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Microsoft announces 1,900 layoffs: cuts affect Activision Blizzard and Xbox

Microsoft fired 1,900 employees who were part of Activision Blizzard, mainlyas revealed by the The Verge this Thursday (25). The cuts also affected professionals who were part of the Xbox Game Studios and ZeniMax Media teams.

In an internal memo, obtained by the publication, the CEO of Microsoft Gaming, Phil Spencer, justifies the reduction in the number of employees as a way of maintain a “sustainable cost structure”. It is worth remembering that the Redmond giant completed the purchase of Activision in October last year for almost US$70 billion.

Activision is responsible for highly successful games.Source: Getty Images/Reproduction

The cuts represent around 8% of total employees in big tech's general gaming division, which has approximately 22,000 contractors. Despite the reduction in employees, Microsoft guaranteed that investments in the segment will continue normally.

“Looking ahead, we will continue to invest in areas that will expand our business and support our growth strategy. bring more games to more players around the world. While this is a difficult time for our team, I am more confident than ever in their ability to create and nurture the games, stories, and worlds that bring players together,” Spencer wrote.

Changes at Blizzard

Amid the new wave of layoffs at Microsoft, Blizzard president Mike Ybarra decided to hand over the position. The departure was confirmed by the technology giant's president of game content and studios, Matt Booty, who intends to announce a new executive for the developer next week.

In addition to Ybarra, who worked for more than 20 years at Microsoft, Blizzard design director Allen Adham is also leaving. He is one of the company's co-founders and his influence will still be felt in the brand's future games, as stated by Booty.

The last major cut in the Windows owner's workforce was in January last year, affecting around 10,000 workers. Other technology companies have recently announced layoffssuch as Google, eBay, Twitch, Discord, Riot Games and Unity.

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