News/Management/Jul 6, 2026

Microsoft cuts about 4,800 jobs and divests Xbox studios

Microsoft said it will eliminate about 4,800 jobs, roughly 2.1% of its global workforce, with the deepest cuts in Xbox. Xbox plans 3,200 job cuts, 1,600 of them on the day of the announcement, and is divesting up to five game studios. Chief People Officer Amy Coleman wrote that the roles eliminated are not being replaced by AI, while acknowledging AI is changing how work gets done.

  • About 4,800 jobs, about 2.1% of global workforce
  • Xbox: 3,200 job cuts, with 1,600 on July 6
  • Compulsion Games and Double Fine to become independent
  • Ninja Theory and Undead Labs to be spun off
  • Arkane in France entering works-council consultation
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Source
Honolulu Star-Advertiser
Jul 6, 2026
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