Recent developments at ZeniMax Online Studios and its parent company, ZeniMax Media, reveal a significant restructuring within the organization. According to a Maryland WARN Act notice, a total of 379 employees have been laid off, with 213 from ZeniMax Online and 166 from ZeniMax Media. This move has raised questions regarding the future of both studios, particularly in light of the ongoing success of their flagship title, The Elder Scrolls Online.
Layoff Details and Implications
The WARN notice indicates that ZeniMax Media and ZeniMax Online are listed separately, yet there is no distinct notice for Bethesda Game Studios. This suggests that the layoffs at ZeniMax Media likely include personnel from Bethesda, as both entities share the same office address. The exact number of Bethesda developers affected remains unclear, as it is uncertain how many of the 166 layoffs originated from the Rockville office’s development team versus the publishing side.
Reports from Game Developer highlight the impact of these layoffs on ZeniMax Online, which has experienced a substantial reduction in workforce. The ZeniMax Online Union, which boasted 461 members at the end of 2024, has seen a significant decline in membership. Between July 2025 and 2026, the studio lost 275 employees, with a WARN notice last year indicating 62 layoffs. Assuming minimal attrition beyond these layoffs, the current workforce at ZeniMax Online may now be reduced to approximately 186 employees, representing a staggering 40% of its manpower from just a year and a half ago.
In a noteworthy social media post, former ESO UX lead Gary Boodhoo shared insights into the financial performance of The Elder Scrolls Online, revealing that the game has generated an impressive million in monthly revenue for over a decade. This raises intriguing questions about the rationale behind such extensive layoffs, particularly when the game’s revenue stream appears robust. The decision to reduce the workforce by at least 60% within a year prompts a deeper examination of the strategic direction of ZeniMax Online and its commitment to supporting its successful franchises.