REDMOND, Wash. (AP) — Microsoft is cutting 4,800 jobs, about 2.1% of its global workforce, including a large number of workers at its Xbox video game business.
Read more Sean Duffy’s son-in-law divides Trump-backing Republicans in a Wisconsin congressional race
The layoffs included 1,600 Xbox workers, with more to come this year in a broader reorganization designed to “reset” Xbox as it faces heightened competition, the company said Monday.
“Our business today is not healthy,” said a memo from Xbox CEO Asha Sharma, who took over the gaming division earlier this year. “We are operating at margins that are 3-10x lower than comparable platform and publishing businesses.”
Read more More than 300 children killed or injured in Sudan war in 6 months, UNICEF says
Sharma said the industry, in which Xbox competes with Sony’s PlayStation and Nintendo’s Switch, is facing a severe “hardware crisis” as costs soar for console components.
Read more Is AI ready to take over your prescriptions? Doctors are wary of Utah’s automated refill program