Microsoft has announced that it will be laying off 1,900 employees at Activision Blizzard and Xbox this week. This represents about 8 percent of the overall Microsoft Gaming division and will mostly affect Activision Blizzard. The cuts come after Microsoft closed its $69 billion deal for Activision Blizzard, and the company has also announced the departure of Blizzard President Mike Ybarra and Chief Design Officer Allen Adham, as well as the cancellation of a previously announced survival game.
The Communications Workers of America (CWA) expressed support for the workers affected by the layoffs, emphasizing the importance of having a union voice on the job. The tech sector has seen a wave of layoffs in recent weeks, with more than 21,000 workers let go of in 76 tech companies in January. Despite expectations for fewer layoffs this year, analysts and industry experts anticipate downsizing in firms racing to catch up in the AI space.
The news was first reported by The Verge.