Microsoft will lay off 650 employees in its gaming division, according to an internal memo sent to employees by Xbox CEO Phil Spencer and published by IGN and Game File.
The latest round of layoffs comes after the company laid off 1,900 employees from its video game division in January, adding to a dire year for layoffs across the gaming industry.
Manage cookie settings
“As part of our efforts to restructure our team and manage our business post-acquisition, we have decided to eliminate approximately 650 positions within Microsoft Gaming – primarily corporate and support functions – to organize our business for the long term,” Spencer wrote in the memo. success.
“As part of these adjustments today, no games, devices or experiences have been canceled and no studios have been closed,” he added.
The full memo posted by IGN and Game File is below:
“Over the past year, our goal has been to minimize disruption while welcoming the new team and enabling them to do their best work. As part of our efforts to restructure our team and manage the business post-acquisition, we have decided to make approximately 650 employees redundant. Roles within Microsoft Gaming (primarily corporate and support functions) to organize our business for long-term success.
“I know this is difficult news to hear. We are grateful for the contributions of our colleagues who learned they were impacted. In the U.S., we are providing them with separation packages that include severance, expanded health care and outplacement services assistance They transition; outside the U.S., packages will vary based on location.
“Through these changes, our corporate and support teams and resources are positioned for sustainable future growth and can better support our studio teams and business units with scalable plans and resources to meet their needs. demand. Additionally, today, these adjustments will not eliminate any games, devices, or experiences, nor close any studios, as they adapt to changing priorities and manage the lifecycle and performance of games as part of the operational business.
“Throughout the history of our franchise, we’ve had great moments and we’ve had challenging moments. Today is one of those challenging days. I know it’s difficult to go through more changes like this, but even in the toughest of times As we work to continue to serve our players, this team is able to come together to care and be kind to each other. We thank you for your support as we navigate these changes and for your support of each other. Compassion and respect.
This is a development story.
