In January, Microsoft announced layoffs for its gaming division. In an interview, Phil Spencer commented on the reasons for the job cuts.
At the end of January, Microsoft announced that it was cutting around 1,900 employees Wanting to lay off the gaming division. Were also affected numerous employees the previously acquired publisher Activision Blizzard.
Advertisement
The American FTC accused the Redmond company after the announcement Contradictions with the statements in antitrust proceedings. Microsoft, meanwhile, stated that Activision Blizzard already extensive layoffs before the takeover had planned. In an interview, Xbox boss Phil Spencer spoke out about the job cuts and blamed a “worrying” lack of industry growth.
Microsoft is laying off about 8 percent of its 22,000 employees
“I would say what concerns me most is the lack of growth in the industry,” said Spencer in an interview with Polygon colleagues. “And when you have an industry that is forecast to have a smaller number of players and dollars next year, and you have a lot of publicly traded companies in the industry that need to show growth to their investors – because why else would anyone own shares in someone “If this one doesn’t grow?”
If you can't increase revenue, the cost side would be called into question, said the Xbox boss. “We are a company,” he continued. “I kept saying. I don't have the luxury of not having to run a profitable, growing business within Microsoft.” Spencer went on to say that he doesn't want the industry to be a place where people can't build a career with confidence.
Advertisement
“That’s why I keep coming back to this question: How does this industry grow again? But to answer the question, for us as Xbox or any other team out there, it's really a result of an industry that isn't growing. It can grow and it will grow again. But you can see that this time and the impact it has had on people. This is something we should all think about and worry about.”
More news about Microsoft, Xbox.
Discuss this news in the PlayStation Forum
Links to Amazon, Media Markt, Saturn and some other retailers are usually affiliate links. When you make a purchase, we receive a small commission with which we can finance the free-to-use site. You have no disadvantages.