Microsoft Cuts 4,800 Jobs in Xbox Gaming Division Restructuring

Microsoft is eliminating 4,800 positions across its gaming sector as part of a broad organizational restructuring, according to reports from Novinky and E15.cz. The layoffs heavily impact the Xbox division, including the closure of several studios and the removal of key developers from Bethesda.

How many employees are affected by the Microsoft layoffs?

The total number of job cuts is reported as 4,800, though different sources highlight different segments of the reduction. Novinky reports the total figure at 4,800, while Games.tiscali.cz specifies that 3,200 people lost their jobs specifically during a “great reset” of the Xbox division. These figures indicate a concentrated effort to reduce headcount within the gaming arm of the company.

Which studios and developers are losing their jobs?

The restructuring has directly hit Bethesda and its subsidiary studios, according to Zing.cz. The layoffs include “key developers” responsible for high-profile franchises and technical infrastructure, specifically those working on Doom and The Elder Scrolls Online. Additionally, developers working on the idTech engine—the proprietary technology used to power several of Bethesda’s titles—were among those dismissed, as reported by the gaming program INDIAN.

Why is Microsoft restructuring the Xbox division?

Reports from E15.cz describe the move as a "restructuring" that is hitting the Xbox gaming division particularly hard.

How does this compare to previous gaming industry cuts?

The scale of these layoffs varies across reports, with a gap of 1,600 positions between the 3,200 figure cited by Games.tiscali.cz and the 4,800 total cited by Novinky.