Xbox Report Says More Layoffs Are Coming

After the closure of several studios and cost-cutting measure have been implemented the unfortunate Xbox news today is that more layoffs and cost-cutting is to come. That's per Jason Schrier over at Bloomberg who is saying that Matt Botty and other leaders at Xbox made comments at a meeting that seem to indicate tough times ahead. Tom Warren at the Verge is also reporting that Xbox wants smaller games with prestige and awards days after shuttering Tango Gameworks who made Hi Fi Rush. More Xbox Layoffs. More of a AAA focus. Fewer Risks. That's that it seems like the Xbox strategy will be. Along with a potential Xbox Game Pass price increase.
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[@DestinL]

Do you think more Xbox layoffs are coming? Let me know and please consider subscribing! kzbin.info Become a Member here kzbin.info/door/gUOWrjLEhmHE9tqYtoeS_gjoin/join`11`

[@RottieGuy1980]

Double Fine, Ninja Theory and Obsidian are done

[@frankkent5567]

Absolutely.

[@xxbody_bagxx1873]

Colin tried explaining to you the downside of consolidation..

[@Caelc15]

seems like you dont know what a voluntary buyout is. and as mentioned, take a course in business because your ignorance is astounding on this topic

[@504Trey]

Layoffs have always been coming since the beginning of time in every business & will continue to come so why are people acting like this is something new to the world 😂😂😂

[@tacothunder2298]

Embrace, Expand, Extinguish. Microsoft's lifetime motto in full effect.

[@kevp2752]

They did the same with Nokia

[@retro_ed746]

We are lucky Gabe saw this years ago where Microsoft is pushing.....🐧

[@Mustang46liters]

All those loved franchises just turned into dust smh.

[@SWOTHDRA]

​@@retro_ed746gaben saved PC gaming

[@ShadyPaperclips]

Don't ever let Destin forget, he was the one pushing so hard for this now he got what he wanted

[@dudecat117]

Spent billions to acquire acti/blizz and then said fuck you to the workers.

[@SWOTHDRA]

What else did you expect? They need that money back

[@Sup3rCondor]

They paid tens of billions for IP, they don't seem to care about the people unfortunately.

[@testme242]

That's every company acquisition. You think they would invest $68B and then keep everyone around lol

[@joeg4707]

How naive are you? There's always overlap and cuts after massive mergers or acquisitions.

[@CycloneShadow]

They get those existing acti/blizz IPs. That's it.

[@denfansteven4910]

I should have abandoned ship after the exercise in mediocrity that was HALO Infinite - their supposed "flagship" franchise.... Microsoft doesn't give flying fudge about the artistic, human side of game development. Corpos are the downfall of western civilization.

[@redfoxsports4749]

I still can't believe Xbox spent soooo much money on Activision when everyone knew after Covid all those crazy sales numbers would decline. It is a real shame to see tango and others shut the doors. Very sad day for gaming. scary what else might be coming

[@Ghostlynotme445]

A video game crash might coming

[@codezero7981]

@@Ghostlynotme445 no it's not that level but I can see a major gaming giant leaving the console business.

[@isturbo1984]

you mean after lockdowns. i dont know what the is obsession with some people is with calling illegal and authoritarian lockdowns "covid." not the same thing. many places dealt with covid without the nonsense. just call a rose a rose.

[@sly2076]

Xbox leadership needs to resign. They've failed upwards for years now.

[@mrcandycanemcc6686]

Xbox leadership needs to go. Including Satya

[@turkeyleg1]

Xbox as a whole needs to go. The whole thing

[@stevenmontecino]

I don't think it's Xbox leadership, I think it's Microsoft executives. They rather effect Xbox team rather than the windows team since Xbox is a small percentage of Microsoft profit

[@mrglass7133]

I think Satya needs to go.

[@mikrobyo1790]

U guys complain about bad xbox games now they are restructuring u guys still cry

[@mig1017]

Phil Spencer 'We hear you' Continued.... 'we just aren't listening'

[@apanamakamu]

Lol

[@ipityplaystationpeasants2305]

Which is good

[@patrickgoulet8170]

@@ipityplaystationpeasants2305 yea I agree helldiver's shouldn't have listened either, bunch of entitled whiners

[@ipityplaystationpeasants2305]

@@patrickgoulet8170 Reason I said that even when XBOX does good, they get backhanded compliments or slick disses "well they games NOT good as PS but game pass" is whats been out there for years. NOPE XBOX need to start ignoring at this point.

