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Microsoft Gaming recently announced a major reduction in its workforce, affecting 1,900 employees. This move impacts various roles within Activision Blizzard King, Xbox, and ZeniMax Media. This decision represents an 8% cut of Microsoft Gaming’s 22,000-strong team.
In an internal memo, Microsoft Gaming’s CEO outlined the decision, acknowledging the contributions of those affected and committing to a thoughtful process. He noted the important roles these employees played, saying:
“The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax, and the Xbox teams, and they should be proud of everything they’ve accomplished here.”
Additionally, Blizzard Entertainment is seeing a change in its leadership. President Mike Ybarra and Chief Design Officer and co-founder Allen Adham have both decided to exit the company. Ybarra, with over two decades at Microsoft, expressed his intention to support Blizzard from outside the company. He said:
“Having already spent 20-plus years at Microsoft and with the acquisition of Activision Blizzard behind us, it’s time for me to (once again) become Blizzard’s biggest fan from the outside.”
Matt Booty, Microsoft Gaming Content and Studios President, commented on Ybarra’s tenure and role during the acquisition of Activision Blizzard. He also mentioned Adham’s influence on Blizzard’s games and his future plans to mentor young designers. Booty said:
“As many of you know, Mike previously spent more than 20 years at Microsoft. Now that he has seen the acquisition through as Blizzard’s president, he has decided to leave the company.”
Blizzard Entertainment has also halted development on an unannounced survival game. The team working on this project will be shifted to other early-stage initiatives, as per Booty.