Xbox has experienced a turbulent period culminating in a major restructuring on July 6, 2026. CEO Asha Sharma announced that Microsoft will divest from five game studios and eliminate 3,200 jobs by July 2027. The layoffs are part of a broader strategy to reset the company amid ongoing rumors, changes, and canceled game projects.
Xbox Faces Major Upheaval: Layoffs, Studio Closures, and Canceled Games in 2026
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