[@howdareyouexist]

@@ipityplaystationpeasants2305 lol so much good, not

[@ProtossHyrdalisk]

When a company starts talking about "lean" and "6 sigma" prepare your ass for layoffs.

[@Arabianknight78]

It is what it is.. companies don't care about nothing but profit and we worker care about money as well, and I know all about Six Sigma, I lost a job for that b/tch 😅

[@SWOTHDRA]

​@@Arabianknight78hold that L , bot

[@patrickgoulet8170]

@@SWOTHDRA if youre the real person i dont understand the sentiment behind talking to a bot in the first place. Also saying hold the l to anyone makes me wonder what happened to the education system the last ten years.

[@jun7865a]

I'm gonna say it again and again. The future and soul of gaming is in Indie devs who are independent and not oppressively controlled by their corporate publishers. Creativity flourishes when devs can choose what direction they want to go and this leads to great games.

[@Krysnha]

Bingo, for me indie and small studios, because triple AAA dont want to make game, want to make microtransactions with games included

[@patrickgoulet8170]

And then they get bought by Microsoft lol

[@codezero7981]

AAA games/studios will continue to decline but indie games will rise

[@igortolstov487]

Ninja Theory is definitely going. Just waiting for Hellblade to release

[@SWOTHDRA]

Yup issa wrap for them

[@jasonhendricks8587]

Unfortunate I agree

[@rotaryperfection]

Negative! MS has invested too much in that studio plus, they have lots of internal talent. Ms isn't cutting TALENT. They're cutting the fat and the studios who don't have any passion.

[@jasonhendricks8587]

@@rotaryperfection I hope you are right. Ninja theory is a great studio

[@rotaryperfection]

@@jasonhendricks8587 Well think about it. MS isn't having these problems with the studios they bought in 2018. They gave money to ALL those studios to help them grow. Back then, MS was able to properly VET the team and talent levels before the individual purchases. This didn't happen with any of the studios under Bethesda and Activision. MS was only dealing with the publishers directly. It wasn't till AFTER they acquired the publishers that MS was able to go in a evaluate the individual studios and their passion and talent level. It's not a stretch to think that many of these teams still want to do things the Bethesda and Activision way so those not buying in WILL underperform or leave. I truly think that MS is trying to set all their studios up the way of the 2018 studios but to do that, means a shift in CULTURE. When MS was vetting those individual studios, they knew what they were getting. That's not the case when you're buying a PUBLISHER. You get what you get so eventually, MS has to go in and clean house. That's the business world.

[@jomac3423]

Xbox y'all done made Destin mad, you know you done f#@%ed up right😂

[@avi-jk7wv]

Lol😂

[@avi-jk7wv]

Microsoft did not pay him this time 😂 otherwise he used to lick phil and xbox @$$

[@ronniepatterson2827]

Give him a couple days.

[@avi-jk7wv]

@@ronniepatterson2827 yes once the cheque,s clear he will again start licking boots

[@ScottW2000]

He does look very sad indeed 😂

[@KROMERES]

The solution for Microsoft’s problem is the same as it has ALWAYS been. Push consumers to buy your console with exclusives and screw Game Pass. Game Pass is nice, but the console should always be the focus. Isn’t that like what Sony and Nintendo are STILL doing to this day? This experiment has cost Microsoft. They had the answer with the 360!

[@rodneymathews6775]

All that money from the Activision/Blizzard aquisition is starting to bite XBox in the butt, especially when you consider that former CEO Bobby Kotic was paid $375 millon to leave his former position. That money could have been used to keep some of these closures from happening...smh

[@SWOTHDRA]

Or make some sickk games....

[@ObiWanShinobi67]

No this is zenimax focused only.

[@rodneymathews6775]

@@SWOTHDRA True

[@rodneymathews6775]

@@ObiWanShinobi67 What do you mean?

[@ObiWanShinobi67]

@@rodneymathews6775 these studios are operated separately. These particular studio's games weren't making enough according to MS. They already laid off at abk.

[@firexallst4rz277]

Ironic how this happens after the acquisition of ABK. Fucking crazy.....

[@thesadman3136]

"Phill" the burn

[@kizzgizz]

This coming from the company that said "we're not done making acquisitions" Yeah, good luck with that. No one is gonna sign up now.

