This week has been a bit complicated at Microsoft, especially for employees, as a large number of layoffs were announced by the company to take on certain expenses. In response to this, some people have complained on social media to Xbox CEO Phil Spencer, who after keeping quiet has finally come out and spoken about it.

On Friday 20 January, Spencer sent out a company-wide email, obtained and published by media outlet Kotaku , telling employees that the cuts would set the company up for long-term success.


This has been a difficult week at Microsoft and here within our teams. Now that many of the 1:1 and team conversations have occurred, I want to take a moment to reiterate the message you heard from your leaders.

This is a challenging time in our business, and this week’s actions were painful choices. The Games Leadership Team had to make decisions that we feel set us up for the long-term success of our products and business, but the individual results of those decisions are real. I know that hurts. Thank you for supporting our colleagues as they process these changes.


Over the next few weeks we will have many opportunities to connect and answer your questions, including next week’s monthly game update for teams attending that meeting, and I am in close contact with the ZeniMax teams to provide support.

The GLT and I are committed to being as transparent as possible. Moving forward with ambiguity is a challenge, but I am confident that together we will get through this difficult time.

Xbox has a long history of success because of the work you do in service of gamers, creators and each other. Your work is greatly appreciated and valued in these changing times and is integral to the momentum of our business.

I am confident in our future and proud to be part of this team, but I am also aware that this is a challenging time and I want to thank you for all you do here.

For now, there is no mention of whether there will be further job cuts or whether only 10,000 jobs will be cut from the workforce.

Editor’s note: Microsoft is going through a strange phase, it could be because of all the money they are investing in trying to buy Activision Blizzard, a deal that apparently won’t be finished before half a year. We’ll see how the whole situation plays out.