Companies around the world are cutting costs and laying off employees (Riot Games, Google, Discord, Twitch, Unity, eBay). In a layoff round, Microsoft has cut 1900 people from its gaming division including employees at Activision Blizzard and Xbox. This is just three months after closing the $69 billion Activision Blizzard acquisition.
Microsoft LayOff: 8% Of Gaming Division Cut
Microsoft has cut 8% of its gaming division out of 22,000 employees. The Verge obtained an internal memo from Microsoft Gaming CEO Phil Spencer that confirmed the downsizing.
Phil Spencer mentioned that moving into 2024 “the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business.”
The memo also mentions that the company is going to continue to invest in areas that grow the business and support the current strategy of “bringing more games to more players around the world”.
Mike Ybarra Leaves The Company
Blizzard President Mike Ybarra has decided to leave the company. Microsoft’s game content and studios president, Matt Booty mentioned the following regarding the matter in an internal memo:
As many of you know, Mike previously spent more than 20 years at Microsoft. Now that he has seen the acquisition through as Blizzard’s president, he has decided to leave the company,
A new Blizzard president will be named next week to replace Mike Ybarra. Ybarra has confirmed this via X (formerly Twitter).
Interestingly, Jason Schreier claims that in November at BlizzCon Ybarra told him that he wanted to stay for the long haul. “Someone will drag me out of Blizzard. That’s how long I will be here.”
This implies that something changed between November and now. It is possible that Ybarra was forced to leave the company.
Furthermore, Blizzard’s chief design officer and cofounder, Allen Adham is also leaving the company.
Blizzard’s Previously Announced Survival Game Codenamed Odyssey Canceled
Blizzard’s previously announced survival game codenamed Odyssey has been canceled as part of the new company roadmap. Booty mentioned that Microsoft will shift some of the people working on it to one of the numerous promising projects Blizzard has in the early stages of development.
Affected People
Affected employees have taken to X to voice their concerns and disapproval.
Let us know what you think about this massive Microsoft LayOff Mike Ybarra leaving the company and Odyssey being cancelled.
