Microsoft Gaming Restructure Hits Hard | Seattle News

Microsoft is pulling the plug on its gaming division with massive layoffs—4,800 jobs total, including 1,600 at Xbox—as part of a sweeping “reset” to fix declining profits and a crippling hardware cost crisis. New Xbox head Asha Sharma blamed weak margins and rising console component prices, while Microsoft’s chief people officer Amy Coleman linked the cuts to shifting customer demands—and emphasized AI won’t be filling the roles. Another 1,600 layoffs are expected this fiscal year, plus four acquired studios will be spun off. The gaming industry is under intense pressure, forcing hard choices to stay competitive. Listen in comfort:Get a discount on a Soli Pillow: http://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/44f40143dc36d4dc