United States tech giant Microsoft cuts 4,800 jobs
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Microsoft is cutting about 4,800 jobs, or roughly 2% of its global workforce, as part of a sweeping restructuring aimed at redirecting resources toward artificial intelligence infrastructure. The move, disclosed in internal communications and implemented beginning this week, hits the commercial sales division and the Xbox gaming business hardest. Around 3,200 roles, or about 20% of Xbox’s staff, are slated to be eliminated over the coming fiscal year. Microsoft will also spin off or sell four game studios and is reviewing a fifth for possible closure, while compressing Xbox’s management structure from as many as 14 layers to no more than five.
More context
Timeline
- This week Microsoft begins major restructuring layoffs
- This week 4,800 roles cut companywide
- This week commercial sales division sees reductions
- This week Xbox and Bethesda staff dismissed
- This week 1,600 Xbox employees lose jobs
- Coming fiscal year 3,200 gaming roles eliminated
- Coming fiscal year Xbox leadership layers consolidated
- Coming months four game studios spun off
Why it matters
Microsoft's job cuts could impact your gaming experience. With fewer staff and potential studio closures, new games might take longer to reach you. If you're an Xbox user, keep an eye on any changes to your favorite games or services.
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