Microsoft Will Reportedly Layoff 650 Employees at Xbox

According to a recent report from Game File, Microsoft will layoff 650 people at Xbox. Microsoft Gaming CEO Phil Spencer sent out an email informing employees about the layoffs. He stated that the layoffs will be limited to “corporate and supporting teams”. Additionally, the layoffs won’t result in any studio closures and game cancellations, like the last time. The report also noted that the layoffs have affected the development teams of Warcraft Rumble and Call of Duty: Warzone Mobile.

“For the past year, our goal has been to minimize disruption while welcoming new teams and enabling them to do their best work,” wrote Spencer in the email. “As part of aligning our post-acquisition team structure and managing our business, we have made the decision to eliminate approximately 650 roles across Microsoft Gaming—mostly corporate and supporting functions—to organize our business for long term success.” “With these changes, our corporate and supporting teams and resources are aligned for sustainable future growth, and can better support our studio teams and business units with programs and resources that can scale to meet their needs.”

Earlier this year, Microsoft Gaming president Matt Booty recently sent out a company-wide email announcing that Bethesda Softworks will close down Arkane Austin (Redfall) Tango Gameworks (HI-FI RUSH, The Evil Within) Alpha Dog Games (Mighty DOOM), and Roundhouse Studios. According to the email, this was done “so that we can invest more deeply in our portfolio of games and new IP.” It also notes that “a small number of roles across select Bethesda publishing and corporate teams will also be eliminated.”