Microsoft just fired 9,000 workers across the company. The tech giant cut four percent of its entire staff to save money. Company leaders want to spend more cash on artificial intelligence projects. They plan to pump over 80 billion dollars into AI systems this year. That amount jumps up 25 billion dollars from last year.
The layoffs hit Microsoft's gaming teams hard. The company bought major game studios like Bethesda and Activision Blizzard for huge amounts of money. Microsoft wanted more people to sign up for Game Pass subscriptions. The streaming service never attracted as many gamers as executives hoped it would. Music and movie fans love subscription services but gamers think differently about them.
Gaming industry workers are angry about the recent job cuts. Microsoft shut down Tango Gameworks studio last year even after they made a hit game called Hi-Fi Rush. The company also cancelled Project Blackbird from ZeniMax Online Studios. Former developers said the shooter game was heading in a great direction. Phil Spencer from Microsoft Gaming reportedly loved playing an early version of the cancelled project.
Microsoft appears to care more about AI than video games right now. Project Blackbird would have cost millions more dollars to finish. The game was supposed to launch around late 2028. Microsoft chose to spend that money on computer servers and AI technology instead.
The layoffs hit Microsoft's gaming teams hard. The company bought major game studios like Bethesda and Activision Blizzard for huge amounts of money. Microsoft wanted more people to sign up for Game Pass subscriptions. The streaming service never attracted as many gamers as executives hoped it would. Music and movie fans love subscription services but gamers think differently about them.
Gaming industry workers are angry about the recent job cuts. Microsoft shut down Tango Gameworks studio last year even after they made a hit game called Hi-Fi Rush. The company also cancelled Project Blackbird from ZeniMax Online Studios. Former developers said the shooter game was heading in a great direction. Phil Spencer from Microsoft Gaming reportedly loved playing an early version of the cancelled project.
Microsoft appears to care more about AI than video games right now. Project Blackbird would have cost millions more dollars to finish. The game was supposed to launch around late 2028. Microsoft chose to spend that money on computer servers and AI technology instead.
