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Microsoft News
Siliconangle
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Image Credit: Siliconangle
Microsoft cuts 9,000 jobs in latest round of layoffs
- Microsoft has announced a round of job cuts affecting 9,000 employees, about 4% of its workforce.
- The layoffs impact various units, experience levels, and locations, including the Redmond headquarters and the sales division.
- The restructuring in the gaming division and video game business aims to enhance strategic growth and increase agility.
- This is at least the fourth round of job cuts by Microsoft this year, following previous workforce reductions in January, May, and last month.
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Massivelyop
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Blizzard is putting Warcraft Rumble into maintenance mode following the Microsoft gaming purge
- Blizzard has decided to put Warcraft Rumble into maintenance mode following the Microsoft gaming purge.
- The company will continue supporting Rumble with updates but no new content, leading to layoffs as implied in a memo.
- Warcraft Rumble, initially known as Warcraft Arclight Rumble, faced development struggles despite efforts to improve the game.
- Blizzard has acknowledged the challenges in Warcraft Rumble's development and expressed condolences to affected staffers and fans.
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Insider
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Internal Microsoft memo lays out its new strategy for selling AI as the company cuts salespeople
- Microsoft's sales chief, Judson Althoff, is working on revamping the sales unit to be more AI-focused, as per an internal memo viewed by Business Insider.
- The changes include cutting sales roles in the organization, with the goal to establish Microsoft as the 'frontier AI firm.'
- The memo outlined five priorities for the sales organization, focusing on areas like AI integration, cloud platform business growth, and cybersecurity foundation.
- The restructuring aims to consolidate areas to AI Business Solutions, Cloud & AI Platforms, and Security to bolster Microsoft's standing in the AI market amidst growing competition.
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TheSixthAxis
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Image Credit: TheSixthAxis
Perfect Dark & Everwild cancelled by Xbox, The Initiative shutdown, Rare & Turn 10 affected
- Microsoft has confirmed mass layoffs affecting various teams and games at Xbox, leading to the closure of The Initiative studio and the cancellation of projects such as Perfect Dark, Everwild, and an unannounced MMORPG.
- The job cuts include developers from Rare (Everwild), Turn 10 (Forza Motorsport), and the unannounced MMORPG project at ZeniMax Online Studios known as Blackbird.
- There have been reports of layoffs from Halo Studios, Call of Duty studios, and significant downsizing at Turn 10. Games like Fable and State of Decay 3 are said to be largely unaffected.
- While severance packages and job priority within Microsoft are being offered to those affected, the abrupt nature of the layoffs and project cancellations has caused concern within the industry.
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The Verge
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Image Credit: The Verge
Phil Spencer isn’t retiring as the chief of Xbox ‘anytime soon’
- Microsoft confirms that Phil Spencer, head of Xbox, is not retiring 'anytime soon' despite recent rumors online.
- The denial comes after speculation that Spencer would retire after the launch of the next generation Xbox, with Xbox president Sarah Bond possibly taking over.
- While the company's statement doesn't fully address the rumors, it is clear that Spencer's retirement is not imminent.
- Under Spencer's leadership, Xbox has seen significant initiatives like the launch of Xbox Series X / S, expansion of Xbox Game Pass, and acquisitions of major companies. However, Microsoft is undergoing substantial layoffs affecting Xbox studios and employees.
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Cgmagonline
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Image Credit: Cgmagonline
Microsoft’s Layoffs Hit Xbox Hard—Perfect Dark, Everwild, and More Cancelled
- Microsoft has made the decision to cancel projects including Rare's Everwild and The Initiative's Perfect Dark, and wind down several unannounced projects, resulting in the closure of The Initiative studio.
- An internal email from Xbox Game Studios head Matt Booty confirmed the cancellations, stating that the decisions aim to adjust priorities and focus resources to navigate industry changes.
- One of the cancelled unannounced projects was ZeniMax's MMORPG Blackbird; projects showcased at the recent Xbox Showcase in June are reportedly unaffected.
- The layoffs, affecting approximately four percent of Microsoft's workforce, have impacted studios like Undead Labs, sparking concerns and leading to doubts about the company's business strategy amidst previous significant layoffs.
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Digit
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Image Credit: Digit
Microsoft Confirms New Round of Layoffs affecting 9100, Hits Xbox and Gaming Studios Hardest
- Microsoft confirms new layoffs affecting 9,100 employees, or about 4% of its workforce.
- The gaming division, including Xbox and studios like Turn 10, sees significant cuts.
- Phil Spencer acknowledges the layoffs as part of strategic realignment for Microsoft Gaming.
- Despite challenges, upcoming titles and services like Xbox Game Pass remain in focus.
