Tag: Blizzard

  • Microsoft Xbox Faces Hundreds of Layoffs in Major Restructuring Effort

    Microsoft Xbox Faces Hundreds of Layoffs in Major Restructuring Effort

    Microsoft’s Xbox division is reportedly planning to cut hundreds of jobs this week as part of a sweeping restructuring of its gaming operations, according to a report from The Information on September 21. The move could also involve consolidating several game studios across Microsoft’s gaming organization, including Xbox Game Studios, Bethesda, Activision, and Blizzard.

    The layoffs would mark the second major staff reduction in 2026, following 1,600 job cuts in July and additional planned reductions through fiscal 2027. The reported aim is to improve profit margins by reducing costs and focusing development on established franchises such as Elder Scrolls and Fallout, potentially leaving smaller acquired studios with less investment.

    Bloomberg reporter Jason Schreier indicated that layoffs at Blizzard—which largely avoided the July cuts—were ‘imminent’ during a recent podcast episode. Microsoft has not confirmed the report or provided details on specific studios or final job numbers. The restructuring is expected to reshape how Xbox manages its creative teams and could lead to studio mergers or team shifts between publishing groups.

    The latest developments underscore Microsoft’s strategy of concentrating resources on fewer, high-value development groups while deemphasizing smaller projects. No game cancellations have been linked to the reported layoffs yet, leaving the full impact on Xbox’s upcoming portfolio uncertain.

  • Microsoft to Keep Steam Central to Xbox’s PC Gaming Strategy, Report Confirms

    Microsoft to Keep Steam Central to Xbox’s PC Gaming Strategy, Report Confirms

    A new report indicates that Microsoft will continue to rely on Steam as a cornerstone of Xbox’s PC gaming plans, while also expanding the role of Battle.net. Contrary to earlier speculation that Xbox might pull its games from Steam, the report states that Microsoft has no such intention at this time. Instead, the company is making strategic adjustments without removing its titles from the popular platform.

    Battle.net, previously exclusive to Blizzard games, is being opened up to third-party developers. It now includes Activision titles such as Call of Duty, Obsidian’s The Outer Worlds 2, and Avowed. In the future, more third-party developers will be able to distribute their games through Battle.net. Additionally, Microsoft continues to invest heavily in its own PC app.

    Choice for Big Publishers

    Many game companies have shifted their strategies in recent years. Electronic Arts (EA) initially focused on its own launcher but later brought its games back to Steam. Ubisoft also returned many of its biggest titles to Steam after a period of exclusivity on its own platform. Blizzard has followed a similar path—while Battle.net remains important, several Blizzard games are now available on Steam.

    These moves reflect a growing preference among players for more choices and flexibility. Microsoft appears to be adopting the same approach, avoiding platform lock-in and instead focusing on making PC gaming simple and accessible. This could prove to be one of its strongest strategic moves in the coming years.