[@zaderq1]

No one “signs up” to be bought out especially if the company is public. You don’t understand how businesses operate

[@wrathoftheflyingspaghettim850]

​@@zaderq1 none of these people do that's exactly why they get so aggressively upset about layoffs

[@kizzgizz]

I know exactly how businesses work. If an acquired asset isn't returning your investment, then it's either absorbed into the parent company or closed down completely. It's shit for the people getting fired, but at the end of the day, it's what the owners chose to do. Literally has no bearing on what I was saying, though, and the phrase "sign up" shouldn't be taken so literally. It was more a commentary on smaller devs anyway, aggressive takeovers of bigger publicly traded companies are a different story, but there aren't many, if any in a weak position as of now (apart from ubisoft maybe). But smaller studios will avoid Microsoft as if they have the plague. They're the ones that I was talking about. And I'll add that I wouldn't even recommend any get acquired now by microsoft, because it seems to me that they've bitten off more than they can chew after the acti/blizz acquisition. They've gone from 5 to near 40 studios in 6 or so years. Crazy.

[@TheDomLouis]

The owners definitely will sell because an MS shares buyout can be quite lucrative (I virtually paid off our house when MS bought a startup I was working for). The thing is the owners have to have an exit strategy, because MS will gut that company, just like they've done with ours, 5 years on.

[@josephsaga]

@@kizzgizz but Microsoft is a trillion company

[@wiseguyRob]

Xbox has closed more studios than released games so far this year. RIP

[@MajorPickleSwag]

God damn this is definitely because of the Activision Blizzard acquisition. If they just kept to small acquisitions, Xbox could have stayed a rounding error for Microsoft.

[@maxreis9534]

Its the missmanagement at Xbox thats ruling for 10+ years. They never accept that the need to grow and push the studios they already have. Its like never cleaning and renewing oil in your car and then buying a new car every 7 years.

[@AaronH9111]

I said they should have invested alot of that money in the studios they already had instead of trying to aquire Activision Blizzard They could have potentially had alot of good "Exclusive" games and New IP

[@kbthegoat824]

We told many of you that that money could not been spent for so much better things instead of a publisher where that have all their games on your console anyways. But hey it was all about gamepass, they wanted the rights to the most popular franchise to boost gamepass.

[@60weHoodsta]

No. MS wanted to change the narrative. They tried to force the gaming community in a new direction because they couldn't compete traditionally. All of a sudden consoles didn't matter. Sales didn't matter. But before that, exclusives were bad... Until they decided to go in a studio spending spree. They thought that would boost their hardware sales. But it didn't. Gamepass would have been great for them if they had the fan base. Think about it. If Sony had Gamepass, they would have done better without any acquisitions because their fanbase is larger. If Nintendo went that route they would do even better. But the Xbox community filled their own minds with fairytale and the tubers feed them propaganda. Now everyone is in disbelief... This was evident when Halo was released. No way you can send 200 to 500m on a game and expect Gamepass to make profit with no fanbase to support it. Now indie games would be great. Older games would be great. Not AAA

[@smush5653]

@@AaronH9111 New IP is a risky investment big companies are highly risk averse just look at movies its a lot of sequels and reboots

[@mmmidnight1812]

I think we are looking at the end of xbox and the beginning of microsoft gaming. Especially when Satya is reportedly closing arcane himself.

[@UntLion]

Honestly, as much as I don't want to admit it, it seems to be heading that way. Microsoft has the servers for cloud gaming, but the Xbox brand has been utterly obliterated with day after day of scathing blows to the brand.

[@SWOTHDRA]

Yup, this will happen in 2 years for sure

[@anakinskyguy6582]

As if people will forget that they are the ones behind the Xbox disaster. They can rename the next console to Microsoft Series Pro or whatever, and people will still see it as an Xbox.

[@samwymer7059]

Prepare yourself for more of this across the industry this year

[@hulkhogan12345]

Just Xbox I'm afraid

[@wrathoftheflyingspaghettim850]

​@@hulkhogan12345 take two just layed off 600 people it is not just Xbox

[@pyu771]

Destin looks like he's been crying.....

[@ronniepatterson2827]

Soul searching. No telling how many Xbox's he talked folks into purchasing, & now look.

[@craigsampson3386]

I wouldn't blame him, when you can't do anything but watch the thing you love dearly just slowly destroy itself would be pretty upsetting.

