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Microsoft layoffs: Doom cult studio id Software hit hard

Microsoft is laying off thousands of employees in its Xbox division and completely realigning Bethesda. Studio id Software, which lost half of its workforce, was hit particularly hard. The future focus will be on core brands.

Mass layoffs at Xbox

A few days ago, Microsoft announced far-reaching cuts in its video game division, and they are having a massive impact on its subsidiaries ZeniMax and Bethesda. A total of 3,200 jobs are to be cut over the course of the current financial year, of which 1,600 were laid off this week. As has now become known, the staff cuts are hitting id Software particularly hard. The Texas studio is responsible for the development of the shooter series Doom and, according to current reports, is losing around 50 percent of its entire workforce. The timing coincides (certainly without intention) with the release of the new Revelations expansion for the current game Doom: The Dark Ages. As Game developer reports, the cuts at id Software amount to more than 90 positions. The studio’s quality assurance in particular is said to have been severely decimated. A former developer confirmed the layoffs in a public post and expressed displeasure with the restructuring.

Bethesda changes strategy

The cuts are part of a larger realignment at Bethesda and parent company ZeniMax. In an internal email, Bethesda President Jill Braff explained that the company is moving away from previous plans for independent studios. Instead, the publisher’s strongest brands should become the focus of future development. In the future, the focus of the remaining teams at Bethesda will be on the established and high-revenue core brands. These include, among others:

According to Braff, the consolidation is intended to facilitate collaboration between the remaining developers. According to the current status, existing studios will not be completely closed.

Criticism of the restructuring

While management defends the measures as a necessary step for sustainable growth, there is clear criticism from the industry. The CWA union warns that staff cuts will lead to lower quality games and longer development times. This ultimately harms the players and reduces long-term income. John Romero, co-founder of id Software, expressed regret over the layoffs on Bluesky. He emphasized that the current teams had mastered the difficult task of continuing the legacy of classic titles with great respect. Microsoft itself has not yet officially commented on the exact figures for id Software.

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