Microsoft has announced a massive wave of layoffs: 1,900 Xbox, Activision Blizzard, ZeniMax and Bethesda employees will be out of work
The wave of layoffs that affected the entire gaming and IT industry has reached Microsoft Corporation.
Here's What We Know
Leading world media reports that Microsoft has decided to lay off 1,900 employees of its internal game studios. The cuts will affect such teams as Xbox, Activision Blizzard, ZeniMax, Bethesda and others - that's 8% of the entire Microsoft Gaming staff.
IGN's editorial team received a message from Microsoft Gaming head Phil Spencer explaining the reasons behind the decision:
It's been just over three months since the Activision, Blizzard and King teams joined Microsoft. In 2024, the Microsoft Gaming and Activision Blizzard leadership team is committed to aligning a strategy and implementation plan with a sustainable cost structure that will support all of our growing businesses. Together we have prioritised, identified areas of overlap and made sure we are all set up for the best opportunities for growth.
As part of this process, we made the painful decision to reduce the gaming division's workforce by approximately 1,900 positions out of a total workforce of 22,000. Together with the game leadership team, we are committed to conducting this process in the most thoughtful way possible. The people directly impacted by the cuts have been instrumental in the success of the Activision Blizzard, ZeniMax and Xbox teams and should be proud of all they have achieved here. We are grateful for the creativity, passion and dedication they have brought to our games, our players and our colleagues.
We will provide full support for those affected by the transition, including severance pay in accordance with local labour laws. Those whose roles will change will be notified and we ask that they treat departing colleagues with the respect and compassion that is consistent with our values.
Looking to the future, we will continue to invest in areas that will grow our business and support our strategy to bring more games to more players around the world. While this is a challenging time for our team, I am more confident than ever in your ability to create and develop games, stories and worlds that bring players together.
Source: IGN
