After recording better than expected quarterly results last week, including a boost from the gaming division, Microsoft has announced layoffs to roughly 3% of its 228,000 workforce. This represents around 6,000 employees.
The news comes as a Microsoft spokesperson told CNBC “We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace."
The cuts are said to mostly be affecting management as a spokesperson said it is to reduce layers in their management structure.
Xbox Affected?
In terms of how this affects the gaming division it is not yet clear, however the cuts are said to affect all teams which would suggest some cuts in the gaming division.
Of course last year we saw multiple cuts within the Xbox division with 650 employees from the gaming division losing their jobs last year September.
Additionally in May of last year Xbox announced the closures of multiple studios including Redfall studio Arkane Austin and Hi-Fi Rush studio Tango Softworks. Thankfully Tango was later sold before being dissolved, but it is a stark reminder of how volatile the industry is at the moment.
We are saddened by today's news and hope all those who are affected land on their feet quickly.
As this story is evolving we will update it if we learn anything more in terms of cuts within the gaming division.
