Microsoft has revealed plans to cut approximately 3% of its workforce globally, impacting around 6,000 employees across different teams and locations, as reported by CNBC. It’s expected that this wave of job reductions may influence a variety of game development studios within the Microsoft network to some degree.
A Microsoft representative stated, “We’re making organizational adjustments to optimize our company for thriving in a rapidly changing business environment.” The spokesperson added that one reason for recent job reductions is to streamline the management structure within the organization.
It’s unclear at this point which specific Microsoft teams are subject to the layoffs, and it remains undecided if their initiative to streamline management within various departments may impact their gaming studio teams as well.
Microsoft’s latest job cuts are just the latest wave of layoffs affecting the gaming industry this year. Just last week, racing game developer Codemasters announced a round of layoffs, stating they were necessary to “eliminate positions.” This announcement coincided with the end of development on EA Sports WRC and a pause in work on future rally racing games.
In simpler terms, a representative from our company stated that we’re always adapting to better serve our customers and are paying more attention to various aspects of our business. This shift has prompted us to consider cutting certain positions, while at the same time, we aim to reassign as many roles as possible to align with our strategic goals.
In April, Electronic Arts (EA) announced a series of job cuts impacting approximately 300 employees spread across various teams. Among these were teams working on Apex Legends and Star Wars Jedi: Fallen Order developer Respawn Entertainment. According to an EA representative, this move was taken in order to better organize teams and allocate resources with the aim of fostering future growth.
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2025-05-14 15:57