Microsoft laid off 1,600 employees across its Xbox division this week, including hundreds of union video game workers.

The industry has been bracing for large-scale Xbox layoffs in the wake of a new administration running the brand. Today, those layoffs have arrived,

Primarily impacts Xbox, but cloud workers also hit

"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