Microsoft has begun a significant reduction of its gaming workforce, with reports emerging of substantial layoffs at id Software. Following the company’s announcement on July 6, 2026, regarding the elimination of thousands of roles across its gaming division, internal reports suggest that the studio behind Doom is facing cuts affecting approximately 50 percent of its staff.
Workforce Reductions at id Software
The scale of the restructuring at id Software became public following statements from long-term employees. Michael Maynard, who served at the studio for over two decades, confirmed on LinkedIn that he was among a group of employees impacted by the layoffs. Maynard, whose tenure at the company spanned from the development of Rage (2011) to the upcoming Doom: The Dark Ages (2025), indicated that the cuts accounted for roughly half of the studio’s personnel.
While Microsoft has not released an official breakdown of job losses by specific studio, the figures provided by departing staff members offer a look into the depth of the current reorganization. These cuts at id Software follow a pattern of consolidation within the Xbox division as Microsoft moves to align its resources with long-term strategic priorities.
Microsoft’s Gaming Division Restructuring
The layoffs at id Software are part of a wider initiative within Microsoft Gaming, which announced plans to cut more than 3,000 jobs in the gaming area during the fiscal year. Xbox-Chefin Asha Sharma had justified the measures as a necessary restart of the division.
The restructuring involves more than just headcount reductions. Microsoft is currently focused on:
- Hierarchical Simplification: Reducing hierarchies to increase operational agility.
- Strategic Prioritization: Shifting resources toward high-priority projects.
- Operational Integration: Microsoft is also separating itself from several studios or transferring them into independent structures.
Contextualizing the Cuts
Frequently Asked Questions
Why is Microsoft reducing its gaming workforce?
Xbox-Chefin Asha Sharma cited the need for a restart of the division, reducing hierarchies and concentrating resources on projects with higher priority.
Are these layoffs limited to id Software?
No. The layoffs are part of a company-wide reduction of more than 3,000 positions across the gaming area, starting with approximately 1,600 roles.
Will upcoming games like Doom: The Dark Ages be affected?
Microsoft has not issued a statement regarding the impact of these layoffs on specific project timelines. However, the company maintains that it is focusing resources on its most critical franchises.