--- title: Xbox cutting 3,200 jobs and parting ways with four studios description: Microsoft is executing what it calls the most significant restructure in Xbox history, cutting 3,200 jobs across its gaming division by end of fiscal year.... canonical: https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Xbox cutting 3,200 jobs and parting ways with four studios | daily.dev og:description: Microsoft is executing what it calls the most significant restructure in Xbox history, cutting 3,200 jobs across its gaming division by end of fiscal year.... og:url: https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum og:image: https://api.daily.dev/og/posts/wvNS6GYUM.png og:image:alt: Xbox cutting 3,200 jobs and parting ways with four studios og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Xbox cutting 3,200 jobs and parting ways with four studios **[Game Developer](https://daily.dev/sources/gamedeveloper)** · 4 min read · 0 upvotes · 0 comments ## Summary Microsoft is executing what it calls the most significant restructure in Xbox history, cutting 3,200 jobs across its gaming division by end of fiscal year. Four studios — Compulsion Games, Double Fine, Ninja Theory, and Undead Labs — are being separated from Xbox Game Studios, with some returning to independence and others finding new ownership. Arkane Lyon is in a consultation process with an uncertain outcome. New Xbox CEO Asha Sharma cited failures of the Game Pass and multiplatform strategy, a hardware crisis driven by AI data center investment inflating memory prices, and a core business that lost 64 cents per dollar invested. This is Microsoft's fifth major layoff round since acquiring Activision Blizzard in 2023. The restructure aims to flatten management from 14 layers to 3-5, reduce platform team size, and cut vendor spend by 50%. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Similar posts on daily.dev - [The state of play after a truly torrid week for Xbox](https://daily.dev/posts/the-state-of-play-after-a-truly-torrid-week-for-xbox-cyibjbrdi) · Game Developer · 1 upvotes · 0 comments - [Trouble at Xbox](https://daily.dev/posts/trouble-at-xbox-cfkgerom3) · TechCentral · 0 upvotes · 0 comments - [Report: Xbox considering sales or closures at Arkane and others](https://daily.dev/posts/report-xbox-considering-sales-or-closures-at-arkane-and-others-wf7vlnadr) · Game Developer · 1 upvotes · 0 comments --- Tags: [#microsoft](https://daily.dev/tags/microsoft), [#game-development](https://daily.dev/tags/game-development), [#xbox](https://daily.dev/tags/xbox) [View this post on daily.dev](https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Xbox cutting 3,200 jobs and parting ways with four studios","url":"https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum"},"datePublished":"2026-07-06T14:15:40.471Z","dateModified":"2026-07-09T21:33:03.478Z","description":"Microsoft is executing what it calls the most significant restructure in Xbox history, cutting 3,200 jobs across its gaming division by end of fiscal year....","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/c90d29f88be1dbffcf31ba55f5d8fe76?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/c90d29f88be1dbffcf31ba55f5d8fe76?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"Game Developer","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"Game Developer","logo":"https://media.daily.dev/image/upload/t_logo,f_auto/v1/logos/5fbb7418db8746769a45f55309bbdf13","url":"https://daily.dev/sources/gamedeveloper"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/xbox-cutting-3-200-jobs-and-parting-ways-with-four-studios-wvns6gyum","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"microsoft,game-development,xbox","timeRequired":"PT4M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"Game Developer","item":"https://daily.dev/sources/gamedeveloper"},{"@type":"ListItem","position":3,"name":"Xbox cutting 3,200 jobs and parting ways with four studios"}]} ```