layoffs

AppWizard
October 10, 2026
Xbox has appointed Maria Angelidou-Smith as the new CEO of Mojang and Minecraft, effective October 19, 2025. She succeeds Kayleen Walters, who led Mojang since February 2025 and will now head a new Xbox division called XP. Angelidou-Smith has a background in community-focused products, having worked at Meta, Personio, and Reddit. Xbox CEO Asha Sharma highlighted the importance of community and monetization in her memo regarding the leadership change. Minecraft continues to attract over 300,000 new players daily and is set to introduce a new dimension titled The Sift in 2027.
AppWizard
October 2, 2026
Marc Merrill discussed the development challenges of the game 2XKO, which faced difficulties in attracting a sufficient user base to support its live service model after eight years of work. The game required a monthly active user count in the high hundreds of thousands to justify its ongoing operation. The decision to shift 2XKO to a "box game" model resulted in layoffs and reflected broader industry challenges. The podcast highlighted that even with 400,000 daily players, sustaining a monthly unique player count near one million would be difficult. Merrill indicated that 2XKO would likely struggle to exceed 500,000 monthly active users, raising questions about Riot Games' market assessment and the developers' effectiveness.
AppWizard
September 27, 2026
The development team behind Gears of War: E-Day is experiencing layoffs due to corporate restructuring at Microsoft’s Xbox division. Story director Juan Vaca announced on LinkedIn that he is seeking new opportunities after being laid off. Gears of War: E-Day has gone gold and is set for release on October 6, having sold over one million copies.
AppWizard
September 26, 2026
The Elder Scrolls Online (ESO) has faced significant challenges, including the cancellation of Project Blackbird in July 2025, which led to the layoff of 62 employees. In July 2026, Xbox's restructuring resulted in a reduction of 213 positions at Zenimax Online, shrinking the studio's workforce by approximately 60% within a year. Despite expressing optimism earlier in the year about refreshing animations and introducing new gameplay mechanics, the layoffs have led to the postponement of several updates until 2027. A representative from the development team emphasized the importance of maintaining quality over meeting deadlines.
AppWizard
September 24, 2026
Microsoft has patented an "ad-credit" system to integrate advertisements into PC and Xbox gaming without interrupting gameplay. The patent, named 'Contextually Aware Management of Interactive Software Application Access', identifies natural pauses in gameplay to display ads, rewarding players with credits for uninterrupted playtime after viewing. In 2022, Microsoft began testing ad-supported game streaming on Xbox. Additionally, new monthly cloud gaming limits for Game Pass subscribers will take effect in November 2026, with Essential subscribers limited to five hours, Premium to ten hours, and Ultimate to fifteen hours per month. Xbox has also announced layoffs affecting 268 positions across various studios as part of restructuring efforts.
AppWizard
September 16, 2026
Build a Rocket Boy (BARB), the developer of MindsEye, is reportedly facing significant layoffs, potentially affecting all remaining employees. Since the game's release in 2025, which received poor reviews, the studio has struggled, claiming sabotage and experiencing strained relations with its publisher, IO Interactive. Multiple rounds of layoffs have occurred, and employees have raised concerns about mismanagement and unauthorized surveillance. Dan Hawkins, a talent acquisition partner at BARB, indicated on LinkedIn that his role is being made redundant, and other notable figures, including head of audio Stuart Ross, have also been laid off. BARB has not yet made a public statement about the situation.
AppWizard
September 13, 2026
Reactions to the StarCraft trailer at BlizzCon were mixed, with excitement turning to disappointment upon seeing the release date of 2030. The game will be an "open world shooter," diverging from the franchise's traditional format. Diablo 5 is announced for a 2029 release, just six years after Diablo 4. Many gamers are skeptical of long advance announcements due to frequent delays. Blizzard's leadership aims to instill confidence in their projects, emphasizing a commitment to timely releases. Despite potential layoffs at Microsoft, Blizzard has avoided significant fallout and is focused on showcasing its projects and maintaining a positive atmosphere at BlizzCon.
AppWizard
September 3, 2026
Microsoft's gaming division is facing challenges due to layoffs, industry consolidation issues, and controversial partnerships. Xbox is increasing service costs for its cloud gaming service, introducing a monthly cap for Game Pass subscribers starting in November, after which additional playtime must be purchased. This change follows a decline in Xbox revenue, which fell by .7 billion over the past year. Xbox also tested an ad-supported game streaming model to boost revenue. The effectiveness of the new pricing strategy is uncertain, especially after a previous price hike led to a loss of "millions" of Game Pass subscribers. Xbox plans to engage with its player base for feedback on these changes.
AppWizard
September 2, 2026
Following the launch of the expansion for Doom: The Dark Ages – Revelations, Xbox eliminated 136 positions at id Software, affecting many who contributed to the expansion. Former producer Andrew Willis described the intense crunch leading up to the release, with the team dedicating countless hours, only to face layoffs the day before the launch. Sales figures showed that The Dark Ages did not perform as well as Doom Eternal, and there are questions about whether the rush to deliver the expansion was due to internal decisions or external pressures from Xbox. Hugo Martin from id Software reassured stakeholders about the studio's stability despite the layoffs.
Search