Microsoft has announced job cuts at Xbox Division

mayham2199 said:
I have no bias. Your claimed you had a link to their profits. I looked at the link and there was no profits listed. Then you have hubris to talk about "facts" and say that I'm biased? You are sharing a link that doesn't show profits even though you said it did. Maybe your the one with a bias here?

I don't know anything about Xbox and their profits because they wont report it. If you have proof they are a profitable buisness show me. Don't just make a claim, start pointing me towards those facts you got.
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Common sense, the business would be shuttered and we all know Microsoft have no problems doing that.
drganon said:
Considering today's events, yeah.
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The cuts are across the entire Microsoft company, under those circumstances are you implying that Microsoft as a whole isn't profitable? 😂
 
Been saying for ages Xbox is dead and I honestly have no idea why they're caring on with the charade. Only a matter of time before Rare is shut down surely, congrats Microsoft.
 
Pantz said:
As an Xbox fan this is the best day in a long time.
I can't believe how long they were paying the Everwild team to figure out what kind of game they wanted it to be. It was a good scam while it lasted though.
As for Perfect Dark, I'm so happy that manjaw Joanna got canceled.
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Cope much

As an Xbox fan things are going to go down bank very fast now
 
SneakersSO said:
Based on the convos i've had, I think the future of Xbox overall is likely a combination of a handful of teams at the tier of Blizzard, CoD, and Minecraft, with a slow-bleed of every other team and studio slowly dying off as layoffs and budget cuts reduce everything as time marches forward.
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Given the absolute treasure trove of IP they've bought in the past decade, this feels like it should be a crime….
 
SneakersSO said:
I have been told in clear terms that, outside of a few quarters in the 2nd half of the 360's lifecycle, the only time Xbox has operated at something resembling profitability was after ABK's earnings were integrated into their reporting.

It is not hyperbole to suggest that Xbox as a division likely would've become simply 'Microsoft Gaming' as a brand and had all of their HW positions folded over, with a handful of software studios (think Mojang tier) remaining on the studio front, had the ABK merger not gone through.

Based on the convos i've had, I think the future of Xbox overall is likely a combination of a handful of teams at the tier of Blizzard, CoD, and Minecraft, with a slow-bleed of every other team and studio slowly dying off as layoffs and budget cuts reduce everything as time marches forward.
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And you are? 🤔
 
RetroGamingUK said:
Cope much

As an Xbox fan things are going to go down bank very fast now
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Cope what?
I'm here with 2 thumbs up. I hope it burns down more. If they can rebuild it better, then good. If not, then good. I'm an Xbox fan, not a fan of how bad Xbox has been doing.
 
Nicktendo86 said:
Been saying for ages Xbox is dead and I honestly have no idea why they're caring on with the charade. Only a matter of time before Rare is shut down surely, congrats Microsoft.
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The reason why so much effort is being poured into maintaining the charade is because theres a 10-20m userbase of very diehard users who all have an absurdly high likely hood of maintaining their higher tiers of GP subscriptions through this.

They wanna maintain that revenue stream as long as possible while they, over-time, restructure Xbox into a far leaner endeavor that focuses on a handful of mega-projects.

These cuts are gonna go on for a much longer while, and the sad part is - if the gaming community finally said 'enough is enough' and just all chose to divest, and tbh its hard to argue we're not already there given how returns have been (outside of ABK) the last couple of years - Microsoft would just expedite the process and close off even more teams now. To them, whether someone like 343, now Halo Studios, makes Halo versus just outsourcing it out is just semantics to them, plus Halo hasn't been 'Halo' since Bungie bought their way out.

MS is never gonna have the come to Jesus moment that media mouth pieces keep claiming just around the corner for team Xbox.
 
Hopefully a few teams can be bought out and saved, ala Tango. Let's also hope that some of these IPs aren't crushed in the process.
 
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SneakersSO said:
The reason why so much effort is being poured into maintaining the charade is because theres a 10-20m userbase of very diehard users who all have an absurdly high likely hood of maintaining their higher tiers of GP subscriptions through this.

They wanna maintain that revenue stream as long as possible while they, over-time, restructure Xbox into a far leaner endeavor that focuses on a handful of mega-projects.

These cuts are gonna go on for a much longer while, and the sad part is - if the gaming community finally said 'enough is enough' and just all chose to divest, and tbh its hard to argue we're not already there given how returns have been (outside of ABK) the last couple of years - Microsoft would just expedite the process and close off even more teams now. To them, whether someone like 343, now Halo Studios, makes Halo versus just outsourcing it out is just semantics to them, plus Halo hasn't been 'Halo' since Bungie bought their way out.

