Microsoft’s recent restructuring of its gaming division has taken a sharper turn than initially reported. While early headlines suggested roughly half of id Software was let go, new documentation reveals the scope is wider and affects more employees across Texas studios.
The full extent of the cuts
Initial reports indicated that 96 roles were eliminated at id Software, the studio behind the modern DOOM franchise. However, a Worker Adjustment and Retraining Notification (WARN) notice obtained from the Texas Workforce Commission tells a different story.
The document confirms an additional 40 remote workers were laid off. This brings the total number of departures at id Software to 136. These cuts represent a significant reduction in headcount for one of Xbox’s most recognizable development teams, raising questions about resource allocation for future projects.
Bethesda Austin also affected
The restructuring did not stop at id Software. The same WARN notice indicates that 22 employees were let go from Bethesda Game Studios’ office in Austin, Texas. When combined with the cuts at id Software, a total of 158 workers across these two major Texas-based studios have been impacted.
This news adds to the growing list of studios hit by Microsoft’s broader Xbox reset, which includes divestitures and thousands of job losses across the division. The Austin office is home to teams working on major franchises, making these cuts particularly notable for fans of Bethesda’s catalog.
Union representation confirmed
The WARN filing also sheds light on labor organization within these studios. According to the report, 146 of the affected workers are represented by the Communication Workers of America (CWA). Bethesda Game Studios has its own union chapter and has been vocal about its frustration regarding the recent redundancies.
The timing of these layoffs is especially poignant. They occurred just one day before the release of the Revelations DLC for DOOM: The Dark Ages. While the expansion has received strong reviews, the departure of so many creative minds shortly after a major launch underscores the severity of Microsoft’s cost-cutting measures.
What this means for you
For gamers, these cuts signal a potential slowdown or shift in development capacity for future DOOM titles and other Bethesda projects. With nearly half the studio gone, the pace of innovation at id Software may be impacted. For industry watchers, the confirmation of union representation among laid-off workers highlights ongoing tensions between Microsoft’s corporate strategy and employee stability.
Source: Windows Central
Over to you: Do you think Microsoft’s cuts will impact the quality or release schedule of future DOOM games?
