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Microsoft Layoffs Result in at Least 3 Games Being Cancelled

  • Microsoft announced mass layoffs cutting about 9,000 jobs worldwide and cancelling several games including Perfect Dark and Everwild in mid-2025.
  • The layoffs and cancellations follow previous cuts in 2024 and reflect the need to run a sustainable business amid a changing industry landscape.
  • Xbox Game Studios closed The Initiative, ended Perfect Dark and Everwild development, and wound down other unannounced projects to refocus resources and priorities.
  • Xbox head Matt Booty said these tough choices aim to increase team agility and effectiveness and support long-term success despite losing years of effort.
  • Microsoft will continue developing over 40 active projects and titles shown at the 2025 Xbox Games Showcase, aiming for strategic growth and stronger franchises.
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Forbes broke the news in United States on Wednesday, July 2, 2025.
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