MS is never gonna have the come to Jesus moment that media mouth pieces keep claiming just around the corner for team Xbox.
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Next year is our year shenanigans
 
SneakersSO said:
The reason why so much effort is being poured into maintaining the charade is because theres a 10-20m userbase of very diehard users who all have an absurdly high likely hood of maintaining their higher tiers of GP subscriptions through this.

They wanna maintain that revenue stream as long as possible while they, over-time, restructure Xbox into a far leaner endeavor that focuses on a handful of mega-projects.

These cuts are gonna go on for a much longer while, and the sad part is - if the gaming community finally said 'enough is enough' and just all chose to divest, and tbh its hard to argue we're not already there given how returns have been (outside of ABK) the last couple of years - Microsoft would just expedite the process and close off even more teams now. To them, whether someone like 343, now Halo Studios, makes Halo versus just outsourcing it out is just semantics to them, plus Halo hasn't been 'Halo' since Bungie bought their way out.

MS is never gonna have the come to Jesus moment that media mouth pieces keep claiming just around the corner for team Xbox.
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So basically, Microsoft and the Xbox fanbase are stuck in a neverending sunken cost fallacy feedback loop.
 
SneakersSO said:
The reason why so much effort is being poured into maintaining the charade is because theres a 10-20m userbase of very diehard users who all have an absurdly high likely hood of maintaining their higher tiers of GP subscriptions through this.

They wanna maintain that revenue stream as long as possible while they, over-time, restructure Xbox into a far leaner endeavor that focuses on a handful of mega-projects.

These cuts are gonna go on for a much longer while, and the sad part is - if the gaming community finally said 'enough is enough' and just all chose to divest, and tbh its hard to argue we're not already there given how returns have been (outside of ABK) the last couple of years - Microsoft would just expedite the process and close off even more teams now. To them, whether someone like 343, now Halo Studios, makes Halo versus just outsourcing it out is just semantics to them, plus Halo hasn't been 'Halo' since Bungie bought their way out.

MS is never gonna have the come to Jesus moment that media mouth pieces keep claiming just around the corner for team Xbox.
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Giver of truth whom so many ignored! Welcome back.
 
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So, there are a lot of topics, if we sum up this day we have:

ZeniMax Europe - layoffs
New MMO - canceled

RARE - layoffs
Everwild - dead

The Initiative - dead
Perfect Dark - dead

Turn10 - lost 50%

Raven Software - layoffs

Phil Spencer - Most likely sitting at home playing Sea of Thieves

Is that all or am I missing something?
P.S - it's a bloodbath anyway...
 
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Punished Miku said:
Or just poor reading comprehension. Nothing in that message screams "massive asshole."

He's saying that their current metrics are due to previously difficult decisions (like going multiplatform), so they have to make those kinds of calls to position their gaming division correctly to have any continued success. There is a delay on what they spend now and what their outcome will look like in the future. Everyone on here knows that is 100% true. Their hardware is not selling and they're transitioning to a multiplatform publisher model so it would be pretty ridiculous to continue to fund a 1st party hardware and sales team. Everyone asked for this for years and it means they definitely can't spend the same amount on staff as a 1st party platform holder.

It's okay to criticize the layoffs and say your piece without lying. Also, mentioning that you still have positive elements of the business is not evil. That's literally how you employ the people that are still there.
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No Miku, how DARE you have a reasonable take after... *checks notes* ...reading the actual source! For some reason people lose their fucking minds over everything that happens at Xbox.

Zacfoldor said:
In the tech industry right now there is a lot of reduction in redundancy. Managers are bragging about doing the same work with much less people. The worse part? This mostly isn't even because of AI! This is all improved efficiency(I'm sure mixed in with some business level reprioritization and restructuring).

AI hitting full force will be worse.
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Efficiency has been increasing for years without AI. Automation is a force multiplier and it helps. The issue is now people equate the AI buzzword with automation and then assume it's AGI, and in 5 years we'll have personal robots doing everything. If anything, I fear we are about to lose a significant amount of institutional knowledge and take a huge step backwards in efficiency once management runs into all of the edge cases post layoffs. I'd say it's a bigger risk making their company's operations reliant on third party models, or having to incur the costs to maintain their own.
 
