Xbox Cuts Vendor Contracts Ahead of June 30 Fiscal Reset and Expected Mass Layoffs
Updated
Updated · Kotaku · Jun 30
Xbox Cuts Vendor Contracts Ahead of June 30 Fiscal Reset and Expected Mass Layoffs
3 articles · Updated · Kotaku · Jun 30
Summary
Several Xbox contractors said the company has ended external vendor roles before its June 30 fiscal year-end, with some tied to June’s summer showcase already cut from next year’s budget.
The contract reductions are part of broader cost-saving moves that Kotaku said will be followed in coming weeks by mass layoffs of full-time Xbox employees.
Studio-level upheaval is also widening: Compulsion Games staff were told a sale or buyout was being explored, and similar talks are reportedly underway at Double Fine and Ninja Theory.
Larger groups including Activision Blizzard and ZeniMax still do not know how deeply they may be affected, while Xbox’s unionized workers are preparing for negotiations.
The changes remain murky, and any official layoff tally may understate the fallout because terminated contractors would not be counted among internal job cuts.