Microsoft Xbox Layoffs
Microsoft is cutting 4,800 jobs, with Xbox hit hardest in a major gaming reset.
July 6, 2026 · Updated Jul 6, 7:08pm ET
The VergeMicrosoft is selling off four Xbox studios as part of significant gaming cuts
CNBCMicrosoft cuts 4,800 jobs, as Xbox unit downsizes and plans to spin off four gaming studios
Washington TimesMicrosoft cuts 4,800 jobs, including many at Xbox in a ‘reset’ of its gaming division
Los Angeles TimesXbox cuts 3,200 jobs as gaming business struggles
TechCrunchMicrosoft lays off nearly 5,000 employees across Xbox, commercial sales
Fox BusinessMicrosoft cuts 4,800 positions, insists jobs 'not being replaced by AI'
CNNMicrosoft axes 4,800 jobs, including major cuts to Xbox
ARS TechnicaThe incredible shrinking Xbox: Five studios, 3,200 employees let go
Washington ExaminerMicrosoft cuts 4,800 jobs as it navigates AI revolution
The GuardianMicrosoft cuts 4,800 jobs as it revamps Xbox in latest wave of mass layoffs
ABC NewsMicrosoft cuts 4,800 jobs, including many at Xbox in a 'reset' of its gaming division
New York PostMicrosoft lays off nearly 5K workers, most of them at Xbox: ‘Our business today is not healthy’
BBC NewsMicrosoft cuts 4,800 jobs and shrinks Xbox in 'significant restructure'
Daily CallerBill Gates-Founded Tech Giant Axes Thousands Of Jobs As New Reality Sets In
CBS NewsMicrosoft to cut more than 3,000 jobs from ailing Xbox unit
Epoch TimesXbox Bears the Brunt as Microsoft Opens New Fiscal Year With 4,800 Job Cuts
Business InsiderWhy Xbox is hitting reset on its business
CNETXbox Laying Off 3,200 and Dropping 4 Studios in 'Reset' of Microsoft's Games Strategy
GizmodoXbox Hits âResetâ Button With Thousands of Job Cuts and Game Studio Spin Offs
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Pano rates the coverage Balanced.
What happened
Microsoft said it will cut 4,800 jobs, about 2.1% of its global workforce, in a restructuring that puts the biggest reductions in its Xbox gaming division. Xbox will eliminate 1,600 positions immediately and about 3,200 gaming jobs over the coming fiscal year, roughly one-fifth of the unit’s staff. The plan also includes spinning off or selling four Xbox game studios as Microsoft narrows the division after years of acquisitions. Executives framed the cuts as a reset of Xbox and a shift toward priority areas including artificial intelligence.
