Xbox Layoffs Continue as Nadella Backs Gaming Strategy
Microsoft's Xbox division faces more layoffs and studio closures this week, following 1,600 summer cuts. CEO Satya Nadella defends the strategy and discusses AI attitudes.
Xbox has laid off 1,600 employees over the summer, and this week brought more layoffs and studio closures within Microsoft's gaming division. Indications suggest further job cuts are coming.
Microsoft CEO Satya Nadella praised Asha Sharma's actions as a necessary step and said he feels fantastic about Microsoft's IP portfolio and studios. He emphasized that a sustainable business model is needed to deliver gaming to more people.
Nadella also questioned why Western consumers are more skeptical of AI than other regions, referencing a Gallup poll. He noted that people in Nigeria are more optimistic about AI than in the United States.
Ed Zitron blamed Xbox's position on Microsoft mismanagement and AI bets. The situation at Xbox remains fluid as the company navigates these changes.
Quick answers
How many Xbox employees were laid off over the summer?
Xbox laid off 1,600 employees over the summer.
What did Satya Nadella say about the layoffs?
Nadella praised Asha Sharma's actions as a necessary step and said he feels fantastic about Microsoft's IP portfolio and studios.
Are more Xbox layoffs expected?
There are indications more job cuts are coming to Xbox.