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Microsoft’s Gaming Shake-up: 1,900 Job Cuts, Senior Execs Quit Xbox and Blizzard

Microsoft is laying off more employees, a fresh round after laying off thousands last year. Many big tech companies seem to be doing the same.

This week, Microsoft laid people off at Activision Blizzard and Xbox. They cut jobs in the gaming divisions, about 8 percent of the entire Microsoft Gaming division, which has about 22,000 employees.

Microsoft stated,

“As part of this process, we’ve made the painful decision to reduce the size of our gaming workforce by approximately 1,900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to leading this process as thoughtfully as possible.”

The changes don’t stop there – Blizzard’s lead designer, Allen Adham, is also saying goodbye to the company. Booty recognized Adham’s major role as one of Blizzard’s co-founders and expressed his belief that his influence will continue through mentoring young designers in the industry.

The layoffs go beyond simply reducing the workforce, as key Blizzard figures are also resigning. Blizzard president Mike Ybarra is leaving the company after leading it through an acquisition. With more than 20 years at Microsoft, Ybarra has played a vital role in Blizzard’s leadership. Matt Booty, Microsoft’s president of game content and president of the studio, shared the news in an internal memo, mentioning that a new president for Blizzard will be named next week.

The shifts are in line with a broader trend in the technology industry, where many large companies are resorting to layoffs. Microsoft’s goal is to streamline its operations and focus on promising new projects for the future.

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The company said

“Going forward, we will continue to invest in areas that grow our business and support our strategy to bring more games to more players around the world. While this is a difficult time for our team, I am confident as always in your ability to create and nurture the games, stories, and worlds that connect players.»

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