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Currently Playing: We Found Out How Badly Xbox’s Plan Backfired

Xbox’s latest cuts reveal far more than another round of layoffs. With 3,200 jobs gone and four studios released, Microsoft is narrowing Xbox around its biggest franchises, cheaper production and one final hardware bet. We trace how far Game Pass fell short of Microsoft’s ambitions, which studios and projects no longer fit the plan, why experienced developers and critical platform knowledge were cut, and how much now rests on Project Helix. Join us at https://bellular.games for early access content, 20 editions of 'Loading Screen' a month and to support our team! 00:00 Xbox Spread Itself Too Thin 00:43 Phil Spencer's Xbox 02:03 They Made The "Wrong" Kind Of Games 03:42 The Right Games, From The Wrong Studios 06:52 Sent Into The IP Mines 09:53 Surviving Projects 12:10 Project Helix Sources: https://fortune.com/2026/07/06/exclusive-xbox-ceo-asha-sharma-job-cuts-studios-axed-layoffs/ https://x.com/DeekeTweak/status/2074481630492700780?s=20 https://wccftech.com/microsoft-may-exit-gaming-business-if-game-pass-subscribers-off-console-dont-increase-enough-by-2027/ https://www.wsj.com/tech/microsoft-layoffs-xbox-59e7f6df https://x.com/IOInteractive/status/2072005107797893315?s=20 https://x.com/IOInteractive/status/2074475151471571062?s=20 https://www.ign.com/articles/hideo-kojimas-xbox-horror-game-od-is-safe-from-microsofts-reset-plan-but-other-games-are-on-the-chopping-block https://www.ign.com/articles/we-need-to-change-course-bethesda-boss-tells-staff-the-company-must-focus-on-our-strongest-franchises-as-xbox-layoffs-hit-hard https://www.gamedeveloper.com/business/xbox-had-laid-off-379-zenimax-workers-in-maryland https://www.gamedeveloper.com/business/report-around-half-of-the-id-software-team-have-been-laid-off https://www.linkedin.com/posts/activity-7330861680190476289-vEQq/ https://aftermath.site/microsoft-xbox-layoffs-blizzard-id-software-unions/ https://x.com/S1Braw/status/2074272467112108184?s=20 https://www.youtube.com/watch?v=DeUV3IqEZRU&t=463s https://www.gamedeveloper.com/business/id-software-workers-form-wall-to-wall-union-in-response-to-mass-xbox-layoffs https://gamesbeat.com/inside-a-studio-layoff-big-questions-for-microsofts-intentions-for-id-software/ https://www.windowscentral.com/gaming/xbox/change-is-afoot-at-xboxs-arkane-studios-and-machinegames-with-machines-co-founder-taking-over-arkanes-operations https://www.theinformation.com/articles/microsoft-considered-spinning-xbox-plans-new-halo-fallout-games https://sensortower.com/blog/transmedia-opportunity-in-games https://www.rollingstone.com/tv-movies/tv-movie-features/umbrella-academy-steve-blackman-abuse-allegations-1235047142/ https://kotaku.com/avowed-the-outer-worlds-pentiment-studio-obsidian-xbox-layoffs-2000713032 https://www.bloomberg.com/news/articles/2026-07-08/microsoft-s-xbox-to-shift-obsidian-studio-to-new-fallout-video-game https://www.reddit.com/r/ElderScrolls/comments/1s59o36/the_elder_scrolls_blades_to_shut_down_on_june_30/ https://www.gamedeveloper.com/business/zenimax-staff-lambast-inhumane-xbox-layoffs-it-s-difficult-to-work-when-you-re-looking-at-a-graveyard- https://forums.elderscrollsonline.com/en/discussion/695707/an-update-from-the-eso-team https://news.xbox.com/en-us/2026/04/23/we-are-xbox/ https://www.bloomberg.com/news/articles/2026-07-07/behind-xbox-s-big-layoffs-a-streaming-strategy-that-failed https://x.com/DeekeTweak/status/2074488262224146566 https://x.com/moneyrumble/status/2074205662687773071?s=20 https://www.linkedin.com/feed/update/urn:li:activity:7480112628762161152/ https://www.gamespot.com/articles/xbox-layoffs-heavily-impact-the-accessibility-team-too/ https://x.com/idSoftware/status/2075638499412189455 https://aftermath.site/xbox-layoffs-id-software-frankfurt-doom/


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