Despite the large-scale restructuring of Microsoft's gaming division, new data reveals an unexpected picture of the financial state of the company's internal studios.
According to Alex Duplessis, Senior Manager of Business Planning at Xbox, six Xbox studios each generate over $500 million in revenue annually. In the past year alone, the division released seven successful games, indicating strong results for Microsoft's publishing arm even amidst weak console sales.
High revenues did not protect employees from layoffs. The company laid off over 3,000 people, with changes affecting almost all teams, including the most profitable ones.
Among Xbox's main financial pillars are Bethesda, Playground Games, MachineGames, and Obsidian. It turns out that even the commercial success of their projects did not guarantee stability for the developers. Studio employees fear new waves of layoffs, creating tension within the entire Xbox gaming division.