A couple of hours in the past, Xbox CEO Phil Spencer despatched out a company-wide electronic mail to all full-time staff beneath Microsoft’s gaming divisions. A duplicate of the e-mail was shared with Kotaku by a present Xbox worker, we now have confirmed its authenticity, and the complete textual content has been transcribed beneath:
This has been a troublesome week throughout Microsoft, and right here, inside our groups. Now that most of the 1:1 and staff conversations have occurred, I need to take a second to reiterate the message that you simply heard out of your leaders.
It is a difficult second in our enterprise, and this week’s actions had been painful selections. The Gaming Management Crew needed to make selections that we felt set us up for the long-term success of our merchandise and enterprise, however the person outcomes of these selections are actual. I do know that hurts. Thanks for supporting our colleagues as they course of these modifications.
Over the approaching weeks we can have many alternatives to attach and reply your questions, together with the Month-to-month Gaming Replace subsequent week for groups who attend that assembly, and I’m in shut contact with groups at ZeniMax to supply assist. The GLT and I are dedicated to being as clear as we are able to. Shifting ahead with ambiguity is difficult, however I’m assured that collectively, we’ll get by means of this troublesome second in time.
Xbox has a protracted historical past of success because of the work you do in service of gamers, creators, and one another. Your work is so deeply appreciated and valued in these instances of change and is integral to our enterprise momentum. I’m assured in our future and proud to be a part of this staff, but additionally aware that this can be a difficult time and I need to thanks for the whole lot you do right here.
Phil
On January 18, Microsoft laid off 10,000 staff throughout the corporate. These layoffs included gaming studios akin to 343 Industries, The Coalition, ZeniMax Media, and Bethesda Sport Studios. Xbox has struggled to launch first-party titles final yr, and is beneath super stress to ship flashy blockbuster titles akin to Starfield. A few of the individuals who have misplaced their jobs embrace senior expertise, and occurred a yr after the writer scourged up the pocket change to buy Activision Blizzard for $70 billion. Kotaku has reached out to Microsoft for an announcement, however didn’t obtain a response by the point of publication.
“This appears like one thing you ship out on obligation,” wrote a present worker at Xbox over textual content messages to Kotaku. “I significantly doubt any of these month-to-month gaming updates or different conferences are going to do something to make anybody really feel higher.”
The tech staff’ union CODE-CWA put out an announcement on January 19, stating that their representatives have been in touch with Microsoft. The corporate “acknowledges its obligation to cut price over any proposed layoffs of CWA members at ZeniMax.” The ZeniMax union intends to barter on “alternate options to layoffs.”