Microsoft Announces 10,000 Job Cuts

As of January 19, 2023, Microsoft's latest round of layoffs has impacted its gaming divisions, with Bethesda Game Studios and 343 Industries being among the affected companies, according to a report by Bloomberg. Veteran developers at Xbox, some with over a decade of service, have lost their jobs. Although the exact number of layoffs at these studios is unclear, 343 Industries studio head Pierre Hintze confirmed the decision to restructure and eliminate certain roles. Notably, Joseph Staten, the head of creative for Halo Infinite, will be leaving 343 Industries but will remain at Xbox in its publishing division. This development follows Microsoft's initial announcement on January 18, 2023, of its third round of layoffs since July, with 10,000 employees being let go, representing less than 5% of the company's workforce, as stated by CEO Satya Nadella. Eligible US employees will receive severance packages, including six months of healthcare and stock vesting, along with a 60-day notice period. The layoffs are part of the company's efforts to restructure and emerge stronger. This move comes after previous layoffs in October and July, affecting less than 1% of the workforce each time. The gaming industry has seen several layoffs this year, including Unity cutting 284 jobs and Netease disbanding its team for Blizzard titles. Wizards of the Coast and Ubisoft have also undertaken restructuring efforts, with Ubisoft planning to sell off non-core parts of its business.