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Report: Xbox poised to make yet more layoffs

Report: Xbox poised to make yet more layoffs

Tech giant Microsoft is reportedly planning on making further redundancies in its Xbox division. 

Bloomberg reports that these job cuts are going to be "substantial" and are set to be announced next week. 

This follows Bloomberg reporting that thousands of jobs are on the line at Microsoft, largely focused on the company's sales business. This is seemingly due to cost cutting efforts to fund Microsoft's aggressive artificial intelligence spending. 

The cuts at Xbox would represent the fourth wave of layoffs in 18 months. Overall, something in the region of 15,000 staff have lost their jobs at Microsoft since January 2023. 

"Throughout our team’s history, we have had great moments, and we have had challenging ones," Microsoft games boss Phil Spencer said when announcing that 650 members of staff were being made redundant in September 2024.  

"Today is one of the challenging days. I know that going through more changes like this is hard, but even in the most trying times, this team has been able to come together and show one another care and kindness as we work to continue delivering for our players. We appreciate your support as we navigate these changes and we thank you for your compassion and respect for each other." 


PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site PCGamesInsider.biz. In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for GamesIndustry.biz, VGC, Games London, The Observer/Guardian and Esquire UK.