- The latest wave of layoffs raises questions about the effectiveness of Microsoft's strategy.
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Massivelyop
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ZeniMax Online Studios president Matt Firor is ‘stepping away’ in the middle of Microsoft’s layoff binge
- ZeniMax Online Studios president, Matt Firor, is stepping away from the company after 18 years of leading the studio.
- The departure follows the news of Microsoft laying off over 9000 workers, closing substudios, and canceling in-development games, including ZeniMax's MMORPG, Blackbird.
- Firor's letter on ZOS's Twitter account suggests he won't be working on games anymore but will continue to play them.
- Jo Burba will take over as the new Studio Head, leading The Elder Scrolls Online with Executive Producer Susan Kath and Game Director Rich Lambert.
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Pymnts
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Microsoft Cuts 8K Jobs in 2025’s 4th Round of Layoffs
- Microsoft is cutting nearly 9,000 jobs, impacting under 4% of its workforce.
- The layoffs are part of organizational changes to increase agility and focus on meaningful work.
- The cuts follow previous reductions in January, May, and June, aiming to position the company for strategic growth.
- Microsoft's CEO of gaming announced adjustments in that division as well, aligning with the company's broader restructuring efforts.
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Kotaku
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Image Credit: Kotaku
Xbox Reportedly Cancels That Cool-Looking Perfect Dark Reboot
- Xbox's Perfect Dark reboot, announced in 2020, has reportedly been canceled along with other projects as part of the ongoing Microsoft layoffs.
- An internal email from Xbox Game Studios head Matt Booty confirmed the cancellation of Perfect Dark and the shutdown of The Initiative, the team behind the project.
- The decision to cancel projects and shut down studios is part of a broader effort to adjust priorities and focus resources within Xbox Game Studios.
- The cancellation of Perfect Dark comes after its initial reveal in 2020, with positive responses to the first gameplay revealed in 2024.
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The Verge
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Image Credit: The Verge
Microsoft’s Forza Motorsport developer hit hard by Xbox cuts
- Microsoft announced layoffs affecting up to 9,000 employees, including over 70 at Forza Motorsport developer Turn 10 Studios.
- Other game cancellations reportedly include Rare's Everwild, Zenimax Online Studios' MMORPG codenamed Blackbird, and Microsoft's new Perfect Dark game.
- Microsoft-owned King and Raven Software were also impacted by the layoffs.
- Microsoft aims to increase agility and effectiveness by removing management layers and focusing on strategic growth areas, following a memo from Microsoft Gaming CEO Phil Spencer.
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HRKatha
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Image Credit: HRKatha
Microsoft is cutting 9,000 jobs in fresh layoff round
- Microsoft is cutting 9,000 jobs, which is about four per cent of its global team.
- The layoffs are part of organisational changes to ensure success in a dynamic marketplace.
- This round of cuts follows previous layoffs earlier this year, totaling over 15,000 job cuts.
- Microsoft aims to reduce operational costs by outsourcing some functions and focusing more on investing in artificial intelligence.
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Playstationlifestyle
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Image Credit: Playstationlifestyle
Xbox Layoffs Confirmed as Former Exec Says Console Is Dead
- Microsoft announces 9,000 job cuts across the company, affecting Xbox gaming division.
- Xbox CEO states layoffs will position Gaming division for enduring success.
- Report indicates job cuts at subsidiaries like King and ZeniMax in the gaming industry.
- Former Xbox exec expresses belief that Xbox hardware business is 'dead' and heading towards a slow exit.
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Pcgamesn
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Image Credit: Pcgamesn
There's "no reason to buy" Xbox handheld, says founding member of Xbox project
- Laura Fryer, a founding member of the original Xbox project, expressed skepticism about the new Asus Ally Xbox handheld, stating there's 'literally no reason to buy' the device.
- Fryer mentioned that she believes 'Xbox hardware is dead' and Microsoft is now heavily focused on Game Pass.
- The Asus Ally Xbox handheld, revealed in June 2025, features AMD Ryzen Z2 hardware and Xbox-style controller grips but was designed by Asus, not Microsoft.
- The device's approach differs from the Valve-produced Steam Deck, which went through a comprehensive development process instead of being a third-party device with Steam branding.
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Insider
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Image Credit: Insider
Microsoft cuts deeper into its workforce with another major round of layoffs
- Microsoft is implementing another major round of layoffs, affecting less than 4% of its workforce.
- The company aims to reduce layers of management and streamline operations for increased efficiency.
- This move follows a previous round of layoffs in May, where 6,000 workers were affected.
- Several tech companies, including Microsoft's peers like Google and Amazon, are also making cuts to flatten management levels.
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