Xbox to Lay Off Hundreds of Employees and Consolidate Studios
According to a report from The Information, Xbox is set to lay off hundreds of employees this week, marking its second significant reduction in staff this year. The company also plans to consolidate several of its game studios as part of this restructuring effort.
Layoffs and Consolidation Plans
Xbox is preparing to lay off hundreds of employees this week, as reported by The Information, citing an insider familiar with the situation. This move represents the second major staff reduction for the company in 2023.
In addition to the layoffs, Xbox is expected to consolidate several of its game studios. This follows a previous round of layoffs in July, where 1,600 roles were eliminated alongside the divestment of five studios. Xbox has committed to reducing another 1,600 roles by the end of fiscal year 2027.
Broader Industry Impact
The news comes amid reports of imminent layoffs at Blizzard Entertainment, which has recently announced new titles including STARCRAFT, Diablo V, and World of Warcraft: Forever. This trend of job cuts highlights ongoing challenges within the gaming industry as companies seek to streamline operations and manage costs.