Microsoft is undergoing a significant reorganization that may result in the termination of up to 9,000 workers in the US, or around 4 percent of its total staff. Though specific divisions were not named, reports indicate significant cuts in its Xbox gaming unit. Game projects like Perfect Dark and Everwild have been cancelled, and The Initiative studio will be shut down. Staff at Turn 10 and ZeniMax Online Studios are also affected, according to BBC.
The layoffs come as Microsoft shifts focus to AI, with $80bn allocated for data centers. Over 800 job losses are concentrated in Redmond and Bellevue, Washington.