September 6, 2025
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Microsoft begins substantial layoff process across gaming division, King and Zenimax impacted


Xbox has been hit by yet another wave of layoffs, as Microsoft has begun the process of a substantial layoff process today. As of writing, Zenimax and King, are reportedly affected.

According to a report by Bloomberg, Microsoft’s barcelona-based King Division is losing 10 percent of its staff, which comes to roughly 200 people.

Staff at Zenimax have also been informed of layoffs across its european offices, though the formal number of impacted employees remains unclear. According to a report by Windows Central, Zenimax’s London-based marketing team as well as staff in Rockville, Maryland have are included in these cuts.

News of these layoffs began circulating last month, when a report stated Xbox was set to restructure much of its central-European distribution. These were described by Bloomberg as a “major restructuring”, and the fourth case of layoffs to hit Xbox in the last 18 months.

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It was only in May when Xbox cut three percent of its total workforce, which at the time was the biggest loss of staff since 2023. Previously in September 2024, Xbox fired 650 developers to “organise our business for long term success”, a line which gets increasingly dire by the every time Microsoft goes back to the ol’ layoff well!

This story is developing, and will be updated with as more information is available.

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