[@WiseOne93]

​@@craigsampson3386There is always grass that you could love dearly. 😂

[@craigsampson3386]

@@WiseOne93 tell that to Destin lol

[@tical2399]

@@craigsampson3386 You should never feel that way over video games man. That is just sad. I like games a much as the next guy and i've been a ps guy most of the time. If they went out of business today I'd be like "man, that's fuked up. Oh well , back to the other dozen things i care about in my life."

[@nightwingnl5354]

The gaming industry is in a forking slaughterhouse

[@hulkhogan12345]

Just Xbox. Sony and Nintendo are fine

[@Krysnha]

@@hulkhogan12345 Sony after the fiasco of helldivers 2, stellar blade and now ghost of tsushima on pc, is obvious sony wants numbers in the play station netweok wich sucks, also the PS5 is a disaster, why you think not only play station, but why mobile market, has expanded to more and more of the globe, why because consoles, and triple AAA gaming is too expensive

[@ImmaculateConcussion]

@@hulkhogan12345what about the studios Sony has been closing? It’s not just Xbox, and it’s not just the gaming industry.

[@codezero7981]

only Playsation and Xbox are in trouble, Nintendo is just fine.

[@ZimmermanTelegram]

​@@hulkhogan12345imagine thinking 'Sony is fine.'

[@DesignedByTaz]

“Xbox, are you okay?!” That’s the quote of the year for them.

[@jacoblesperance2115]

Remember when the FTC was saying this was what they would do and everybody attacked them for it? Almost like they know how MS works

[@Turkey_Hill]

FTC’s focus in the Activision-Blizzard case during the preliminary injunction was not on layoffs, it was arguing that the deal was anti-competitive. FTC focused on the possibility of Xbox making their games exclusive and hurting Sony. Xbox showed that the deal helped Steam, Nintendo, Nvidia GeForce Now, Boosteroid and only hurt PlayStation…so it was actually helping 4 competitors and only hurt PlayStation. 4 is greater than 1…so this was pro-competitive, not anti-competitive. Case closed. If FTC had focused on layoffs instead of focusing on whether or not it hurt PlayStation, they could havd had remedies in place that protected the employment of people. FTC only focused on layoffs in January 2024 during the first round of layoffs, but by that time, it was too late. The deal was already done. Plus, January was when layoffs were happening at the same time at Sony and so many other companies, so that made the FTC’s layoff arguments weaker.

[@blackrahk2037]

Sony let go of a few hundred people. Xbox let go of 2000 people with more to cone. Not comparable.

[@ObiWanShinobi67]

No this isn't what they were worried about. Trimming down always happens. ABK has a full HR department. You don't need two HR departments. They have an accounting team. You don't need two accounting teams. So people will get fired. It's unavoidable. Besides these studios were under Zenimax, not ABK.

[@ObiWanShinobi67]

​@@blackrahk2037sony laid off 900 people in February and closed a studio in England. They also don't have near the employees that Microsoft does. You're right, they're not comparable.

[@SWOTHDRA]

​@@blackrahk2037they are just now trimming bethesda....and bethesda is small compared to activision blizzard. Just wait till they get around to them.......I see a huge crash coming and lots of people fired. Also these people will never get re-hired because AI is gonna take their place

[@ksks6802]

Destin supported all of xbox's acquisitions. He knows damn well every acquisition results in layoffs...they almost always do. Destin acts like he cares, but he certainly dosen't. Because he knew the consequences before he made his decision to back it.

[@ronniepatterson2827]

Thank you! I cant stand these Xbox worshippers always promoting & making excuses for the brand, only to turn around & ACT like they sad, or pissed off, when the crap hits the fan. Dude has been wrong for months on end, & still begging for more subs. Crazy!

[@ksks6802]

@@ronniepatterson2827 ehhh. Yes and no. He gets a lot of things wrong. Yesterday on unlocked he said the recent final fantasy remake was a success and that's just not true. It actually put square enix in the red because it sold like toilet water. Destin needs a cohost for better accuracy in reporting to potential customers. Because let's face it. We're all her because were customers to some extent.

