Major layoffs across Xbox will happen next week, according to a new report from Bloomberg. These layoffs, the fourth round at Xbox in 18 months, will be part of a company-wide reorganization in Microsoft’s Xbox division.
Bloomberg also reports Microsoft will cut thousands of jobs throughout its various divisions next week as well, with sales being hit the hardest.
Last year, Microsoft laid off 1900 employees across Xbox, Activision Blizzard, and ZeniMax in January. In May 2024, Xbox shut down Redfall developer Arkane Austin, Hi-Fi Rush studio Tango Gameworks, and more; shortly after, Xbox made more job cuts across its various studios and divisions. These cuts have happened for many reasons, but among them is Microsoft’s desire to boost profit margins and subsequent studio release struggles after its purchase of Activision Blizzard for $69 billion in 2023.
This is an in-development story, and Game Informer will update it as it learns more about the anticipated layoffs set for next week.
The hearts of the Game Informer staff are with everyone affected by these layoffs.