Bloomberg: Microsoft Plans Major Job Cuts at Xbox Gaming Division

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Labadal said:
adamsapple adamsapple
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HYDE said:
We can only hope
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cut-it-out-smh.gif
 
Physiognomonics said:
replaced by AI jobs?
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That hasn't been a credible explanation for the other people they've let go recently outside of the Xbox division. They let go of some high profile people who were public facing on their cloud and architecture side. Seemed like the only real explanation there was cutting people who are likely to have higher salaries.
 
Tiago Rodrigues said:
Seems like they overestimated how much this deal would bring them. I have a feeling they thought this would be the thing to make Gamepass an actual platform and it failed to bring them the numbers. For the past 18 months they have been firing people and bringing games to every platform lol.
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This. Phil inclusive said that Activision was vital for their success, but I think it's obvious that the deal don't boost the subscribers numbers of gamepass was they think it would.

Now they need to change their strategy one more time. lol

I don't know how the high managers at Xbox secure their jobs for so much time.
 
They don't even carry the hardware anymore beyond some controllers and accessories at my local Walmart. Barely any space is dedicated to games. Meanwhile, plenty of space still for PlayStation and Nintendo.
 
Microsoft really are useless with how they work when it comes to staffing lol. And to think all that money they have, Jesus.

Bunch of buffoons. Going to enjoy milking that Game Pass on PC as it is!
 
lh032 said:
jim-ryan-playstation.gif
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I donn't know who this guy is but God I just want to punch him in the face repeatedly and his stupid "hairstyle" is stupid what is with the little bangs? Don't @ me yes I'm triggered.

Why does he not have eyebrows or eyelids for that matter?

Why did he botox his face and not his crows feet and forehead?
 
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Well, this was to be expected. I hear they are hiring a lot of new sticker technicians though for all the 3rd party hardware with their branding.

SweetTooth said:
MS should have simply kept every Activision game EXCLUSIVE to Xbox, yes it will hurt the bottom line for some time but will create tremendous value for Xbox for the long run.

They could have also worked on a rival platform to steam with all these games EXCLUSIVE to them. Thats a guaraneed +5m users for CoD alone.

If there was a company that can pull such aggressive strategy, its MS with their deep pockets.
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Nah, that would really just kill those brands. Activision only had any popularity because it was on everything so their slop did good numbers. They aren't good enough to entice someone to buy hardware.
 
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They should be hiring more people to port games to Switch 2 and PS5. Hopefully, they don't just rely on outsourcing that work to port studios; it would be better to handle it in-house, à la CDPR, doing the Switch 2 port of Cyberpunk themselves.
 
I hope that Microsoft gives Ninja Theory another chance. Hellblade 2 was a waste of time, but this studio is competent, they just need to focus in create a proper game.
 
Are they finally going to fire Phil and Sarah and admit that Nadella's been calling the shots for the last 2 years?
 
This is a bugger issue than simply xbox or MS. This is going to occur at every software company. As AI gets better there's going to be a blood bath. These cuts are already starting.

But its going to get a lot worse. Some experts are saying that one worker trained to use AI will be able to replace up to 10 workers within as little as a year or two.

Id say get used to hearing news like this quite often. In every industry
 
I dont know why people are bringing up the acquisition. All that Call of Duty revenue is absolutely helping them transition out of 1st party to 3rd party until they get all their games day 1 on other systems. Its probably helped them a ton. Imagine if their system sales fell off a cliff without that revenue.
 
I asked GPT the following as if I was Spencer,

"pretend i am working for xbox and i need to write an email to keep morale good while cutting a lot of staff again"

Subject: Standing Together Through Change


Hi Team,


Today is a hard day. As you may be aware, we've made the incredibly difficult decision to reduce the size of our team across several parts of the Xbox organization. These are not decisions we make lightly, and they reflect the need to adapt to a rapidly evolving industry, align with long-term strategy, and ensure the sustainability of our vision for the future of gaming.


