Microsoft’s Small Layoffs Hit Gaming and Other Divisions

Microsoft’s Latest Layoffs: A Small Impact Across Divisions

Microsoft has conducted another round of layoffs, affecting a small number of employees across various departments. This was reported by Business Insider, citing sources familiar with the matter. Impacted employees were reportedly notified on Tuesday. While Microsoft confirmed a small number of job cuts, they did not provide specific numbers and stated these layoffs were unrelated to previous cuts targeting underperforming employees.

Impact on Gaming Division

These latest layoffs follow previous job cuts at Microsoft. In January 2024, 1900 jobs were cut across the gaming division, with an additional 650 cuts in September. While the recent layoffs impacted a small number of gaming employees, the gaming division wasn’t the primary focus of this round of cuts, according to Eurogamer.

Microsoft’s Response and Industry Context

A Microsoft spokesperson stated that organizational adjustments are a necessary part of business management. They emphasized continued investment in strategic growth areas. These layoffs come after a challenging 2024 for the games industry, which saw approximately 13000 job losses. Further job cuts and studio closures have continued into 2025.