Microsoft Fires Another 650 More Workers Today

This year has been tough for the gaming industry, and Microsoft's gaming division appears to be no exception. After a significant 8% staff reduction earlier this year, a new report reveals that an additional 650 jobs have been cut from the company's gaming sector.

According to an internal email from Phil Spencer, head of Microsoft's gaming division, these layoffs primarily impact corporate and support roles, particularly within Activision-Blizzard, following the $69 billion acquisition in October 2023.

“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," Spencer explained in the email.

He emphasized that these cuts will not affect Xbox leadership or the gaming teams, and no games, devices, or experiences will be canceled.

This latest wave of layoffs adds to the already substantial job cuts seen across the gaming industry this year. Microsoft had previously laid off 1,900 employees, impacting various roles, and also shut down several studios, including Tango Gameworks. Fortunately, Tango was later acquired by Krafton, along with its Hi-Fi Rush IP. We hope those affected by these layoffs are able to find new opportunities soon.