2024 is less than a month away, but it's been another rough year for video game industry employees. microsoft is the latest company to announce major layoffs in its gaming division, with the company expected to cut approximately 1,900 employees. Xbox, activision blizzard and zenimax (aka Bethesda) team.This will increase the total number of video game layoffs this year Already around 6,000 people. In all of 2023, there were approximately 9,000 layoffs in the industry. According to some estimates.
“As we look forward to 2024, Microsoft Gaming and Activision Blizzard leadership are committed to aligning our strategy and execution plan with a sustainable cost structure that supports our entire growing business. „We set priorities, identified areas of overlap, and ensured that everyone was aligned on the best opportunities for growth,“ Microsoft Gaming CEO Phil Spencer said in an obtained memo. told the staff. The Verge. „As part of this process, we made the difficult decision to reduce the size of our gaming workforce by approximately 1,900 roles out of the team's 22,000 people.“
Most of the cuts are said to have been made within Activision Blizzard, with three months later Microsoft finally completes $68.7 billion acquisition Publisher's. Some positions on Xbox and ZeniMax teams are also affected. The layoffs represent about 8% of Microsoft's gaming division.
„Everyone directly affected by these cuts has played a critical role in the success of Activision Blizzard, ZeniMax, and the Xbox team, and they should be proud of everything they've accomplished here,“ Spencer said. wrote. “We are grateful for all the creativity, passion and dedication they bring to our game, our players and our colleagues. We will provide our full support to those affected during the transition.”
Spencer added that Microsoft „continues to invest in areas that grow our business and support our strategy to bring more games to more players around the world.“ These are difficult times for our team, but I am as confident in your support as ever. The ability to create and cultivate games, stories, and worlds that connect players. ”
Xbox confirmed to Engadget that Spencer sent the memo to Microsoft employees on Thursday morning.
Among those leaving the company is Blizzard President Mike Ybarra, who is leaving the company of his own accord. „I want to thank everyone affected today for their tremendous contributions to the lives of our team, Blizzard, and our players. This is an incredibly difficult day, but my energy and support I'm going to focus on all the amazing people that have been influenced by me, and it's not just a reflection of your amazing work,“ Ybarra said. I wrote it to X.
„To the Blizzard Community: I also want to let you all know that today is my last day at Blizzard. I've had an incredible time leading Blizzard and have been a part of the team to shape its future. It was an absolute honor,“ Ibarra continued. „After more than 20 years at Microsoft and with the acquisition of Activision Blizzard on the horizon, it's time for me to become Blizzard's biggest fan from the outside (again).“ Matt Booty, President of Game Content and Studios, Microsoft He told staff that the company plans to name a new president of Blizzard next week.
We want to thank everyone impacted today for their meaningful contributions to our team, Blizzard, and the lives of our players. Today is an incredibly difficult day. My energy and support will be focused on all the wonderful people affected. This is by no means a reflection…
— Mike Ybarra 🎄 (@Qwik) January 25, 2024
Another major result of this reorganization is: The Verge, That's Blizzard's survival game, codename Odyssey,was canceled. It marked Blizzard's entry into a new genre, but no other details about the project were revealed. announced 2 years ago. Some of the developers working on the survival game will be transferred to „one of several promising new projects Blizzard is in the early stages of development,“ Booty wrote.
according to bloomberg Reporter Jason Schreier, Odyssey I had been working on it for six years. Midway through development, a Blizzard executive reportedly told the team to switch from creating the game in Unreal Engine to an in-house engine he called Synapse. However, it took too long to put together the technology. Despite positive feedback on early versions of the game, it was scheduled to take several more years to complete. Odyssey It will end. Ultimately, Activision Blizzard reportedly decided that Synapse wasn't ready for primetime and canceled the game.
Retrenchments are common after major mergers, especially when upper management identifies areas of overlap. This is often seen in corporate positions such as marketing and human resources.
This is the largest layoff in the games industry so far this year, surpassing the previous 1,800 employees. let go of unity. convulsions and discord Each has laid off hundreds of people. This week, Riot Games said: Reduce number of employees by approximately 530 people. dead by daylight studio interactive behavior, little tina's wonderland Developer lost boys interactive and outriders Maker people can fly The company is one of many gaming companies that has cut jobs through 2024.
Updated 1/25 3:59 PM ET: Added details about cancellation Odyssey from bloombergThis is a report by