For the past decade, Xbox has been on a spending spree unlike anything the games industry has ever seen. Billions were spent acquiring studios. Billions more were spent building Game Pass, funding content, supporting hardware, and expanding the Xbox ecosystem across multiple platforms. Now the company appears to be preparing another major reset. Following an internal memo describing Xbox as "overextended", reports suggest studios such as Ninja Theory, Double Fine, and Compulsion Games may be facing closure or independence negotiations as Microsoft attempts to reduce costs and refocus the business...
Tag: microsoft gaming layoffs
Microsoft Shuts Down The Initiative and Cancels Perfect Dark
Microsoft has confirmed the closure of its first-party Xbox studio The Initiative, along with the cancellation of Perfect Dark, Everwild, ZeniMax’s MMO Blackbird, and other unannounced projects. This move is part of a broader layoff wave affecting 4% of Microsoft’s global workforce, with over 15,000 job losses in 2025 alone despite the company reporting record profits. The cuts send a strong message about the challenges facing AAA development - even with the backing of one of the world’s most powerful tech firms...