As a veteran gamer, I understand the industry's position when 3rd party games at their peak period, literally nothing else stands close to it. You want evidence? look at Sony and Nintendo exclusives now and then. Could we just stop playing pretend cause Nintendo and Sony have always been proactive the whole time ?
 
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GHG said:
The people in charge there can eat shit as far as I'm concerned. Completely destroyed what was once an amazing racing franchise with incredible potential.

I'd been saying change to the team was needed more than anyone before a lot of people started to realise the trajectory they were on:
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In hindsight, FM7 being trash was the warning. FM-always online edition was the kill shot.

FM peaked at FM4. The franchise on Xbox One onwards was ruined by drivatards.
 
HeWhoWalks said:
Giver of truth that so many ignored! Welcome back.
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I haven't really gone anywhere. I hear things and talk to folks all the time.

Opting to hop into the discussion now just felt more appropriate because of larger market aspects that are coming to a head around this round of massive layoffs.

We basically have gotten Xbox layoffs every 3-6 months going as far back as 2023 now. I know folks love memory holing it, but how anyone on the sidelines or in the form of punditry can say with a straight face that MS knows what it is doing while they've done nothing but close teams, cancel projects, and layoff personnel for over 2 years now is just mindboggling to me.

Meanwhile, you're gonna get the same defenders say that whatever OEM initiative MS has planned is gonna be executed well and will finally 'turn things around' for Xbox. Folks need to just accept - this slow death is all by design. The fact folks have been saying for over a year that Xbox was nowhere near done with layoffs and get proven right, just as you can literally say it with confidence right now that we're gonna be here talking about layoffs and closures and cancellations again in 3-6 months, and again 3-6 months after that, should tell you that all of this is going according to plan, just not the plan they've shared with the public is all.
 
LavitzSlambert said:
how DARE you have a reasonable take
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Jimmy Fallon Omg GIF by The Tonight Show Starring Jimmy Fallon
 
Topher said:
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The stream title is something like: "Tomorrow doesn't look so bad, despite the fact that I spent the whole day sitting in the toilet after dinner at Taco bell."
Are they seriously considering doing damage control after all the announcements?...
 
The is amazing. I had wished upon a shooting star that the gaming industry would start to crash because of the excessive microtransactions and the morons that kept buying them.

The awesome, Einstein IQ gamers who have bought micro transactions , thank you for helping the industry crash. You probably ruined your hobby, but out of the ashes just may be something greater. You just kept buying and buying to the point they put Ninja Turtles in games to buy the skins for probably some outrageous amount.

We are laughing at you, but you helped with something I've been wanting for about 15 or so years. Again, thank you.

This will be pretty outstanding to watch the next few years. Let's do this.
 
Can we get a Klobrille villain arc where he starts publishing infographics of all of the cancelled games, closed down studios and pictures of redundant staff crying?
 
SneakersSO said:
The reason why so much effort is being poured into maintaining the charade is because theres a 10-20m userbase of very diehard users who all have an absurdly high likely hood of maintaining their higher tiers of GP subscriptions through this.

They wanna maintain that revenue stream as long as possible while they, over-time, restructure Xbox into a far leaner endeavor that focuses on a handful of mega-projects.

These cuts are gonna go on for a much longer while, and the sad part is - if the gaming community finally said 'enough is enough' and just all chose to divest, and tbh its hard to argue we're not already there given how returns have been (outside of ABK) the last couple of years - Microsoft would just expedite the process and close off even more teams now. To them, whether someone like 343, now Halo Studios, makes Halo versus just outsourcing it out is just semantics to them, plus Halo hasn't been 'Halo' since Bungie bought their way out.

MS is never gonna have the come to Jesus moment that media mouth pieces keep claiming just around the corner for team Xbox.
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Sorry, what does that mean as far as "enough is enough"? Studios breaking off or consumers not purchasing their stuff at all anymore? Been a long day here at work.
 
50% job cuts at Turn 10?

Deserved however does that just make them a skeleton live service crew now? Never going to be a quality product again.
 
I've said this since 2024
Freelance Yakuza said:
So, it means that the company that has been mismanaging its internal studios and intellectual properties since at least 2010, and doesn't seem to have learned anything or improved its management, ended up buying new studios and managing them so poorly that it had to even close one that basically made its only good exclusive in 2023. And I'm supposed to act like I'm surprised? I said it at the time and I'll say it again: For a moment, I feared the possibility of Microsoft's monopoly, but they mismanage their studios and games so badly that they themselves will do the FTC's job and shrink their own size.

You can expect COD to face the same problems in a few years.
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