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Microsoft Shakes Up Xbox Leadership, Cuts Jobs Amid Gaming Expansion

Microsoft reshuffles Xbox leadership and cuts 1,900 jobs amid gaming expansion, focusing on collaboration and innovation in the gaming industry​.

Microsoft has made significant changes to its Xbox gaming division’s leadership and announced a large number of job cuts across its gaming teams. In a strategic move following the colossal acquisition of Activision Blizzard for $69 billion, the tech giant has promoted Matt Booty to President of Game Content and Studios. In his new role, Booty will lead an expanded organization that now includes ZeniMax and Bethesda, aiming to foster collaboration among Xbox Game Studios and ZeniMax’s teams to enhance their portfolio of games. Furthermore, Microsoft has elevated Sarah Bond to Xbox President, where she will oversee all Xbox platform responsibilities, encompassing Devices, Player & Creator Experiences, Platform Engineering, and more.

Simultaneously, Microsoft announced the departure of Chief Marketing Officer Chris Capossela after 32 years of service, alongside the cut of approximately 1,900 jobs across various Xbox teams, including ZeniMax (Bethesda) and Activision Blizzard workforces. This restructuring reflects the company’s ongoing efforts to streamline operations and integrate its recent acquisitions effectively. Despite the job cuts, Microsoft’s commitment to gaming innovation and platform development remains strong, with leadership emphasizing the goal of delivering beloved games to a growing global player base.

Moreover, the reorganization follows Microsoft’s decision to lay off 1,900 employees across various teams, including Xbox, Bethesda, and Activision Blizzard. This move is part of a broader industry trend of job cuts and realignments as companies navigate changing market conditions and the aftermath of significant acquisitions. Despite the layoffs, the restructuring within Microsoft Gaming is expected to streamline operations and drive focus on key projects and initiatives​.

These changes highlight Microsoft’s focus on consolidating its gaming division and strengthening its position in the competitive gaming industry. The promotions and reorganization within the company are part of a broader strategy to enhance collaboration among its studios and leverage its expanded portfolio to create compelling gaming experiences. Despite the challenges posed by the layoffs, Microsoft’s leadership is optimistic about the future of Xbox and its role in shaping the gaming landscape.

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