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Microsoft is laying off 1900 Activision Blizzard and Xbox employees (8% cut from the Gaming Division)

Dane

Member
From what I remember when some gaffers posted bar charts showing hiring sprees by tech companies, I'm pretty sure it started before covid. Like 2016 or 2017, MS, Google, FB etc... all amped up hiring like handing out candy. Gaming companies surely did too. And then you got companies like Embracer buying up shit loads of gaming companies during covid when interest rates were rock bottom. During covid most companies are trying to survive or make it out of covid best they can and Embracer is doing the opposite buying every indie/AA budget kind of company totalling in the billions of dollars.
Gaming companies tend to not to be top heavy and massive management issues leading to over hirings like TI did, which is why people in that sector needs to look at their backs even more because there could be a 2x culling. Unity was so bloated that they decided to lay off 1/4 of their workforce.
 
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AV

We ain't outta here in ten minutes, we won't need no rocket to fly through space
Yikes.

At the same time it was 100% the right move to can that survival game now. It would be DOA releasing in 3-4 years when it's actually ready.
 

GHG

Gold Member
OK. That's doesn't disprove my point. This board was very anti-acquisition.

This is what the person you responded to said:

Remember when people kept saying everyone at activision needed the deal to go through so that Microsoft could save them...I remember.


You responded you "don't remember". Ironic considering one of the main individuals who was constantly barraging this board with "it's good for Activision employees" reacted to that post with the big brain emoji. Maybe he did so to indicate his brain is suffering from an acute form of amnesia.

But since you didn't remember, I hope that post helps jog your memory.
 
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StreetsofBeige

Gold Member
The covid ship has sailed last year already, stop blaming everything on covid.


ABK employees were praying for the acquisition to go thru, now they are out of jobs. Goodjob fellas. The grass is never green on the other side.


I’m guessing Ybarra didn’t get the promotion he was promised so now he’s leaving. Did you hear anything @HeisenbergFX4 ?
Not everything is covid, but in general tech companies amping up hiring like crazy for whatever reason has now gone the other way. Last year Meta canned 10,000 employees alone.

Half the time it's probably not even overzealous sales forecasts (covid gravy train) or too much hype in VR or whatever. But simply just no control. Like tech CEOs dont know what they are doing or too afraid to fire people. Tech companies typically have deep pockets, so it's just hand out jobs and costs like it's nothing. Ping Pong tables in every floor too.

But it seems to got to a point the past year that once one company fires people, everyone jumps on the train too.

It's like when Twitter got bought by Musk and he gassed half the company I think. Even Jack Dorsey admitted he had too many people. Well, if there's too many people working there and Twitter is a company that I dont think had made profit in 15 years, then why keep hiring like crazy to like 7500 people? You should be going the other way. But Twitter employee count kept going up.
 
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Elog

Member
A bit surprised by the amount. This is much more than duplicate functions (post-merger redundancies). This is a shift in priorities and an attempt at improving margins in the gaming division (i.e., not growth).
 

James Sawyer Ford

Gold Member
But we need to buy Activision for $69B as fast as possible to meet our gaming objectives!

microsoft GIF
 
Tom Warren mistating the number. Microsoft are laying off 1900 "roles". That equates to 22,000 employees.

"As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. "
-Phil Spencer


Edit: No that's not right either. 22k is the number of employees at Microsoft. Phil Spencer is saying how many "roles" are being laid, but doesn't appear to say how many actual employees.

Elsewhere....

Microsoft Tops Apple to Become Most Valuable Public Company​

That's a good catch so we don't actually know how many employees just the roles.
 

hlm666

Member
Unfortunately when you have to cull the diversity hires you also need to take out some actual competent employees so you don't get called out on it. /s

On a serious note, with blizzards pokemon survival crafting game being cancelled (ok i'm serious now) what else do they actually have in production? just dlc for diablo/overwatch/wow? Is that why they were asking if people were prepared to pay 100 bucks for dlc?
 

Bojji

Member
They will probably just keep COD and (some) Blizzard people in the end.

They mostly just bought COD for that 70 bilion...
 
This is what the person you responded to said:




You responded you "don't remember". Ironic considering one of the main individuals who was constantly barraging this board with "it's good for Activision employees" reacted to that post with the big brain emoji. Maybe he did so to indicate his brain is suffering from an acute form of amnesia.

