Xbox Boss Announces 3,200 Layoffs and Studio Changes
Microsoft has announced 3,200 staff are set to lose their jobs at Xbox across the current financial year, with 1,600 layoffs today. As part of the restructure, four studios are leaving Xbox to new management.
Microsoft has announced 3,200 staff are set to lose their jobs at Xbox across the current financial year, with 1,600 layoffs today. As part of the restructure, four studios are leaving Xbox to new management.
Microsoft revealed a major restructure at Xbox, with 3,200 job cuts planned for the fiscal year, including 1,600 immediate layoffs. Compulsion Games and Double Fine Productions will become independent studios again, retaining their IP and upcoming game projects. Ninja Theory and Undead Labs are set to join new owners to continue developing their respective titles, Senua and State of Decay 3.
Arkane's management in France is entering consultations to explore strategic options for the studio. Layoffs are also affecting other parts of Xbox, including Activision, Bethesda/ZeniMax, Blizzard, King, Mojang, and Xbox Game Studios. Despite the changes, Microsoft assured that no publicly announced first-party games or projects will be canceled.
Xbox boss Asha Sharma emphasized the need for a reset due to the company's current financial challenges, highlighting the lower margins compared to competitors and the smaller Gen 9 install base. The restructuring will focus on reshaping the content portfolio, simplifying the platform, and improving operational efficiency within Xbox.
