New Xbox CEO Asha Sharma’s “reset” of the company in July 2026 spelled the end of jobs for thousands.
On the morning of July 6, 2026, Sharma revealed 1,600 Xbox employees had lost their jobs, with 1,600 more yet to go before the end of the 2027 fiscal year. Even more employees across other departments of Microsoft had been let go, too, marking a truly dark day in the tech industry.
The Xbox layoffs took place across a number of studios and companies, including the selling of a number of studios. Thankfully, no studios have been fully closed, but Sharma still called it “the most significant restructure in XBOX history.”
