Microsoft has announced workforce reductions affecting approximately 3% of its global employee base.
According to CNBC reports, Microsoft had approximately 228,000 employees as of June 2024 and is implementing structural streamlining across all divisions. The restructuring affects roughly 6,000 employees.
"We're making necessary organizational adjustments to ensure Microsoft remains optimally positioned for success in today's evolving business landscape," a company spokesperson told CNBC.
IGN has reached out to Microsoft for clarification regarding potential impacts on its gaming division.
The latest cuts follow Microsoft's September 2024 decision to eliminate 650 positions from its gaming operations, coming after approximately 1,900 gaming jobs were cut earlier that year. These reductions included the closures of Tango Gameworks (developer of Hi-Fi Rush) and Arkane Austin (creator of Redfall). Cumulatively, Microsoft has reduced its gaming workforce by 2,550 employees since its $69 billion acquisition of Activision Blizzard in 2023.
In a June 2024 interview with IGN, Xbox head Phil Spencer acknowledged: "My responsibility includes maintaining sustainable business growth within Microsoft. Sometimes this requires making difficult decisions that I personally don't enjoy, but remain necessary choices."
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