Xbox Staff Brace Themselves for Yet More Layoffs as Microsoft Cuts Reportedly Set to Continue

Microsoft is reportedly readying important layoffs successful its gaming concern that could travel arsenic aboriginal arsenic adjacent week.

Bloomberg said Microsoft plans “major” occupation cuts crossed the Xbox division. The Verge said managers astatine Microsoft had been briefed astir the Xbox layoffs arsenic good arsenic wider cuts astatine the company, which are expected to deed income teams successful particular.

For the gaming business, The Verge said Microsoft plans to marque the cuts up of the merchandise of its adjacent procreation of consoles. Last week, Microsoft announced a concern with AMD to powerfulness the adjacent procreation of Xbox, including its first-party aboriginal Xbox consoles. Microsoft has yet to accidental erstwhile it plans to motorboat the caller devices.

The Verge besides reported that Microsoft is restructuring its cardinal Europe Xbox distribution, and that Xbox volition cease operating successful immoderate regions.

Microsoft unit who privation to stay anonymous to support their careers told IGN that employees are bracing themselves for layoffs, and that it feels similar a substance of when, not if astatine the company.

And you tin spot why. Microsoft has made a immense fig of cuts to its gaming concern since acquiring Activision Blizzard for $69 billion. It laid disconnected 1,900 unit successful January 2024, past made further cuts conscionable a fewer months aboriginal erstwhile it closed Redfall developer Arkane Austin and Hi-Fi Rush developer Tango Gameworks. In September 2024, Microsoft chopped a further 650 unit from its gaming business. And successful May this year, Microsoft chopped an eye-watering 6,000 staff, oregon 3% of its full workforce.

Speaking to IGN successful June 2024, Xbox brag Phil Spencer said: "I person to tally a sustainable concern wrong the institution and grow, and that means sometimes I person to marque hard decisions that frankly are not decisions I love, but decisions that idiosyncratic needs to spell make."

Photographer: Victor J. Blue/Bloomberg via Getty Images.

Wesley is Director, News astatine IGN. Find him connected Twitter astatine @wyp100. You tin scope Wesley astatine [email protected] oregon confidentially astatine [email protected].