Microsoft is planning more layoffs in its Xbox division. They may affect whole development teams

Update #2 (June 26th)

Co-founder of 3D Realms, George Broussard, claims that layoffs in the Xbox department could affect even 1000-2000 people.According to the rumors, entire development studios will be shut down.

Update #1 (June 24th)

Jason Schreier reports that layoffs in the Xbox department will be carried out next week. Managers are reportedly expecting huge cuts.

Original news (June 19th)

Microsoft is planning more layoffs. Bloomberg was the first website to report on the matter.

1. We don't yet know exactly how many people will lose their jobs. The axe is expected to affect thousands of jobs.
2. The layoffs will mainly focus on the sales department. Microsoft intends to transfer some of the responsibilities related to contacts with companies using the corporation's solutions to third parties.
3. The reductions are to be officially announced at the beginning of July. The company is set to justify it with the desire to increase investment in artificial intelligence.
4. These will be the next big layoffs at Microsoft. In May, the corporation laid off 3% of its workforce, which is over 6,000 employees. A few weeks later, they announced more, smaller layoffs, affecting 305 people.

At the end of last year, Microsoft had 228,000 employees, so even all of this year's reductions will not cause significant changes in the company's workforce, especially since it continues to hire for new positions.

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However, laid-off employees will be in a bad situation. The last several months have seen significant reductions in the tech industry, which means that people laid off by Microsoft will enter a job market already filled with job seekers with similar specializations.

1. Microsoft - official website

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• XSX