Xbox Prepares Three New Rounds of Layoffs Amid Major Division Reset
Article excerpt
Summary Xbox CEO Asha Sharma is planning three additional rounds of layoffs through January as part of an ongoing business reset across Microsoft’s gaming division. Alongside internal restructuring and studio management shifts, reports highlight plans for a 2027 handheld device and a 2028 Project Helix console projected to cost up to $1,800. Job cuts at Microsoft ‘s gaming division are far from finished. A new report from Fortune reveals that Xbox CEO Asha Sharma plans to roll out three additional waves of layoffs between now and January, targeting staff in October, November, and early next year. These upcoming cuts represent the next phase of a sweeping internal reset designed to lift slim profit margins across the entire gaming brand. The planned job reductions build on earlier rounds that already eliminated nearly 1,900 positions since July, when Sharma announced a total goal of 3,200 cuts. Industry insiders worry the next waves could hit first-party teams like Gears of War developer The Coalition, especially following softer sales for its latest release. Other major studios under the Xbox banner, including id Software, Arkane, and Ninja Theory, have already lost veteran talent or seen their teams restructured over recent months. Despite the ongoing cuts and persistent online rumors about a potential corporate breakup, Microsoft insists it isn’t walking away from gaming...
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The Fortune report notes that Xbox intends to launch a dedicated handheld device in 2027, followed by its primary Project Helix home console in 2028.
