gaming division

AppWizard
July 7, 2026
On July 6, Kotaku reported that layoffs at Obsidian Entertainment affected between 60 to 70 employees, nearly a quarter of its workforce of 285. Current and former employees shared experiences on social media, indicating an indeterminate number of developers were let go, including long-time artist Daniel Alpert and recent hire Wenzheng Huang. Employee Kate Dollarhyde described the layoffs as significant, and while Obsidian is bound by the WARN Act to provide notice for layoffs exceeding 50 employees, the California WARN Act Tracker does not show that Obsidian reported these layoffs. Despite producing successful titles like Pentiment and The Outer Worlds 2, the studio's future is uncertain amid Xbox's anticipated layoffs and financial struggles.
Winsage
July 5, 2026
Sony has ceased production of physical discs. Microsoft has extended support for Windows 10 and retired the Surface Go and Surface Laptop Go, with no plans for restocking or successors. A leaked video revealed Microsoft's development of a Copilot operating system based on a streamlined Windows codebase. Xbox is considering canceling Marvel's Blade as part of a restructuring effort. Microsoft is contemplating a disc-to-digital program to allow users to convert physical game discs into digital licenses. The Dell XPS 13 and HP OmniBook Ultra 14 are currently available at significant discounts.
AppWizard
June 30, 2026
Xbox is currently facing challenges under new CEO Asha Sharma, dealing with strategic misalignment, significant acquisitions, layoffs, and a financially burdensome games subscription service. The company has launched advertisements for Call of Duty: Modern Warfare 4, which include the disclaimer "NOT ON XBOX GAME PASS THIS YEAR," reflecting its current difficulties. These ads began running on platforms like Facebook, Instagram, and Threads on June 27. The decision to exclude Call of Duty from Game Pass at launch follows reports of a [openai_gpt model="gpt-4o-mini" prompt="Summarize the content and extract only the fact described in the text bellow. The summary shall NOT include a title, introduction and conclusion. Text: In a notable chapter of its recent history, Xbox finds itself navigating a turbulent landscape as it seeks to redefine its identity under the leadership of new CEO Asha Sharma. Despite ambitious aspirations, the gaming giant grapples with the repercussions of a strategic misalignment that has characterized its endeavors in the current decade. The company has made headlines primarily for its significant acquisitions within the gaming industry, only to face subsequent layoffs, alongside the launch of a games subscription service that has become a financial burden. This tumultuous journey has been further complicated by a brief insistence that all games should be synonymous with Xbox, a stance that inadvertently discouraged potential console ownership. Strategic Shifts and Marketing Challenges As the company braces for another potential wave of layoffs and studio closures, it has recently unveiled a series of advertisements for Call of Duty: Modern Warfare 4. These ads, first spotted by a user on Resetera, encapsulate the ongoing challenges faced by the gaming division, prominently featuring the disclaimer: “NOT ON XBOX GAME PASS THIS YEAR.” This stark message serves as a reflection of the brand's current predicament. According to the Meta ad library, these advertisements commenced their run across platforms such as Facebook, Instagram, and Threads on June 27. While the decision to exclude Call of Duty titles from Game Pass at launch may be seen as a pragmatic move—especially following reports of a 0 million loss attributed to the service's impact on sales of Black Ops 6—it underscores a broader narrative of confusion and inconsistency in Xbox's branding strategy. The removal of Call of Duty from Game Pass, coupled with adjustments to its pricing structure, appears to have yielded positive results in revenue growth for the service. However, the necessity of advertising that consumers must now pay for a title, rather than highlighting enticing features like “137 NEW WEAPON ATTACHMENTS,” signals a retreat from the previously bold marketing tactics. This shift raises questions about the clarity and coherence of Xbox's messaging, which has not shown significant improvement under the new leadership. As Xbox continues to navigate these complex waters, the industry watches closely, pondering whether the adjustments will ultimately lead to a revitalized brand or further entrench the challenges that have plagued its recent history." max_tokens="3500" temperature="0.3" top_p="1.0" best_of="1" presence_penalty="0.1" frequency_penalty="frequency_penalty"] million loss linked to the service's effect on sales of Black Ops 6. Although removing Call of Duty from Game Pass and adjusting pricing has led to revenue growth, the need to advertise that consumers must pay for titles instead of promoting features indicates a shift in marketing strategy. This situation raises concerns about the clarity and coherence of Xbox's messaging under the new leadership.
