NEW YORK (AP) — Microsoft is laying off about 1,900 employees in its gaming division, according to an internal company memo, just over three months since the tech giant completed its $69 million purchase of video game maker Activision Blizzard.
Those impacted worked on teams for Activision Blizzard as well as Xbox and ZeniMax — which are also owned by Microsoft.
“As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business,” Microsoft Gaming CEO Phil Spencer wrote in the memo.
The union deal was part of a 2022 agreement with the CWA that helped address U.S. political concerns about the merger’s effects.
So far, however, only a small set of Activision Blizzard divisions have formed unions.
Persons:
Activision Blizzard, Phil Spencer, Mike Ybarra, ” Ybarra, “, ”, _________________ O'Brien
Organizations:
Microsoft, Activision, Associated Press, Activision Blizzard, Microsoft Gaming, Twitter, European Union, The U.S . Federal Trade Commission, FTC, Google, Riot, eBay, Communications Workers, CWA
Locations:
United Kingdom, European, U.S, Canada, Providence , Rhode Island