Microsoft is planning major layoffs across its Xbox division next month, with the exact scale not yet clear. The cuts will also include significant slashes to marketing and other areas of the business.
This decision comes after Xbox's new CEO, Asha Sharma, stated the need to 'reset the business' which is 'not in a healthy spot.' The company has made significant cuts in the past, including 9,000 job cuts last summer.
Sharma has written to employees, highlighting the decline in Xbox's 'accountability margin' to 3% and a decline in annual revenue of nearly half a billion over the past five years. She suggests that Xbox will rethink its studio and games portfolio in light of the cost cuts, aiming to reassess priorities for the next five years.
