Microsoft annouces layoffs of 3200 with 4 studios departing

The writing is on the wall for 3200 people as Microsoft starts its most significant Xbox restructing in its history.

The 4 studios in question are Double Fine, Compulsion Games, Ninja Theory and Undead Labs with a fifth Arkane Lyon in talks for being removed too.

Its important to note with this that these studios aren't closing yet. Double Fine and Compulsion are being transitioned back to being independant studios with their IP, catalogue and runway for their next games.

Ninja Theory and Undead Labs are entering terms to join new ownerships along with funding to complete and grow their games Senua and State of Decay 3. While Arkane is starting required consultation with its Works Council to review its options.

Microsoft is also restructing across Activision, Blizzard, Bethesda, Microsoft Game Studios, Mojang and King and none of their first party publically annouced projects are being cancelled.

Of the 3200 jobs that will be lost, 1600 have lost their jobs today with a further 1600 jobs lost over the coming year.

The layoffs appear to include a thick layer of management at Sharma reported that in some instances work has to pass through 14 layers of management with the goal to simplify Xbox to better deliver for gamers.

To aid with this a chief operating officer in Helen Chiang will be installed. The first in Xbox history. Helen will oversee everything and has spent the past 20 years working at Xbox.
 
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