Microsoft cuts 268 more Xbox jobs, moves toward closing Ninja Theory
Microsoft is laying off roughly 268 employees across Halo Studios, other first-party teams, and Xbox Game Studios' central functions, according to a memo from chief content officer Matt Booty. Two prospective buyers for Ninja Theory fell through, so Microsoft is starting a consultation process on potentially shutting the Hellblade studio unless another buyer emerges. Undead Labs has completed its spinout to independence, while talks over Arkane's future continue under French labor law through year's end.
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This marks another wave in Microsoft's ongoing 3,200-role restructuring of its gaming division, showing the company is roughly three-quarters through cuts first outlined in July. Ninja Theory's potential closure would be a notable loss given its recent critical success with Hellblade II, underscoring how even acclaimed studios aren't shielded from Xbox's cost-cutting push.
- 268 more Xbox jobs cut, mostly in Halo Studios and central management functions.
- Ninja Theory faces possible closure after two sale deals collapsed, pending a new buyer.
- Undead Labs has successfully spun off, while Arkane's fate remains under consultation into late 2025.
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Published there as: “Microsoft is laying off 268 Xbox staffers and Ninja Theory may close”
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