Microsoft has announced it has axed a further 650 employees from its games division.

Microsoft has announced it has axed a further 650 employees from its games division

Microsoft has announced it has axed a further 650 employees from its games division

In a memo obtained by IGN, Xbox chief Phil Spencer said the roles that would be affected were mostly corporate, and explained the decision to let go of the staff was made in an effort to “organise [its] business for long term success”.

Spencer clarified that “no games, devices or experiences” were due to be cancelled, and emphasised there would be no studio closures.

He said: “Separately, as part of running the business, there are some impacts to other teams as they adapt to shifting priorities and manage the lifecycle and performance of games.

“With these changes, our corporate and supporting teams and resources are aligned for sustainable future growth, and can better support our studio teams and business units with programs and resources that can scale to meet their needs.”

Since the announcement, the Communications Workers of America union (CWA) has slammed Microsoft’s latest round of lay-offs after it had axed 1,900 jobs in its gaming division and closed studios like Arkane Austin and Tango Gameworks earlier this year - though the latter company and its ‘Hi-Fi Rush’ I.P. were later acquired by Krafton.

In a statement, the organisation said: “Microsoft could have achieved its goals for long-term success without destroying the livelihoods of 650 of our colleagues.”


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