According to "people with knowledge of his thinking," Bloomberg is reporting that, should Stephen Elop become Microsoft's next CEO, he would consider shutting down or selling parts of the company to "sharpen its focus." The two divisions mentioned specifically are Xbox and Bing
One of the founding members of the Xbox team has questioned Microsoft’s multiplatform gaming strategy, and said they believe the Xbox hardware business is effectively “dead"
Replies(3)Think that rumor that they'll still make a new console but at a profit at $1000 will be true though. The series consoles will remain their cheap alternative throughout next gen I would say. Keep in mind that game pass and pretty much going 3rd party is their main focus. They want to bring xbox everywhere.
If they don't maintain some kind of console presence, I think they will lose gamepass subscribers and just become a 3rd party publisher who eventually sells everything off
Xbox games are releasing on all platforms. Who needs this hardware? PS or PC is all you need
Even if they could get it down to $800 for a box that can run with comparable performance to a PS6 (at, say $200 cheaper) the population of people willing to buy such a thing would be so limited.
It would be the worst of both worlds.
Even as the company sets out to overhaul the very definition of Xbox, cuts at its studios risk creating a negative image reminiscent of EA's worst era
I appreciate the article but this guy must be living in a delayed universe, The reputation was ruined 10+ years ago and hasn't recovered since. As such people have voted with their wallets and stopped buying Xbox products in large amounts.
Their reputation was lost way before that. From the moment Microsoft said they entering the console business, we all knew it would be a downgrade.
That's not true at all the OG Xbox had drive and they had hunger and they wanted to accomplish something. It was a great console.
they didn't quite reach their goals and they gave up prematurely because they couldn't win. It was halfway through the Xbox 360 when kinect released and that was when they lost their way and we're a rudderless ship ever since
In all fairness, Xbox had some great games with online play, Xbox 360 even better. Xbox consoles started to die with the Xbox One. Ditch consoles for the PC and PS.
@Bathyj hard to compute ay. Xbox was never better than a PC and that's all they ever were. A demo box. Doesn't get more true than that.
Replies(1)
Rumors of Turn 10 being either shut down or hit with massive lay offs is on the horizon.
The issue is MS will do something right only to do something very, very wrong. And they do this what seems calculative at this point. Doesn't matter what they do the Investors and leadership want more and more money an endless bottomless pit of purr insatiable greed. A company that acts like it's broke or hurting is what really, really infuriates me. They've surpassed apple again well over 3 trillion who acts like they're a million dollar company is fk stupid. Pivots and changes for no reason and can't do things for more than a year with out a pivot or changing their metrics.
That would be really bad since Phil just hyped up next year as a big Forza year at Summer Game Fest.
Isn't the point that it's irrelevant how profitable MS is, the suits have decided it's time that the Xbox division started making them money. Hence the layoffs, the pivots.
That wouldn't surprise me, as motorsport has been heading down hill since the great number 4. Where as playground have consistently put out better games. I think the two studios will be merged under playground games banner.
Replies(2)
The cuts are expected to be announced next week.
Microsoft is also planning thousands of job cuts that will impact other parts of it businesses
Replies(1)Replies(1)
MFs has been beating their chests over great quarterly results and big profits to shareholders while firing people by the thousands just like Sony.
I wonder if at the top of those rumored layoffs they´ll also cancel upcoming or unannounced games while shutting down more studios as well.
Always got to throw shade at Sony smh.
Yes we get it,
MS good Sony bad
MS bad Sony is also bad lmao
F* them both!
Just for the record, I don´t care about your victim complex crap either. Find someone else who cares.
@Blacktiger
Im not offended , that’s just his formula lol
He can’t help help himself, he needs to bring Sony down when the topic involves MS.
Whether is good news for MS or bad, it some how leads to Sony doing bad lmao.
It’s actually hilarious.
He's not wrong but im tracking what youre saying. In this case is should just be MS bad. Thats a lot of people fired
"just like Sony"
Gosh you're insufferable, not everything needs to be both-sides'd. Sony's had layoffs, but nothing like what Microsoft has been doing and is continuing to do.
I mean, no offense, but this is why you’re not some corporate business person running a major corporation. Big profits don’t mean jobs are safe. Do you understand why things like this happen:
Cutting jobs to maintain or increase profitability, especially in underperforming divisions like parts of Xbox like other gaming divisions.
Corporate restructuring and relocating resources for strategic stability in ever changing markets and consumer behaviors.
Investor expectations and optimizing operations to maintain investor confidence. Whatever boosts stock prices and improves future margins.
