Microsoft has announced a 3% reduction in its global workforce.
According to CNBC, Microsoft employed 228,000 people as of June 2024 and plans to streamline management across all teams. Roughly 6,000 employees are impacted.
“We are making strategic organizational adjustments to position the company for success in a competitive market,” a Microsoft spokesperson told CNBC.
IGN has reached out to Microsoft to clarify if the layoffs affect its gaming division.
In September 2024, Microsoft eliminated 650 jobs in its gaming sector, following 1,900 layoffs earlier that year. Those cuts led to the closure of Tango Gameworks, creators of Hi-Fi Rush, and Arkane Austin, developers of Redfall. Since acquiring Activision Blizzard for $69 billion in 2023, Microsoft has reduced its gaming workforce by 2,550 employees.
In a June 2024 interview with IGN, Xbox chief Phil Spencer stated: "I must manage a sustainable business within the company and drive growth, which sometimes requires tough decisions that I don’t enjoy but must make."
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