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The gaming industry has changed drastically in the past decade and it’s not a secret that it is not in its best state right now. This year Microsoft has gotten rid of a large chunk of its employees and they are continuing to do so as Activision Blizzard will start laying off employees at its Irvine, Santa Monica, and Playa Vista locations.
Roughly 400 employees working onOverwatch 2andDiablo 4have been laid off as a part of Microsoft’s new strategy to cut costs in its gaming division. Earlier this year, Microsoft got rid of roughly 1,900 employees who were a part of Activision Blizzard, ZeniMax, and the Xbox teams.
Microsoft Got Rid Of Employees Working OnOverwatch 2AndDiablo 4
Microsoft’s plan to cut costs in its gaming division is in full swing as the industry giant plans to get rid of roughly 400 employees at Activision Blizzard who are working onOverwatch 2andDiablo 4.
This round of layoffs will target employees working at Activision Blizzard’s Irvine, Santa Monica, and Playa Vista locations. By the end of the year, roughly 400 employees working at these locations will be jobless. This is a part of Microsoft’s plan to lay off approximately 650 employees, or 3% of Microsoft Gaming’s global workforce.
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Overwatch 2andDiablo 4will obviously be affected by this move, in fact, Microsoft Gaming has also removed some employees working onCall of Duty: Warzone Mobile.
Phil Spencer Says These Layoffs Are Necessary To Organize Microsoft Gaming
Microsoft acquired Activision Blizzard for roughly $69 billion in October 2023, giving Microsoft access to many games developed by Activision Blizzard. Under their new plan, Activision Blizzard has been affected the most. In an email to an employee that was obtained byVarietyearlier this month, Phil Spencer explained the reason behind these layoffs,
As part of aligning our post-acquisition team structure and managing our business, we have made the decision to eliminate approximately 650 roles across Microsoft Gaming – mostly corporate and supporting functions – to organize our business for long term success.
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Microsoft has assured that no video game titles, devices, or “experiences” are being canceled because of these layoffs. Not just Microsoft, but evenPlayStation got ridof 8% of its global workforce earlier this year.
In January 2024, Microsoft laid off 1,900 employees at Activision Blizzard and Xbox. Around the same time, Blizzard president Mike Ybarra revealed that he was also leaving the company. These sudden layoffs have worried the gaming community as these might be early signs that the industry is dying.
Do you think these layoffs are necessary to keep the company afloat? Share your views in the comments!
Farhan Asif
Articles Published :1696
Farhan Asif is a gaming writer at FandomWire who specializes in video games/franchises like Helldivers 2, GTA, and Call of Duty. Apart from 1600+ published articles for FandomWire, he has also written more than 750 articles for AnimatedTimes. He has a passion for coding and is pursuing a degree in computer science. During his free time, Farhan loves to play video games and hopes to create a video game of his own one day.
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