Another day, another layoff this time, downsizing at Microsoft, with IGN reporting Nearly 2,000 employees at the Xbox maker were let go.
In a memo to staff that by IGNXbox president Phil Spencer said the company is “committed to aligning a strategy and an execution plan with a sustainable cost structure that supports our entire growing business.” As such, the “game workforce” has been reduced by approximately 8.6%, with approximately 1,900 jobs eliminated from the 22,000-strong team. Affected studios include Activision Blizzard, ZeniMax and Xbox, to which Spencer says the company is “thankful for all the creativity, passion and dedication.” [these people] brought to our games by our players and colleagues.”
Read more: 24 days after 2024 and 3900+ video game layoffs have been announced
Spencer noted that it was a “painful decision” for Microsoft as a whole, and clarified that the company “will offer our full support to those affected during the transition, including the severance benefits required by employment law.” Local has been notified, will provide.” Despite the headcount reduction, Spencer said Microsoft remains committed to its strategy of growing the business and bringing more games to more people.
As all this news is happening, threshold reports Both of which are Blizzard President Mike Yabara and chief design officer Alan Edham left the company. In accordance with thresholdBlizzard will announce its new president next week. The studio’s in-development survival game has also been canceled as a result of these changes.
Kotaku Microsoft has been contacted for comment.
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This happens about three months later Microsoft has closed its $69 billion acquisition of Activision Blizzardwhich witnessed the control of this company call of duty And other IPs it’s also almost four weeks into the new year, a year that has already been seen The gaming industry is being destroyed by layoffs left and right, has resulted in the loss of more than 4,000 jobs. While 2024 may look like a good year for games, especially with Avalanche release on the horizonIt was not a good year for the game workers. This sudden reduction of staff at Microsoft is another sign of that Instability From Game development.