Microsoft Preps for Xbox Division Layoffs Amid Restructuring Efforts

Microsoft may announce layoffs in its Xbox division later today, according to reports. The company plans to cut hundreds of jobs as part of a major restructuring effort, led by new CEO Asha Sharma.

This is the second significant staff reduction at Xbox this year, following a layoff of 1,600 employees in July. At that time, Sharma told staff she would eliminate an additional 1,600 roles by the end of the year.

The Xbox division has been struggling to keep pace with its rivals, leading to a focus on developing major game franchises like Elder Scrolls and Fallout. Sharma has also asked studios to prioritize creating global hits over smaller-scale projects.