[@ronniepatterson2827]

@@ksks6802 You being way to kind to him with so many out of a job my guy. Im not saying he got literally every tiny detail wrong, but a quick scan of his uploads titles shows its been a disater overall. Totally wreckless to invite the likes of millionaires to his channel to promote MS, thier aquisitions & thier services, when the track record of said millionaires, as well as the company itself, has a track record of being wrong 10 miles long. Hes acting full stop

[@ksks6802]

@@ronniepatterson2827 your preaching to a man of god already. Kinect recording private conversations in people's houses to the ungodly amount of microtransactions made by minors in minecraft. Being sued every 12 months for anti consumer court settlements, to Microsoft helping the US develop the Stuxnet virus to cripple Iran's nuclear centrifuges. My list is 100 miles long and I think I'm being fair to destin. You just seen like some dude who makes 30k a year and hate people who are successful. Remember, any job you have is because someone is rich. And if you really care, you can cash out your 401k because those investors invest in companies on your behalf, to fire people more that a match in a cotton factory.

[@SWOTHDRA]

Not only supported he said it was great, he said gamepass was making a profit 🤡🤡🤡

[@Dr_KillShot]

Can’t wait for that “XBox are you OK” video

[@SirTobyGirl]

"2025 becoming a big year for Xbox"

[@Sup3rCondor]

@@SirTobyGirl 2025 is Xbox's year! 🤣

[@Ghostlynotme445]

@@Sup3rCondorXbox be dead in 2025

[@Sup3rCondor]

@@Ghostlynotme445 ☠️

[@ixinfinite5163]

​@@Sup3rCondor @SirTobyGirl ☠️bo☠️ 😅

[@caderik1386]

Makes you wonder how much planning they did when they purchased ABK - the game pass revenue and offset of ABK, there is no way that this is a surprise.

[@nygeriunprence]

They were just greedy, they should’ve stopped at Bethesda and manage their studios properly.

[@tomfromtoonami3269]

Im incredibly worried about Ninja Theory

[@bjf9304]

The Activision purchase is looking like a poison pill And you know who would have made a great Perfect Dark game? Arkane Austin

[@paulbelton5436]

Closing Tango is just history repeating itself. When Microsoft shut down Lionhead studios they regretted it and said they wouldn’t make the same mistake again. Well guess what Microsoft you have. You obviously don’t learn from your mistakes. Shame on you. My heart goes out to all staff who have been let go ❤, hope you all find a better place to work soon

[@thedon7941]

I am not surprised Xbox have done this for years! New leadership is needed for the brand to improve please

[@AlexanTheMan]

It's starting to sound like Sega in early 2001.

[@tacituskillgore7437]

Public perception of Sega wasn't nearly as bad at the time Playstation was just better and won the market but people didn't absolutely hate them... this is worse

[@AlexanTheMan]

The only reason Xbox is still afloat is because Microsoft holds a huge stake in the tech industry. But that might not last if the Xbox division continues to bleed money at an alarming rate.

[@SKOTxFREE]

Yep I agree in that I distinctly remember Sega was actually outselling PlayStation for a few months but then things changed and on the business side analyst were reporting that Dreamcast despite its high sales was not going to make it but Peter Moore was saying oh everything is fine. But then Sega lowered the price of the Dreamcast and then Sega was trying to sell all the unsold Japanese Dreamcasts as well and that’s when fans knew it was over. This is getting to be exactly like Dreamcast except in that DC had garnered ill will from retailers mainly because of what happened with the Saturn.

[@iconofsin4578]

Sony is the way of sega

[@Syldarin]

@@iconofsin4578lol How much copium have You inhaled? You Can be in denial all You want about the State of Xbox, it doesnt Change the facts.

[@j.kedeshturner2086]

Everything Microsoft touch. Seems like it goes bad It's not Xbox. It's Microsoft

[@Kapono5150]

I’m so thankful the hardcore Xbox fans are finally waking up

[@SWOTHDRA]

Nah they still have hope

[@cristopher8186]

I never thought xbots would actually wake up 😂😂

[@dnhofer]

We tried to warn em

[@TakToJestYT]

I never been xbox fanboy but it was always my console of choice so I kept playing it but seeing how things are going i'm not into supporting this brand anymore. PC or PS5 from this point forward.

[@olivierpayette4284]

Lmao now we have the hardcore Sony fans to wake up. They’re equal if not worst than Xbox fanboys

[@bogroll1881]

They took a bold decision - they bet the company on game pass - they lost - its over

[@Erlaxis]

Yep. Hardware is over. They will continue as game publishers, but it's not looking good for them.

