Tech
Xbox Lays Off 20% Of Staff, Cut Studios, Largely Impacting Acquired Devs It Promised It Wouldn’t Layoff
Xbox is laying off over 3,000 employees, representing approximately 20% of its division workforce.
Key takeaways
- Xbox is laying off over 3,000 staff members, or about a fifth of its workforce.
- 1,600 of the layoffs take place today, with the rest occurring later.
- Compulsion Games and Double Fine will become independent studios.
- Ninja Theory and Undead Labs have entered terms to join new ownership.
- None of Xbox's first-party, publicly announced games are being canceled.
Xbox is laying off over 3,000 employees, representing approximately 20% of its division workforce. An internal email from CEO Asha Sharma confirmed that 1,600 layoffs take effect today, with the remainder occurring later. As part of the restructuring, Compulsion Games and Double Fine are becoming independent studios, while Ninja Theory and Undead Labs are transitioning to new ownership. Layoffs are also hitting Activision, Bethesda, Blizzard, King, Mojang, and Xbox Game Studios. Sources report that cuts of over 50 employees at Bethesda Game Studios have shattered morale and are likely to delay the upcoming Skyrim successor.
The massive cuts and studio spin-offs disrupt Xbox's major first-party game development pipelines.
In their words
“The Federal Reserve’s commitment to price stability and maximum employment is unwavering. As is our resolve to pursue our mandate with rigor.”
By the numbers
- 20%
- Xbox division workforce being laid off
- 3,000
- Total staff members eventually affected by layoffs
- 1,600
- Employees laid off on the day of the announcement
- 50
- Employees laid off at Bethesda Game Studios locations
How it unfolded
- Fed Chairman Kevin Warsh announces task force appointments.
- 1,600 Xbox employees are officially laid off.
Why this matters
-
The Bethesda cuts have shattered morale and increased the likelihood that the Skyrim successor will be delayed.
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Common questions
- What happened with Xbox?
- Xbox is laying off over 3,000 staff members, or about a fifth of its workforce.
- Where can I read the original report?
- Read the full report at Techdirt.