And there’s many other factors at play. It’s never as simple as business doing well, everyone’s safe. That’s just you not understanding at all how corporations work and have been working since the beginning. This isn’t something that’s specific to Xbox, you can bet your ass Sony and Nintendo do this and if it’s not clear by now, game development is not a stable job nor has it ever been for many. A lot of developers are contractors and guess what happens when a project is done?
Nintendo said they have no plans for layoffs, and you can't seriously claim that the scale of Sony's layoffs most of which involved Bungie which is self managed as even close to the same scale as what Microsoft has done since they purchased Zenimax. And that significantly less layoffs would have happened if those publishers had stayed independent. Keep in mind that much of these layoffs have been due to redundancies specifically related to these buyouts.
@Ganif
Nintendo:
https://gamerant.com/ninten...
Sony:
https://gamerant.com/playst...
https://techxplore.com/news...
I don’t think it’s realistic to treat Sony’s layoffs as somehow outside the norm for the industry right now. Even if Bungie is self-managed, Sony’s cuts went far beyond that like Naughty Dog, Insomniac, London Studio being shut down completely, and multiple teams across the globe took hits. These weren’t just minor adjustments.
Nintendo, I had to look up and you’re right. They seem to be an outlier, but rest assured at some point it happens. And even then there’s been layoffs, albeit a smaller amount and contractors.
Would fewer layoffs have happened if studios from acquisitions stayed independent? Maybe. But even independents have been hit hard and look at what’s happened with Embracer’s fallout, or smaller devs like Digic, Roll7, or Volition. This isn’t just a “Microsoft problem” or strictly tied to acquisitions; it’s a broader correction happening across the whole industry, and unfortunately, layoffs are a big part of that process right now.
From your article:
"According to reports, Nintendo of America restructured its testing operations, leading to layoffs of about 120 contractors, part of a strategy for global integration.
Nintendo of America, publisher of iconic franchises like Mario and Zelda, is shifting some contractors to full-time roles for better development integration."
Contractors are not employees, and even if you want to count them as that, it's 120 people vs around 7500 since Microsoft purchased Zenimax.
In an era of game industry layoffs, Nintendo is hiring more people
https://automaton-media.com...
Nintendo Announces 10 Percent Pay Raise For Devs Despite Lower Profits
https://kotaku.com/nintendo...
Nintendo CEO’s refusal to layoff staff goes viral following industry-wide cuts
"Satoru Iwata took pay cuts to ensure staff didn’t have to be let go"
https://www.nme.com/news/ga...
And as for Sony you're comparing less than 1000 total jobs to an estimated7500
Has the industry faced layoffs, yes, but that still doesn't account for the mass layoffs due to redundancies that was easily predictable, or that fact that at least 1/3 of Microsoft's layoffs and studio closures happened before the industry downturn.
Take the L, Crimson.
People hate Nintendo, but Ganif proved why they deserve support.
It's like banging your head off a wall, he just can't help himself.
Microsoft can do no wrong, Sony sucks at everything and Nintendo is bigged up because it's less hassle than trying to defend Microsoft all the time
What's going to happen when Microsoft finally turn completely third party, then what?
Did you know that the first n4g was designed to be a perfect human world? Where none suffered, where everyone would be happy. It was a disaster. No one would accept the program.
I wouldn't be surprised at this point if anast and osbcure were both alts for the Admin.
We know how Obscure especially drums up additional comments and clicks with his spam-worthy remarks that somehow never get moderated
Thats business present a strong front to your shareholders while your company burns around you.
Keep shareholders happy at all costs andnif not happy keep them numb to the reality of you organisation
" Just for the record, I don´t care about your victim complex crap either. Find someone else who cares. "
Just for the record, you clearly you do if you have to vent this hard.
Basically you think like kids when it come to choose between candy or chocolate.
I can see shutting down Bing. They should also ditch their mobile division, they have hardly any market share.
He'd be one hated CEO for killing the best product line of Microsoft in my opinion Xbox is the most promising and valuable and with this launch they'll be starting with a profit
Gamers need options also
They can get rid of Bing go ahead
Google is where it's at
Nice article. I'd hate for Microsoft to sell off Xbox. I'm an Xbox gamer through and through...it sucked when Sega dropped out and I'm hoping the next CEO makes the right decision.
@BX81
If gamers got past their "woe is me" stance then they'd realize how much gaming has been pushed forward since Micro has been there to push Sony. The PS4 wouldn't be the system it is if this gen hadn't gone the way it has for Sony.
I say hire him! He seems to know about business. Get rid of the non profit sections that are losing money.