The layoffs happened in Microsoft’s gaming division, including Activision Blizzard and Xbox.

Approximately 8% of the entire division will see a reduction, impacting 1,900 positions out of 22,000 due to the layoffs.

Blizzard president Mike Ybarra and chief design officer Allen Adham have also decided to leave the company.

This means, Blizzards’s upcoming Survival game is not coming.

Some Xbox and ZeniMax employees will also be impacted by the cuts, suggesting upcoming shift in game kaunch startegy.

What Microsoft said, “As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business. Together, we’ve set priorities, identified areas of overlap, and ensured that we’re all aligned on the best opportunities for growth.”

Microsoft will most likely appoint a new Blizzard president next week.

Notably, Microsoft completed its $68.7 billion acquisition of Activision Blizzard in October 2023, and has now fired the staff, typical big tech giants.