Microsoft’s Xbox cuts aren’t over yet, report says

May 8, 2024 by No Comments


In recent days, the gaming industry has been rocked by the sudden closure of four studios under the Xbox banner – Tango Gameworks, Arcane Austin, Alpha Dog Studios and Roundhouse Games. It’s a shocking move, but according to a recent report, it seems more layoffs and cuts are on the way, with some behind-the-scenes developments as we speak.


Not finished yet

in A report published by Bloomberg, sources close to the matter claim that Xbox is offering ZeniMax employees ‘voluntary severance agreements’, ‘buying’ them out of their contracts and forcing them to leave the company. In the report, it is mentioned that producers and QA testers are targeted.

Furthermore, Bloomberg’s sources at Xbox revealed that ‘more cuts are on the way’.

It has not been officially confirmed why each of these studios closed, but cost-cutting measures top the list when it comes to explanations. In a lawsuit, the main reason behind the closure of Tango Gameworks and Arcane Austin is that both studios are looking to expand and are developing new projects.

Microsoft has been the biggest contributor to the layoffs and turmoil in the gaming industry over the past year and a half, and the tech titan isn’t done yet.


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