Microsoft's Xbox will cut 650 employees in its gaming unit, according to a Bloomberg report. This is the company's third round of layoffs this year. The cuts follow Microsoft's $69 billion USD purchase of Activision Blizzard, which is now reportedly trying to cut costs.
According to a memo sent to employees by Microsoft Gaming CEO Phil Spencer, the cuts will focus on "mostly corporate and support roles," according to Bloomberg. He noted that no studios will be closed and no games canceled as part of the layoffs.
In the memo, Spencer said the change will serve as a way for Microsoft Gaming to "organize our business for long-term success."
In January, the company cut nearly 2,000 employees at Xbox and Activision Blizzard, which equates to 8% of Microsoft Gaming's workforce. After that, they closed several studios in May, including Alpha Dog and Tango Gameworks.
