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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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