Microsoft’s gaming division, including the recently acquired Activision Blizzard, is undergoing significant layoffs. The company confirmed that nearly 400 employees, mainly from Activision Blizzard, will lose their jobs. The decision largely impacts Blizzard employees in California, with 140 layoffs in Irvine, 110 in Santa Monica, and 143 in Playa Vista.
Positions being cut include accountants, software engineers, World of Warcraft’s HR director, artists, and game producers, among others. This wave of layoffs is part of Microsoft’s ongoing effort to reduce “redundancies” after acquiring Activision Blizzard for billions of dollars. The aim is to streamline operations and eliminate overlapping roles within the company.
Microsoft layoffs hit gaming division
Microsoft CEO Phil Spencer confirmed the layoffs in a memo, and spokeswoman Delay Simmons further elaborated that the cuts are a strategic move to optimize the gaming division’s efficiency. While this restructuring is seen as a necessary step for the company, it leaves nearly 400 employees facing job transitions in an increasingly competitive industry.
This announcement comes shortly after Spencer admitted to making “some of the worst game choice decisions” during a PAX West panel just last week. The fact that high-ranking executives, including Spencer himself, are not affected by the layoffs has added to the frustration among the gaming community. The gaming industry continues to face challenges, and while many gamers were hoping to see Xbox make a positive response to recent critiques, they have instead been presented with another round of layoffs.
As the restructuring proceeds, affected employees are being provided with severance packages and transition support. The company has assured that these measures are in place to assist their workforce during this challenging period.