First and most importantly, I want to recognize and thank the incredibly talented individuals who are leaving us. Their work has shaped who we are as a team and as a brand. We are committed to supporting each of them during this transition with severance, extended benefits, and career resources.


For those of us continuing on, I know this moment brings a mix of emotions—sadness, uncertainty, and perhaps anxiety about what comes next. That's natural. Please take care of yourselves and one another. Talk to your managers, reach out to HR or our employee support services, and lean on your teams. We're in this together.


At the same time, I want to be clear: our mission remains strong. We are here to create the best experiences for players around the world, and the path ahead will require us to be more focused, more collaborative, and more innovative than ever before. Xbox has always thrived on the strength of its people. That hasn't changed.


In the coming days, we'll hold open Q&A sessions and small group check-ins to ensure your questions are heard and answered. Our leadership team is fully engaged in supporting everyone through this moment and into the next chapter.


Thank you for your resilience, your passion, and your dedication to our players and one another.


With appreciation and respect,
[Your Name]
[Your Title]
Xbox | Microsoft
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I should work in HR
 
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wolffy66 said:
But its going to get a lot worse. Some experts are saying that one worker trained to use AI will be able to replace up to 10 workers within as little as a year or two.
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If you are talking about 'AI expert', that opinion is moot... don't believe everything you see on internet... Everyone that is talking about AI replacing jobs is selling their AI solution.
 
SweetTooth said:
Activision acquisition has accelerated the death of Xbox beyond anything I imagined .. oof
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Xbox tried to absorb Activision. Except Activision was bigger and more profitable than Xbox. Activision basically UNO reversed Xbox and ate the division alive.

Don't forget, Activision ate Blizzard previously. So this is inevitable in hindsight. We are talking about the oldest 3rd party gaming company EVER. They know their office politics.
 
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SweetTooth said:
MS should have simply kept every Activision game EXCLUSIVE to Xbox, yes it will hurt the bottom line for some time but will create tremendous value for Xbox for the long run.

They could have also worked on a rival platform to steam with all these games EXCLUSIVE to them. Thats a guaraneed +5m users for CoD alone.

If there was a company that can pull such aggressive strategy, its MS with their deep pockets.
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Completely abandoning the largest group of players tied to the other console platform, with all of their friends there as well, would be an even dumber move. The takeover deal was already extreme costly and then having to wait X years and hoping that PlayStation players will transition to a new ecosystem? Nope, the deal itself already resulted in the push from the execs to provide immediate results or else.

In my opinion the takeover shouldn't have happened considering Microsoft's Game Pass strategy and how a blockbuster like CoD doesn't work with it.
 
wolffy66 said:
This is a bugger issue than simply xbox or MS. This is going to occur at every software company. As AI gets better there's going to be a blood bath. These cuts are already starting.

But its going to get a lot worse. Some experts are saying that one worker trained to use AI will be able to replace up to 10 workers within as little as a year or two.

Id say get used to hearing news like this quite often. In every industry
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Don't bet on it. I manage a group of software developers and from what we've seen, the AI tools do not have nearly as big of an impact on efficiency as the AI industry would like you to believe. They certainly save enough time to justify the subscription cost, but they're not replacing huge numbers of people. I also don't buy the "they will soon" argument given what we've seen so far over the last few years.
 
pudel said:
88 billions yearly profit (thats sony's whole revenue) last year doesnt seem to be enough. 🤷‍♂️
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Welcome to the world. It's never enough. The bigger the profits, the bigger the expectations for next year. Infinite growth. The wealth concentrated in a handful of people while billions slave away.
 
Most likely, Microsoft is returning to full console exclusivity,
so they no longer need developers
for pc and PS ports.
 
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Where do these people go? The industry is shedding staff at an incredible rate. Do they have to move to China for their studios?
 
Trogdor1123 said:
Where do these people go? The industry is shedding staff at an incredible rate. Do they have to move to China for their studios?
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If you're talking about the people working at the game development studios, a lot of them will not continue working in gaming. The gaming industry is producing more games than the player base can support, which is why we're seeing so many layoffs.
 
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