2024 has been a 12 months of heavy cuts for Microsoft’s gaming division (because it has been for a lot of the remainder of the trade), but it surely looks as if extra cuts are coming. As reported by Recreation File, Microsoft is reducing one other 650 jobs in its gaming division, as confirmed by Microsoft Gaming CEO Phil Spencer in an electronic mail despatched out to firm workers earlier at present.
In his electronic mail, Spencer defined that the job cuts will largely be restricted to “company and supporting groups”, and that the layoffs is not going to entail any studio closures or cancellations of video games, units, or options. This spherical of cuts can also be tied to Microsoft adjusting its framework following its acquisition of Activision Blizzard.
“For the previous 12 months, our purpose has been to reduce disruption whereas welcoming new groups and enabling them to do their greatest work,” the e-mail reads. “As a part of aligning our post-acquisition workforce construction and managing our enterprise, we’ve got made the choice to get rid of roughly 650 roles throughout Microsoft Gaming—largely company and supporting capabilities—to prepare our enterprise for long run success.”
“With these adjustments, our company and supporting groups and assets are aligned for sustainable future development, and may higher help our studio groups and enterprise models with applications and assets that may scale to satisfy their wants,” Spencer later provides. “Individually, as a part of operating the enterprise, there are some impacts to different groups as they adapt to shifting priorities and handle the lifecycle and efficiency of video games. No video games, units or experiences are being cancelled and no studios are being closed as a part of these changes at present.”
Reported by Recreation File and never talked about in Spencer’s electronic mail, this latest spherical of job cuts has additionally affected the event groups engaged on Activision cellular duo Warcraft Rumble and Name of Responsibility: Warzone Cellular, although allegedly, each video games will stay reside and proceed to obtain help.
In January this 12 months, Microsoft introduced that it was eliminating 1,900 jobs from throughout its complete gaming division, affecting Microsoft Gaming, Activision Blizzard, and ZeniMax Media, with the corporate seeking to “align on a technique and an execution plan with a sustainable value construction”. Later, in Could, Microsoft closed 4 studios beneath ZeniMax, together with Redfall and Prey developer Arkane Austin and The Evil Inside and Hello-Fi Rush studio Tango Gameworks. The latter, nonetheless, was not too long ago acquired and revived by Krafton.