AppWizard
June 25, 2026
Developers at Compulsion Games, the studio behind South of Midnight, are signaling their intent to seek new job opportunities amid impending layoffs. Many employees have updated their LinkedIn profiles to indicate they are "open to work," and studio leadership has allowed them to explore external job prospects. Reports indicate that at least a dozen employees, out of a workforce of approximately 90, are actively seeking new roles. This trend is occurring alongside broader concerns within the Xbox gaming division, where other studios may also face closures as part of an initiative acknowledging that Microsoft has overextended itself through acquisitions, potentially leading to significant layoffs and canceled projects.
AppWizard
June 15, 2026
Compulsion Games, known for titles like We Happy Few and South of Midnight, may be facing imminent closure as Microsoft’s gaming division undergoes significant layoffs and restructuring. Reports indicate that Compulsion and Double Fine are in negotiations to potentially spin off to avoid shutdown. Employees have expressed concern over job security, with many searching for new opportunities. Compulsion Games, founded in 2009 and based in Montreal, received critical acclaim for its recent title, South of Midnight, which won several awards. Despite previous praise from Xbox executives for the studio's achievements, the future remains uncertain amid corporate changes.
AppWizard
June 4, 2026
Jeff Gattis, the general manager of Amazon Gaming, indicated a potential shift in the development of future James Bond games, suggesting that sequels might be produced by MGM and possibly Amazon Game Studios, which could mean IO Interactive may step back from its Bond responsibilities. An Amazon spokesperson clarified that the company is not entirely moving away from IO Interactive, though future plans remain unclear. Amazon's gaming division has faced challenges, including significant layoffs and project cancellations. Gattis expressed a belief in the convergence of television and video games, suggesting that major intellectual properties will need to integrate video game narratives. He did not confirm IO Interactive's involvement in future Bond games, stating that decisions regarding the next Bond game are still being considered. IO Interactive has not publicly responded to these developments.
AppWizard
April 30, 2026
Microsoft's gaming division is returning to its Xbox roots, with a recent price reduction for the Game Pass subscription. Asha Sharma, the new CEO of Xbox, has indicated plans for collaborations with Discord to enhance community engagement. Under her leadership, Xbox has faced challenges, including a 5% decline in content and services revenue and a 33% drop in hardware sales. However, Microsoft's overall revenue increased by 18% year-on-year. Despite mixed results, new records for monthly active Xbox users and game streaming hours were announced. Sharma and Xbox Chief Content Officer Matt Booty outlined a vision for Xbox that is "affordable, personal, and open," focusing on initiatives like Project Helix and expanding the franchise portfolio.
AppWizard
April 21, 2026
Microsoft has reduced the monthly subscription price for Game Pass Ultimate from .99 to .99 and for PC Game Pass from .99 to .99. New releases of the Call of Duty franchise will no longer be available on the subscription service at launch, but will be added the following holiday season. Existing Call of Duty titles will remain accessible on the service.
AppWizard
April 11, 2026
Amazon announced a reduction of 14,000 jobs in October 2025, with significant cuts to its gaming division as part of a strategic shift away from competing with platforms like Steam. The focus will now be on enhancing the Luna cloud gaming service, which will no longer support the purchase of games from third-party stores such as EA, Ubisoft, and GOG. Subscriptions for Ubisoft+ and Jackbox Games will be discontinued, although users who previously purchased games from these developers can stream them until June 10, 2026. The decision to eliminate third-party game access was based on feedback from players seeking easier access to games and more social experiences. This change raises concerns about Luna's appeal in comparison to competing services like Xbox Game Pass. Some suggest this may encourage users to transition to Luna Premium, which requires an additional monthly fee.
AppWizard
March 30, 2026
The upcoming Gears of War E-Day Showcase will take place on June 7, 2026, at 10 AM PDT / 1 PM EDT / 6 PM GMT. It will include a dedicated direct presentation from The Coalition, unveiling new details, gameplay, and insights into the origins of the multiplayer series. Emergence Day, a pivotal event in the Gears of War universe, is expected to unfold primarily in the city of Kalona, where Marcus and Dom's families reside. E-Day marks the catastrophic emergence of the Locust horde, which decimated a significant portion of the human population. The showcase will also feature updates on other titles, including Fable and State of Decay 3, and may provide insights into the future direction of Microsoft's gaming division under new CEO Asha Sharma, who is considering making Game Pass more affordable.
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