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XBOX to Lay Off ‘Hundreds’ and Consolidate Multiple Studios This Week, It’s Claimed

It has been claimed that the anticipated ‘second wave’ of XBOX layoffs will hit this week, with the tech titan letting go of ‘hundreds of employees’ in the coming days. This will be the second batch of redundancies to hit the firm this year after 1,600 employees were let go in a ‘big reset’ in June.

It has also been claimed that studio consolidation will hit across the board, with some smaller studios migrating under more prominent labels, soaking up their projects and employee bases. For instance, it has been suggested that Halo’s development could be about to shift under the Activision banner.

Huge Changes Draw Near at XBOX

The second wave of redundancies across the wider XBOX portfolio has been on the cards since the first batch hit back in June, but it has always been a source of speculation as to who and what will be hit.

In a spate of new posts, several claims have emerged suggesting what’s about to happen.

The Information said that ‘someone briefed on the plans’ let them know that hundreds of employees will be cut this coming week, and several game studios will be consolidated, or ‘merged’.

Responding to this article on Restera, insider NateTheHate stated that ‘more than just Halo will be moving under ABK. Other studios will move to different companies within XBOX/MS.’

Another claim that’s doing the rounds is that Activision’s Call of Duty studios will be merged, cutting down their footprint. That’s an uncorroborated claim, though, so take that with more than just a pinch of salt.

In a recent podcast appearance, Jason Schreier suggested that Blizzard is also about to be struck by redundancies.

The Blizzard layoffs are coming and imminent.

This was based mostly on conversations held at BlizzCon, which took place earlier this month.

Do you have any guesses as to what’s about to happen at XBOX? Let us know your thoughts and fears on the Insider Gaming Discord server.


For more Insider Gaming coverage, check out the news that Battlestate is going to invest in ‘risky’ games. Also, don’t forget to sign up for our weekly newsletter

Written by
Grant Taylor-Hill
Senior Editor and Esports Lead

Grant has been gaming for 30+ years and in the industry for 10+. You'll probably find him playing a post-apocalyptic game or an extraction shooter somewhere.

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