Microsoft is preparing deep job cuts at Xbox before the end of June, with prominent studio Bethesda among those braced for a 'bloodbath' of layoffs as the company overhauls its gaming division ahead of the next console cycle, according to multiple industry reports.
Microsoft has been reshaping its gaming business following years of losing ground to PlayStation and is now gearing up for the next wave of hardware, including its internal Project Helix plans and Sony's expected PlayStation 6. The looming changes follow the appointment of Asha Sharma as Microsoft's new Head of Gaming, replacing long-time Xbox chief Phil Spencer, and a strategic rethink that has already seen the company walk back its pledge to bring 'Call of Duty' to Game Pass on day one and lower the overall ambition of the subscription service.