Move marks 3rd time Microsoft slashing division workforce after completing $69B acquisition of Activision Blizzard
Microsoft said Thursday it is cutting 650 jobs at its Xbox gaming unit.
The move comes as the US-based tech company aims to organize its business for "long-term success," according to a memo pulished by multiple news reports.
Microsoft said employees leaving would receive exit packages that include severance, extended health care and outplacement services.
Packages will differ outside the US, based on location.
Microsoft Gaming CEO Phil Spencer said there would be some effecets to other teams in the company, as "they adapt to shifting priorities and manage the lifecycle and performance of games," said the memo.
The move marks the third time Microsoft has slashed its workforce in the gaming department after completing a $69 billion acquisition deal of video game company Activision Blizzard in October 2023.
The company said in late January year it will lay off 9% of its gaming division, months after closing the deal.
