Microsoft's Xbox and PC exclusive Pentiment will make its way to PS5 and Nintendo Switch, alongside the previously-leaked Hi-Fi Rush.
25.01.2024 - 19:45 / gamingbolt.com / Phil Spencer
2023 was a brutal year for the games industry with its never-ending wave of layoffs, but 2024 is somehow turning out to be significantly worse. Less than a month into the year, the industry has already seen thousands of jobs being cut, and another significant number has now been added to that total, with IGN reporting that Microsoft’s gaming division is cutting 1,900 jobs out of its total workforce of about 22,000.
In an internal memo sent out to employees, Microsoft Gaming CEO Phil Spencer said the layoffs come as a result of Microsoft Gaming and Activision Blizzard looking to “align on a strategy and an execution plan with a sustainable cost structure”, as a result of which jobs will be made redundant across Xbox, Activision Blizzard, and ZeniMax.
“It’s been a little over three months since the Activision, Blizzard, and King teams joined Microsoft,” Spencer’s memo reads. “As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business. Together, we’ve set priorities, identified areas of overlap, and ensured that we’re all aligned on the best opportunities for growth.
“As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1,900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax and the Xbox teams, and they should be proud of everything they’ve accomplished here. We are grateful for all of the creativity, passion and dedication they have brought to our games, our players and our colleagues. We will provide our full support to those who are impacted during the transition, including severance benefits informed by local employment laws. Those whose roles will be impacted will be notified, and we ask that you please treat your departing colleagues with the respect and compassion that is consistent with our values.
“Looking ahead, we’ll continue to invest in areas that will grow our business and support our strategy of bringing more games to more players around the world. Although this is a difficult moment for our team, I’m as confident as ever in your ability to create and nurture the games, stories and worlds that bring players together.”
Microsoft joins a long list of companies that have hit their staff with layoffs right at the outset of 2024, including Unity, Riot Games, Thunderful Group, Lost Boys Interactive, CI Games, Black Forest Games,
Microsoft's Xbox and PC exclusive Pentiment will make its way to PS5 and Nintendo Switch, alongside the previously-leaked Hi-Fi Rush.
Microsoft will share an update on the Xbox business later this week, the company confirmed Monday after weeks of reports and rumours of its first-party games coming to rival consoles. The Xbox parent will reveal its plans for the platform in a special edition of the Official Xbox Podcast on February 15 at 12pm PT (February 16, 1.30am IST in India), where Microsoft Gaming CEO Phil Spencer, Xbox president Sarah Bond and Xbox Game Studios head Matt Booty will share details about the future Xbox roadmap. The confirmation comes after Spencer had promised last Tuesday that Microsoft would share its vision for the “future of Xbox” next week.
Microsoft has announced a special edition of the Official Xbox Podcast for February 15th, noon PT. Microsoft Gaming CEO Phil Spencer, president Sarah Bond and Xbox Game Studios head Matt Booty will be present and provide “updates on the Xbox business.” Last week, Spencer said this would be a business update event to discuss the company’s “vision for Xbox’s future.”
Microsoft has confirmed plans to deliver its eagerly awaited Xbox business update on February 15.
Reports are suggesting that the next-generation console may be made by the same team that developed the Microsoft Surface tablet. Jason Ronald, the person responsible for leading the development of the Xbox Series X|S and the Xbox One, is also reportedly not in charge of the team creating the upcoming console.
Xbox head Phil Spencer has reportedly told colleagues that the company has no plans to stop making Xbox consoles, and that the company's strategy will continue to involve multiple devices.
Microsoft has reportedly held an internal townhall meeting with employees that saw the company pledge it will keep making Xbox consoles. The purported event is said to have been held mere days after the emergence of reports that the company is planning to sacrifice some Xbox console exclusives in order to embrace multi-platform publishing.
Microsoft’s gaming division reportedly held an internal townhall meeting this week, to address reports it could be bringing some of its first-party games to other console platforms.
Microsoft Corp.'s plans to cut 1,900 jobs from its video game division contradict statements the company made to a US court that it would operate the newly acquired Activision Blizzard Inc. independently, the US Federal Trade Commission said Wednesday.
Microsoft recently cut 1,900 jobs from its gaming division and among the layoffs were many at the recently acquired video game developer Activision Blizzard. Blizzard Entertainment's President Mike Ybarra and co-founder Allen Adham are both departing. The tech giant also announced the cancellation of a Blizzard game, called “Odyssey,” that was already six years in development. On Tuesday, Microsoft reported quarterly earnings, posting its strongest revenue growth since 2022.
Just days after laying off 1,900 workers under the recently acquired Activision Blizzard, Microsoft has become only the second company ever to reach a $3 trillion market value. The recent layoffs by Microsoft were met with inquisition from audiences concerned about the company's profits, though it would seem Microsoft is showing no signs of declining value.
Reikon Games has reportedly laid off 60 to 70 people, equating to 56 percent of the company.