Microsoft’s latest round of Xbox layoffs has stripped more than 50 employees from Bethesda Game Studios, including programmers, artists and designers who have been working on The Elder Scrolls 6. Anonymous staff told IGN the cuts have shattered morale, sparked makeshift memorials in Dallas and Rockville offices, and raised the specter of crunch and contractor‑driven development.
The layoffs are part of a broader 1,600‑person reduction announced by Xbox CEO Asha Sharma, representing roughly one‑fifth of the division’s workforce. Bethesda boss Jill Braff framed the move as a shift toward a “more stable foundation,” promising tighter collaboration on the studio’s strongest franchises. Yet insiders fear the loss of veteran talent—some staff have been with the company since Morrowind—will force the project onto cheaper outsourced labor, especially after the QA department was handed to overseas firm Keywords.
Even ZeniMax Online Studios, which supports The Elder Scrolls Online, has seen 212 jobs cut, casting doubt on its ability to fill gaps on TES 6. The game, still slated at least two years away despite an eight‑year‑old announcement, may therefore face further delays as Bethesda reshapes its development pipeline.
Players should watch for official updates on the release window, as the combination of staff reductions and increased reliance on contractors could push the title’s launch deeper into the future.
