. Several studios, including Bethesda, Zenimax Online Studios, and id Software, have confirmed job losses, with up to half of the team working on The Elder Scrolls Online reportedly impacted. Five studios are being divested, with Double Fine and Compulsion Games becoming independent, and Ninja Theory and Undead Labs in the process of being acquired.- Xbox layoffs: jobs lost at Bethesda, more reported at id SoftwareXbox has announced significant layoffs, impacting approximately 20% of its workforce, totaling 3,200 employees. Job losses have been confirmed at studios including Bethesda and id Software, with five studios being divested or acquired. This follows a recent round of voluntary redundancies and coincides with the start of Microsoft's financial year.
- Xbox Lays Off 1,600 People Today, With Another 1,600 Cuts To ComeThe Xbox brand has initiated significant layoffs, cutting 1,600 jobs and planning an additional 1,600 reductions. This has created anxiety among employees regarding their future employment within the company.
- Microsoft Xbox is shedding 3200 games industry workers, Blizzard and ZeniMax are affectedMicrosoft's Xbox division is undergoing significant layoffs, cutting 3,200 jobs, which represents 20% of its workforce. Affected studios include Blizzard Entertainment and ZeniMax Media, with Ninja Theory, Undead Labs, Double Fine, and Compulsion Games being sold or divested. Xbox CEO Asha Sharma stated the business is not healthy and requires a reset, while acknowledging the unlikelihood of achieving a daily active user count of 1 billion.
- Xbox confirms plans to lay off 3,200 workers over the next yearXbox has confirmed plans to lay off 3,200 workers over the next year as part of a significant restructuring effort. This move impacts a substantial portion of its workforce.
Microsoft is cutting 3,200 Xbox employees, and half of them will be eliminated today in "the most significant…Microsoft has initiated significant layoffs within its Xbox division, with approximately 1,600 employees being cut on July 6, 2024, as part of a larger restructuring plan affecting around 3,200 roles by the end of fiscal year 2027. This reduction includes the closure or sale of four studios: Compulsion Games, Double Fine, Ninja Theory, and Undead Labs. The company is also considering strategic options for Arkane Studios.- Xbox Boss Asha Sharma Announces 3,200 Layoffs, Including 1,600 Today, With 4 Studios Leaving for New Management — Read the Email to Staff in FullXbox boss Asha Sharma announced that Microsoft will be laying off 3,200 employees across the Xbox division during the current financial year, with 1,600 of those occurring immediately. As part of this restructure, four studios will be transferred to new management, and one studio is under consultation regarding its future.
- Xbox layoff plans reportedly include closing Arkane, canceling BladeXbox is reportedly planning significant layoffs starting next week, which may include the closure of Arkane Studios and the cancellation of the Blade game. These cuts are part of a broader restructuring within the company.
- Planned Xbox Layoffs Will Be “The Largest Single Layoff Event In Gaming History”George Broussard, co-founder of 3D Realms, suggests that Xbox may be planning significant layoffs, potentially impacting over 2,000 employees. This information is currently unconfirmed and should be treated as a rumor until official verification.
CWA union says Xbox workers are not "disposable" as layoffs loomThe Communications Workers of America (CWA) union is supporting Xbox employees facing potential layoffs, stating they will not be treated as "disposable." Union representatives highlighted Microsoft's financial resources, including recent console price increases and executive compensation, as evidence that layoffs are a choice. An Xbox spokesperson acknowledged the company respects employees' rights and is negotiating in good faith with the CWA.- Comings and GoingsUnionized Xbox developers held a press conference to voice concerns as Microsoft reportedly prepares for significant layoffs. These workforce reductions are expected to occur after the current fiscal year concludes.
Xbox Layoffs Appear To Be Starting With South Of Midnight Dev CompulsionXbox Game Studios has reportedly begun layoffs, with developers at Compulsion Games, the studio behind South of Midnight, being affected. This comes as part of a larger restructuring under new CEO Asha Sharma, which may see several Xbox Game Studios closed or become independent. Other studios like Double Fine and Ninja Theory are also reportedly in talks with Xbox to avoid closure.- Ninja Theory and Double Fine Also Reportedly Under Threat of Closure as Xbox Studios Fight for SurvivalNinja Theory and Double Fine are reportedly facing potential closure as Microsoft's Xbox division undergoes significant cuts. These studios, known for Hellblade and Psychonauts respectively, are among those fighting to survive amidst the ongoing restructuring.
- Evening ConsolidationXbox is reportedly planning further layoffs as CEO Phil Spencer calls for an "Xbox reset." In separate news, the award-winning adventure game The Drifter is set to launch on Nintendo Switch later this month.
Uppgift: stora uppsägningar på Xbox inom kortXbox is reportedly planning significant layoffs next month due to declining revenues, according to sources speaking to Bloomberg. In an internal memo, Xbox leadership acknowledged that falling revenues despite substantial investments cannot continue. This potential wave of job cuts follows several previous rounds of layoffs at Microsoft and Xbox since 2023.