Uploaded July 2026 | Updated September 2026, 2 weeks ago
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Xbox CEO says Arkane, developer of Marvel's Blade has begun "consultation" to review options
"Arkane’s management is beginning required consultation with its Works Council to review potential strategic options." Microsoft is laying off 4800 employees today / 1600 Xbox employees impacted
-Double Fine and Compulsion Games are going independent
-Microsoft selling Ninja Theory and Undead Labs Asha Sharma has brought in a start up mentality into Xbox. Speed is a priority.
The Xbox price increase was hastily thrown together after Apple announced its price increases. 'Microsoft Corp.’s Xbox plans to eliminate 3,200 jobs, or around 20% of its staff over the next year'
'ZeniMax will face a significant overhaul and will pivot to focus on its biggest franchises: Fallout, The Elder Scrolls, Doom, Quake and Wolfenstein.' Xbox is laying off around 1,600 employees today (8%), with additional layoffs continuing through FY27 totaling 15% of Xbox, as it announces "most significant restructure" in its history and parts ways with several studios:
▪️Double Fine and Compulsion Games are going independent
▪️Ninja Theory and Undead Labs have been sold off
▪️Arkane is reviewing "potential strategic options"
Decision which normally take weeks are now decided in days or hours. Game Pass. Microsoft decided to ignore all the warnings of how unsustainable the Game Pass model would be, even from industry professionals. How devastating it would be to condition their players to not pay for their games. Compulsion Studios and Double Fine will become independent studios, and Ninja Theory and Undead Labs will be sold to new management Xbox announces plans to cut 3,200 jobs as part of a major restructure. It has also split from four studios - Double Fine, Compulsion Games, Ninja Theory and Undead Labs. It’s seeking a new home for Arkane Lyon, too. Full FAQ through here
State of Decay 3 and Senua will continue to be funded by the new owners
Follow me on social media:
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Xbox CEO says Arkane, developer of Marvel's Blade has begun "consultation" to review options
"Arkane’s management is beginning required consultation with its Works Council to review potential strategic options." Microsoft is laying off 4800 employees today / 1600 Xbox employees impacted
-Double Fine and Compulsion Games are going independent
-Microsoft selling Ninja Theory and Undead Labs Asha Sharma has brought in a start up mentality into Xbox. Speed is a priority.
The Xbox price increase was hastily thrown together after Apple announced its price increases. 'Microsoft Corp.’s Xbox plans to eliminate 3,200 jobs, or around 20% of its staff over the next year'
'ZeniMax will face a significant overhaul and will pivot to focus on its biggest franchises: Fallout, The Elder Scrolls, Doom, Quake and Wolfenstein.' Xbox is laying off around 1,600 employees today (8%), with additional layoffs continuing through FY27 totaling 15% of Xbox, as it announces "most significant restructure" in its history and parts ways with several studios:
▪️Double Fine and Compulsion Games are going independent
▪️Ninja Theory and Undead Labs have been sold off
▪️Arkane is reviewing "potential strategic options"
Decision which normally take weeks are now decided in days or hours. Game Pass. Microsoft decided to ignore all the warnings of how unsustainable the Game Pass model would be, even from industry professionals. How devastating it would be to condition their players to not pay for their games. Compulsion Studios and Double Fine will become independent studios, and Ninja Theory and Undead Labs will be sold to new management Xbox announces plans to cut 3,200 jobs as part of a major restructure. It has also split from four studios - Double Fine, Compulsion Games, Ninja Theory and Undead Labs. It’s seeking a new home for Arkane Lyon, too. Full FAQ through here
State of Decay 3 and Senua will continue to be funded by the new owners
![MICROSOFT IS SELLING XBOX!?
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The Information: Microsoft Has Considered Spinning Out Xbox, Plans New ‘Halo,’ ‘Fallout’ Games Microsoft hasnt ruled out restructuring Xboxs business
Options on the table include spinning off Xbox, making it a joint venture, or a wholly owned subsidiary of Microsoft like LinkedIn
[via The Information] As Microsoft gets ready to overhaul its struggling Xbox gaming unit, it hasnt ruled out spinning out or restructuring the unit as a wholly-owned subsidiary, which could make it easier to sell, or creating a joint venture with other partners, according to three people with direct knowledge of the discussions. Xbox plans major reset at the company going forward as the business falls under strain:
▪️Excluding Activision, Xbox has lost roughly half a billion dollars in revenue per year over the past five years
▪️Will end this fiscal year at ~3% profitability, down year-over-year
▪️Prices for console storage components will be 5x what they were last Fall
▪️Xbox has been impacted more greatly than many of their peers due to choice made in the past 5 years
▪️Need new business models and partnerships for hardware, committed to Helix
▪️Xbox is overextended after expanding the amount of first party studios
▪️Need to reassess the balance in investment priorities for the next 5 years
▪️Will evolve and rebuild our stack and look at capabilities across all of Xbox and potential M&A to help us win in hardware, PC, mobile, and streaming MICROSOFT IS SELLING XBOX!?](https://i.ytimg.com/vi/ZkLxkyE-dMI/mqdefault.jpg)









