Microsoft is laying off 650 Activision Blizzard employees. Phil Spencer said the cuts were necessary for the long-term success of Xbox.
Microsoft has launched a new wave of layoffs in its Xbox division after acquiring Activision Blizzard. According to information confirmed by Xbox boss Phil Spencer, another 650 employees are being laid off. Although these cuts were explained as structural changes for the future success of Xbox, they caused a major shake-up in the gaming industry.
Activision Blizzard Lays Off 650 Employees
Phil Spencer wrote in a letter to his employees, “Organizing our business for long-term success” He also stated that these cuts were necessary in order to “institutional and supporting functions” He emphasized that these layoffs will create minimal disruption to the operation of Xbox.
Spencer, “Over the past year, our aim has been to minimise disruption whilst welcoming new teams. As part of aligning our team structure and managing our business post-acquisition, we have made the decision to eliminate 650 roles.” He shared the decision with his employees.
In January, Microsoft laid off around 1,900 employees from Xbox Game Studios, Activision Blizzard and Bethesda. Studio closures and Hi-Fi Rush developer Tango Gameworks These outages were followed by the closure of major studios such as . However, Spencer stated that no games, devices or studios will be shut down this time.