Microsoft has announced that they have laid off 1,900 employees across their entire gaming division. While Activision/Blizzard took the biggest hit, employees at Xbox and ZeniMax/Bethesda were also affected. Additionally, Blizzard Entertainment president Mike Ybarra and chief design officer Allen Adham have both announced their departure from the company.
Microsoft recently purchased Activision Blizzard in October 2023. They initially announced its intentions to purchase the company in 2022. In July 2023, the courts officially approved their purchase. Over the next year, several Activision Blizzard games will likely be available on Xbox Game Pass. Despite the purchase, it appears that employees throughout the company have been laid off due to unknown reasons.
Microsoft Announces Lay Offs Throughout their Gaming Division
In a recent article from The Verge, Microsoft confirmed that they will be laying off employees throughout their entire gaming division. The main brunt of the lay offs is through Activision Blizzard, however, both ZeniMax and Xbox have also been affected. 1,900 employees have been let go by the company. In a statement, CEO Phil Spencer said the following:
…We have made the painful decision to reduce the size of our gaming workforce by approximately 1900 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.
Over the last month, several employees have been laid off from several different companies. Examples include the Embracer Group, Riot Games, Behaviour Interactive, and more. According to industry insider Daniel Ahmad, “that’s 5,900 video game industry layoffs in 2024 so far, nearly 60% of 2023s total, and we’re not even at the end of January.” Only time will tell if this unfortunate trend will continue in the coming months.