[@pixelhotdish]

Arent there rumors of EA laying more people off as well, after a pretty tough earnings report? At this point, I think I am going to just focus on supporting those smaller devs that are making fun little projects on steam, rather than trying to convince myself that anyone at Xbox, or Sony, or EA even know wtf they are doing anymore. Unbelievable.

[@blackrahk2037]

Sony sold 6 million PS5s last quarter alone. Xbox sold 800,000 during the same time period😂. Sony knows what they are during....

[@ObiWanShinobi67]

EA, take two, embracer. Everyone.

[@pixelhotdish]

@@blackrahk2037 Oh sure, the PS5 is outselling Xbox, I was never questioning that. Instead I can just point to the 900 jobs lost just two months ago because their internal sales projections for PS5s fell short in 2023. Instead of leadership suffering those consequences, the company lets 900 developer jobs from, among others, Naughty Dog, and Insomniac, two studios that sold games that surpassed 10 million units sold each. Then Insomniac releases a statement on social media about their frustration over losing some of their staff.... yea, Sonys doing great!

[@masterrugg22]

​@blackrahk2037 it's nothing to with console sales more to do with subscriptions drying up . sony closed 3 studios beginning of the year but hay must be sony doing things right . The fact of it is non gamers got into gaming during the pandemic nothing to do but sit in doors pandemic ends the bubble burst Microsoft are trying to entice those people back or gain a new type player that dont exist . the biggest problem is Microsoft abandoned there core fanbase in pursuit of more players and that's a big emphasis on (player) not gamer . I can see 3 things happening Microsoft and sony are to blame as well as a 3rd party developers (Microsoft expanded to much and got greedy with buying studios) (sony lack of variety and stagnating game type and push for live service) and 3rd parties like embracer and tencent buying up all the studio's that sony and Microsoft don't want is leading to a market collapse . Investors and money men have ruined the gaming industry

[@blackrahk2037]

@@masterrugg22 This whole take is desperate and sad. The one company that had to chase subscriptions because they couldn't sell games is going under while the companies that CAN sell games are thriving. Imagine that 😳

[@cognitoplays9504]

Hellblade studio is gone, I guarantee it.

[@angcil88]

Probably, one of the co-founder left the company too

[@steviemac2377]

It'll probably get released on playstation later this year and they'll get shut down a month or 2 after

[@SirTobyGirl]

I think Hellblade is another flop, why they are saying nothing and doing the Xbox direct a few weeks after, so push narrative away from it

[@davemangamer7365]

I am think they know it might suck. There’s no gameplay or anything. It’s almost like cyberpunk kind of thing. I hope it don’t suck, but I’m not holding my breath.

[@John117M63]

They spent $70B to buy one company, make their games multiplatform, and layoff smaller studios making good games. What a stupid move

[@Thorfinn_Vinland]

Can't make this stuff up 😂

[@pacman23b]

Sound like they cutting the fat before they go third party

[@joshieecs]

curious how many developers/creatives were layed off vs how many were moved to a different studio. even a rough percentage would be insightful.

[@hugoboss917]

Boycot gamepass now!

[@ProtossHyrdalisk]

Boycott MICROSOFT now. You're missing the major revenue streams if you just boycott game pass.

[@UNDEADWXRLORD]

I already switched to core because after all these years I find myself not playing any of the games on there I was wasting alot of money since high on life I never played anything on there

[@olivierpayette4284]

Found the angry Sony fan

[@codylamp6814]

I did, by buying a PS5 this morning 😂

[@otherZinc]

"Boycott PSN+" Only old games in the service.

[@matthewhardwick8208]

I don't understand how they are setting these high revenue expectations for 1st party games when they openly admitted that Game Pass cannibalised game sales. Have they not considered better marketing efforts? Either convince people to buy the games or subscribe to Game Pass. That is Microsoft's responsibility not the developers.

[@MasterofLightning]

They want more Gamepass subscriptions. The metric is how many subscriptions a game gains.

[@spazco8669]

@@MasterofLightning or engagement. These companies have an averege income per hour of engagement and it's much more important than sales numbers.

[@otornnumbero2529]

Man what the hell is going on over there at MS....

[@504Trey]

They making more money than Sony & Nintendo combined that's whats going on at MS.

[@JarrodLamp]

@@504Trey And still people like us still don't give 2 shits

[@waketp420]

Exactly what everyone has been saying would happen. But if you said anything negative about MS and Xbox you were called a Pony. Now look. It's all crumbling like people feared and said would happen.

