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Microsoft to cut 18,000 jobs -- but Xbox will only see 'limited change'

As Microsoft announced today that it will cut 18,000 jobs at the company during the next year, vice president Stephen Elop said that the company will now focus its efforts on its phones, Surface, and Xbox businesses.

But it sounds like the Xbox division will remain fairly intact. In an open letter to employees, Elop said that building on its current strengths, including its Xbox brand, is now essential.

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gamasutra.com
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XiSasukeUchiha1615d ago

Oh alright, and I'm thankful that Xbox will be alright.

NewMonday1615d ago ShowReplies(3)
XiNarutoUzumaki1615d ago

I miss the days in which none of this stuff mattered.

JBSleek1615d ago

It always mattered just that the internet allows people to be way more opinionated and vocal about it.

N4g_null1615d ago

We just had more games to play. All platforms are a little sparse now. So gamers are making up their own games... fanboy console warz!

ChrisGTR11615d ago

Well looks like even less exclusives

user14394141615d ago (Edited 1615d ago )

I am not upset that Xbox are cutting 18,000 jobs, I just want the XBONE to continue to provide competition for the PS4 and both companies can do well.

funkybudda1615d ago

PS2 era Sony dominated and still provided quality games to gamers, PS4 doesnt need competition to "do well".

Anon19741615d ago (Edited 1615d ago )

Here we go for all those concerned that Microsoft's plan to layoff a huge amount of employees would adversely affect their gaming division. The impact on gaming will be limited.

I remember quite a few articles back when Sony was laying off people as part of their restructuring being posted here as well and gamers were concerned that it would somehow impact the Playstation brand. Certainly with widespread layoffs like we're seeing here gamer's concerns are justified, but it appears the gaming unit will not be hit hard.

Sounds like those poor bastards from Nokia are going to take the brunt of it. It's never a good time to lose your job, and when you lay off nearly 14% of your staff it's hard not to have it impact everyone.

Godmars2901615d ago

When the gaming division hasn't been a major, looking at how poorly the 360 was supported by 1st party, is it really a good thing that this might boil down to a hiring freeze? Firing a few key people who understand the system yet have the seniority factor working against them?

Codewow1615d ago

12,500 of employees getting laid off are from the Nokia buyout, so...

otherZinc1615d ago

It's clear you didn't read the article. The XBOX Division isn't a part of this at all.

SONY clearly laid off many in every division within the PlayStation Brand at all levels, including other SONY departments. This is far different than what M$ is doing. This always happens when a company buys another failing company.

XBOX Division is bringing more people on.
See Black Tusk Studios
343 Industries
Turn 10

Anon19741615d ago (Edited 1615d ago )

Who are you responding to? Did anyone say anything about the Xbox division taking a hit?

And you're accusing other people of not bothering to read everything? There's some irony for ya...

Edit: As for the layoffs not affecting anyone in the Xbox Division, Xbox Entertainment which was part of Microsoft Game Studios says "Hi..you wouldn't happen to be hiring at the moment, would you?" They're closing down. Well, and the Xbox division layoffs in Japan. Oh, and the cuts to the Xbox marketing division we heard about a couple of days ago. Oh, and the cuts to the Xbox Engineering department. Oh, and the cuts to hit the Xbox software testers.

So other than all those...no..no I guess the Xbox division isn't part of this at all. /s

funkybudda1615d ago

because Sony lay off the same amount of people right? This is the biggest, record setting amount for a MS layoff, and u think they are going to come out to admit it will not affect a struggling Xbox division? You are naive.

Anon19741615d ago (Edited 1615d ago )

At the time this was posted, as you can see from the article, the word was the impact on the XBox division would be "limited". Their words, not mine. I was taking this at face value. Clearly with what we know now of the hits to the Xbox engineering department, marketing, testers on top of recent layoffs at Xbox Japan and now the closure of Xbox Entertainment...we clearly know the Xbox division isn't unscathed.

My point in bringing up Sony layoffs were more to remind N4G users that when Sony was hit by layoffs, article after article about this was posted on N4G with people claiming this was a sign of the Sony apocalypse rather than part of planned restructuring. Despite the interest such a huge layoff would have with gamers, 3 articles regarding the Microsoft layoffs were failed before this article was approved with users saying it had no bearing on the gaming community. Certainly didn't stop articles of Sony layoffs which didn't even mention the word "Playstation" sailing through the approval process on the site back when this was happening. I added the contrast of Sony vs MS layoffs in my post just as a reminder that these types of layoffs are obviously of interest to gamers.

+ Show (1) more replyLast reply 1615d ago
JBSleek1615d ago

Nokia might be the best thing to ever happen to Xbox actually. One of the best hardware makers.

mcstorm1615d ago

For Microsoft buying Nokia could be a very good move for them. Lumina is now a big name in the phone industry and if Microsoft can now start to push Lumina out to Joe public and Surface line to business it could work out very well for them but only time will tell.

For me the next 5 years are going to be very interesting for Microsoft as everything start to come together and they start pushing their own products in the business and public world.

Spurg1615d ago

"Elop said that building on its current strengths, including its Xbox brand, is now essential."

That's nice to hear

gamer78041615d ago

Finally an article that gets it, its the nokia acquisition primarily taking the hits, duplicate marketing roles and android development for nokia phones.

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