Microsoft Gaming Lays Off Significant Number of Staff
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- Microsoft laid off a significant number of employees from its gaming division.
- Approximately 9,100 employees at Microsoft across multiple departments were affected by this round of layoffs.
- Candy Crush developer King was the most severely affected, although other entities of Microsoft’s gaming business also suffered job cuts.
Microsoft laid off a significant number of employees from its gaming division, according to an internal message for the company’s gaming staff from Microsoft Gaming CEO Phil Spencer, obtained and reported by IGN.
While the exact number of employees affected within Microsoft’s gaming divisions has not been disclosed, The Seattle Times reported that approximately 9,100 employees across multiple departments were impacted in this round of layoffs, marking the largest workforce reduction in the company since 2023.
As for the gaming division in particular, according to a Bloomberg report, Candy Crush developer King was the most severely affected, cutting 10% of its staff (about 200 jobs). However, according to multiple sources, other entities of Microsoft’s gaming business also suffered, including Bethesda’s London office.
The internal memo doesn’t provide any clue as to the reason for such massive layoffs. As reported by Gaming.News a week ago, one possible reason for the cuts is that Microsoft executives have been pressuring Xbox to increase its profit margins since purchasing Activision Blizzard in 2023.
“Employees whose roles were eliminated are encouraged to explore open positions across Microsoft Gaming, where their applications will be given priority review,” says the internal memo from Spencer.
