Overview
- Xbox announced on Monday that it will eliminate about 1,600 roles immediately and reduce roughly 3,200 positions across fiscal 2027 as part of what CEO Asha Sharma called the division’s largest restructure.
- Compulsion Games and Double Fine will transition to independent studios with their IP and runway funding while Ninja Theory and Undead Labs have entered terms to join new owners with funding to finish key projects.
- Arkane Lyon has begun a legally required consultation with its French Works Council to review strategic options, leaving the studio’s future and the status of Marvel’s Blade unresolved for now.
- Helen Chiang has been promoted to Xbox chief operating officer, Mojang and King will report directly to CEO Asha Sharma, longtime executive Dave McCarthy is retiring, and management layers and vendor spend will be sharply reduced.
- Microsoft confirmed about 4,800 company-wide job cuts, and Xbox leadership says the reset responds to multiyear losses—including an estimated $0.64 lost per dollar invested—rising memory and storage prices, and weaker-than-expected Game Pass growth.