
It’s still a tough time for game industry people as Xbox is now reportedly preparing for “significant layoffs” in the weeks ahead as part of an “Xbox reset” to help restore the brand to its former glory. For the past several weeks, new Xbox CEO Asha Sharma has been making some big moves to turn Xbox’s fortunes around. This included things like removing future Call of Duty titles from Xbox Game Pass as a day one game, and more recently, recommitting to Xbox-exclusive games, such as Gears of War: E-Day, which will stick to Xbox consoles and PC via Steam.
This week, Sharma has also discussed plans to reevaluate strategies on how to deal with rising costs for components. Speaking with regard to the upcoming Project Helix console, Sharma and Matthew Ball have stated that the company will need consider new paths forward to ensure that Project Helix stays affordable. This includes considering new Xbox console business models. Neither dove into specifics, though. The strategy also seemingly includes layoffs.
The Xbox reset could include significant layoffs in July and a potential studio closure
The last couple of years in the games industry have seen massive layoffs across several studios. Unfortunately, it is showing no signs of really slowing down. Microsoft is now reportedly preparing for significant layoffs in July. According to The Verge, the company has been preparing for this for weeks. It’s also stated that this layoff round could include the closure of an entire studio.
It isn’t mentioned which studio this could be if the closure ends up happening at all. But it’s not good news either way. As it likely will add stress to the already stressful nature of potential layoffs, putting many developers on edge.
It’s clear that Sharma and other Xbox executives are laser-focused on turning things around for the Xbox brand. The unfortunate part of this Xbox reset is that it seems this may include downsizing. Something that has become all too common in the industry the last few years.
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