But since you didn't remember, I hope that post helps jog your memory.
That was one person you quoted, and it wasn't a popular opinion here that the acquisition was good for Activision employees. Try again.
 

FUBARx89

Member
Shame they didn't show Spencer & Booty the door aswell. They're really awful for xbox.
 
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DryvBy

Member
COVID end
Not everything is covid, but in general tech companies amping up hiring like crazy for whatever reason has now gone the other way. Last year Meta canned 10,000 employees alone.

Half the time it's probably not even overzealous sales forecasts (covid gravy train) or too much hype in VR or whatever. But simply just no control. Like tech CEOs dont know what they are doing or too afraid to fire people. Tech companies typically have deep pockets, so it's just hand out jobs and costs like it's nothing. Ping Pong tables in every floor too.

But it seems to got to a point the past year that once one company fires people, everyone jumps on the train too.

It's like when Twitter got bought by Musk and he gassed half the company I think. Even Jack Dorsey admitted he had too many people. Well, if there's too many people working there and Twitter is a company that I dont think had made profit in 15 years, then why keep hiring like crazy to like 7500 people? You should be going the other way. But Twitter employee count kept going up.

COVID ended almost 3 years ago though. I think that's what they're getting at. And the tech industry is actively looking for Visa workers for software dev work at major companies.
 
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On average after a merger roughly 30% of the employees are going to be deemed redundant. 8% is actually pretty low all things considered.
 

MarkMe2525

Member
Tom Warren mistating the number. Microsoft are laying off 1900 "roles". That equates to 22,000 employees.

"As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. "
-Phil Spencer


Edit: No that's not right either. 22k is the number of employees at Microsoft. Phil Spencer is saying how many "roles" are being laid, but doesn't appear to say how many actual employees.

Elsewhere....

Microsoft Tops Apple to Become Most Valuable Public Company​

Yeah, I had to read that part a few times, and it still isn't crystal clear to me if he is using the term "roles" to avoid saying "people", or if it is describing specific jobs. Looking at some press releases, I do lean towards 1,909 individuals, as that also lines up with the 8% number I have seen being tossed around.
 

Banjo64

cumsessed
Reminder - this is a company whose employees were lobbying and begging for the acquisition to come to pass.

Talk about digging your own grave.
Willing to bet that was a small, vocal, mentally deranged segment.

Anyone with a brain could see this coming a mile away as it is part and parcel (although this is a large amount to lay off).

It made M$’s ‘but the unions love us’ spiel even funnier at the time. Do unions do something different in America? In the UK they are there to look out for employees, guessing in America they are available to hire?
 

Allandor

Member
This is enough for...how many AAA studios?
This is more than Bungie...the entire publisher Sony bought...holy crap.

And this is Microsoft...the 3 trillion company.
Not really that surprising as many jobs overlap while merging the companies. Activations blizzard was already a big company (~13000 employees) so now merged they have many people doing the same stuff and that is cut quite fast.
I don't like this, but that's what happens when companies merge.
 
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in fairness, this is just the first round of layoffs post-acquisition isn't it?
Probably, it wouldn’t surprise me. Just for after a merger the current rate of layoffs aren’t shocking at all. If anything it’s more surprising the number isn’t considerably higher.
 

Topher

Gold Member
Yeah, I had to read that part a few times, and it still isn't crystal clear to me if he is using the term "roles" to avoid saying "people", or if it is describing specific jobs. Looking at some press releases, I do lean towards 1,909 individuals, as that also lines up with the 8% number I have seen being tossed around.

Yeah, a bit vague. Hopefully it is no more than 1900. That's already a lot.
 

StreetsofBeige

Gold Member
COVID end

COVID ended almost 3 years ago though. I think that's what they're getting at. And the tech industry is actively looking for Visa workers for software dev work at major companies.
Depends where people lived. Covid effect where I live didnt end in Jan 2001. A lot of places were still closed, had mask mandates, a lot of office workers WFH. We didn't go back to office till 2022 at only 1 day per week.

As for tech companies looking for cheaper foreign workers, that makes sense. it goes for any industry. The locals will always be the highest paid and most employed. But once the industries figure out how to add skilled cheap workers they'll do it if it looks like it can work out in quality, speed and costs.

Hell, everyone loves Apple iPhones. That shit is made at Foxconn since probably day one.
 

Saber

Member
Acquisitions are goooooooooooooooooood

Buy mooooore so you can fire moooooore

Sega neeeeeext, more layoff neeeeeext
 
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