Microsoft will lay off 9,000 people, including employees from Bethesda and King
Microsoft has indeed started new layoffs. In a statement to the media, their representative stated that 4% of the corporation's workforce, or 9,000 people, will lose their jobs. The gaming division will also be affected.
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The full scale of layoffs specifically within Xbox is currently unknown. According to Bloomberg, the numbers will be released throughout the day.
For now, journalist Jason Schreier discovered that at least 10% of King employees will be let go, which is roughly 200 people. Additionally, Microsoft will part with some employees from the European Bethesda teams.
The portal IGN obtained a letter sent to employees by Xbox head Phil Spencer. In it, he states that Xbox intends to focus on strategic growth areas and that the layoffs are necessary to increase the business's flexibility and efficiency.
“I understand that these changes are happening at a time when Xbox has more players, games, and hours played than ever before. [...] The success we are witnessing is based on previous tough decisions. Now we must make choices to ensure further success in the future,” wrote Spencer.