[@3dipto]

@@504Trey Xbox barely makes more than PS and definitely not more than Nintendo

[@PervySage723]

​@@504Treyhow does that help you though?

[@PaulM68322]

Big Phil: We want our studios to make what they want. Studios: Hey Phil, can we make this game that we want to make Phil: ........ >:(

[@leeartlee915]

Dude, I love my Xbox. It’s actually my preferred platform… but I cannot understand wtf is going on MS headquarters. They spend all this money acquiring these studios, get like one game out of them, and then they shut them down?! It’s wild.

[@tical2399]

They spent money to acquire IP sir, not studios.

[@leeartlee915]

@@tical2399 If that’s true, where are all the IPs flooding the store? You can’t tell me MS spent billions of dollars so they can have Fallout 3 on Game Pass.

[@tical2399]

@@leeartlee915 So let me get this straight? you think that because MS bought these companies, that the games would magically all come out in a few months? You can't be serious. The need the devs to finish what they are currently working on but the goal of the purchase was to own the IP. They can always farm projects they own out to smaller cheaper studios.

[@leeartlee915]

@@tical2399 With some of these studios, it’s been fucking years. In fact, most studios it’s been years. You can’t seriously be defending the managing practices of MS, can you? Wow. Might be something you need to get straight.

[@KnightSoulsG]

More is worse

[@DestinL]

:( Agreed

[@KnightSoulsG]

@@DestinL Rip Tango 💔

[@Penance2277]

People still blame Mattrick even though he's been gone for ten years. He actually wanted Xbox to be the primary source of entertainment in every household. That was his goal. You can say whatever you want about the choices he made, but you can't deny he wanted to sell Xboxes to everyone. Spencer, on the other hand, couldn't care less about selling consoles. He just wants to sell subscriptions. Mattrick hurt Xbox, but Spencer buried it.

[@daRealB-Rex]

Yeah like look back at the Xbox One announcement and if you take out the Kinect requirement, it was a pretty cool system. All-in-one entertainment box is what a lot of people want. They just marketed it horribly

[@ogunderdawg3724]

Even us on playstation side are mad about these studios being kicked. Kendrick needs to diss this whole company seriously.

[@robkuss2944]

You went off on a tucker carlson impression around the last minute 🤣

[@august3777]

I beat Phil and the Xbox team sent over those four games to PlayStation in an effort to increase their sales to try and save them. Obviously Tango Gameworks numbers on PlayStation didn’t work in keeping them around. So that means Obsidian and Rare Ltd are next if their numbers weren’t good enough to keep around.

[@louiepikmin3184]

Isn't sea of thieves sitting at the top of Playstation's store? Or atleast it was

[@WildBill0]

Microsoft can't have it both ways.. Keeping Game Pass and at the same time yapping about low sales.

[@RottieGuy1980]

I feel that was a compromise between Phil and Satya Nadella, Nadella wanted to go more 3rd party and Phil wanted to stick t his vision and these games as a "test" were the compromise, I think Bond backed Nadella and Booty backed Phil, rumours have it there have been discussions for months between executives about COD on gamepass

[@MrOctavia1000]

I can't agree with this comment cuz those games have not been on playstation long enough to know whether it helped or not. Microsoft just has way to much to manage and is probably why their games are in development hell smh 🤦

[@shifterzx]

Hasn't given much of a chance to sell

[@TRYNDAREUS]

Getting rid of quality control. That just sums up all you need to know about Microsoft.

[@TheSlobulas]

It feels like internal politicking and incompetence at this point. The heavy price tag for buying studios probably made some of the higher-up execs finally sit up and take notice. Making them trim, even if it makes the situation worse.

[@ocanica3184]

The fact that so many people here have been simping for a multi billion dollar corporation that doesn't care about them in fascinating. Just looking back at the Microsoft vs CMA drama. The future of gaming is in indies and AA's and not with soulless megacorps.

[@benjamincurtis1412]

Look at what TOYS for BOB had to do. Buy themselves out from under XBOX. Then strike a deal to license their I.P. And then give them part of the sales of the game does well...

[@acktreptow]

Destin if only there were people out there who told you Gamepass cannibalises sales and that buying ABK was a completely different acquisition compared to what Sony was doing. Still believe daddy Phil’s lies and want him to buy Take 2? I’d love to see what the talented Matthias Booty does with that XD

[@SWOTHDRA]

😂😂😂💯💯💯

[@grizzlybearking1878]

Hey man, where is the silly hand graph parrity update?

