Xbox will eliminate roughly 3,200 roles over FY27, with about 1,600 cuts effective immediately. Four studios — Compulsion Games, Double Fine Productions, Ninja Theory, and Undead Labs — will exit Xbox under new ownership.

Xbox will cut about 3,200 jobs and offload five studios, including the UK’s Ninja Theory and France’s Arkane, in its biggest-ever restructure.

Microsoft announced plans to lay off around 4,800 employees on Monday. Of those, 1,600 come from Xbox layoffs and studio spinouts. More will follow.

"Our business today is not healthy," Xbox CEO Asha Sharma warned in a memo to staff Monday.

Microsoft eliminated approximately 2.1% of its global workforce

Microsoft said Monday it was eliminating about 4,800 jobs -- roughly two percent of its global workforce -- in a cost-cutting move that will deliver a sweeping restructuring of…