[@Deadeye012011]

When you spend $120 billion on studio acquisitions over 6 year period but lack the install base to support said purchases. Everything the FTC warned us about regarding this take over is coming to pass.

[@Macktube]

Wat??? Xbox is taking another L already. We were barely done with the first one 🤣🤣🤣🤣🤣🤣

[@robertrice2141]

You're catching up with Dreamcast Guy with videos made in 48 hours about Xbox. Lol

[@phillipalleva-cox3903]

I imagine Dreamcast guy is having a good week given how much that dude likes to trash on Xbox. Personally, I don’t care for his content, but that’s just me.

[@robertrice2141]

@phillipalleva-cox3903 I mainly focus on PC, but I follow at least 2 or 3 people from each camp. XBOX, Playstation, and Nintendo. The rest are PC guys.

[@richied5294]

Size doesn't matter, it's how you swing it. Tango did really good with what they had.

[@rickmayen]

Thanks for the content!

[@natejoe9924]

I'm so pissed off

[@shaysam4592]

Me too

[@natejoe9924]

@@shaysam4592I did not expect this at all now I'm starting to think is the PlayStation Fanboys right is it because of game pass

[@natejoe9924]

@@shaysam4592 I see nothing so I used to think game pass was profitable now I'm starting to question that maybe the PlayStation Fanboys was right

[@craigsampson3386]

​@natejoe9924 its a bitter pill to swallow, but atleast you can admit it and not live in denial, a rare quality these days.

[@natejoe9924]

@@shaysam4592 I used to argue over game pass with the PlayStation fanboys now I'm starting to see maybe they had a point

[@zwarx3237]

I don't think any of us would mind 343 cuts. fix halo god dammit

[@ObiWanShinobi67]

They did already. Multiplayer is finally good now.

[@zwarx3237]

@@ObiWanShinobi67 there is 2-3 ranked playlists. and there is no level system in the game. I dont know If i agree w u

[@ObiWanShinobi67]

@@zwarx3237 i don't mess around with sweaty ranks. They released a progression system in season 4.

[@hiredgunsg6178]

This is a really great segment that touches on a lot of issues. Do you think they could be shedding smaller studios and reduce their portfolio to consolidate and maybe become a 3rd party developer? Hmmm...

[@EddiXP]

Destin I appreciate you telling it how it is on Unlock as well as here. We are at this point because of reporters/inflencuers being buddy-buddy with the exec's and not asking the tough questions.

[@reamoinmcdonachadh9519]

Why spend money you then have to "make back" almost immediately?? When you buy a house you have a choice, rent it out to make that money back or live in it and make the value of the money spent worth it by turning it into a home. But that requires you to spend more in MAKING it a home. So, Xbox could have welcomed these studios, backed them to the hilt, and (over time) seen the value of the money spent. That would have made more sense than what is happening now.

[@justinl4281]

First take I have herd on this situation that is not emotionally charged... thank you!

[@Josep_Hernandez_Lujan]

Fallout series was a big boost on Gamepass was it now? Because of the hit show?

[@ChesterMeadows]

Xbox failed to make quality games, the end💁‍♂️

[@flyingplantwhale545]

Right? That's what this is all about! They've tried to dance around the issue for so long, talking about pivoting, adjusting their business models, blaming industry trends. At the end of the day, these morons released a console without a single exclusive and proceeded to fuck up every single release after that.

[@KernowFishy]

Are we in the middle of another gaming industry collapse ? Feels like it. MS timed the Activision purchase terribly.

[@SWOTHDRA]

Only xbox is collapsing

[@KernowFishy]

Economic underperformance and large lay offs everywhere . The whole industry is collapsing . In fact the wider tech industry is collapsing .

[@olivierpayette4284]

@@SWOTHDRAthats what you want to tell yourself but Sony is also in its worst form since the ps3 era

[@TheRocketman2005]

There are layoffs across-the-board, not just Microsoft. I also believe we are in the midst of another video game crash.

[@TecraX2]

"ALL 1st party game will be available DAY-1 on Game Pass"

[@drgonzo123]

If I worked at Ninja Theory I’d be shitting my pants right now.

[@thedude1316]

Look how many people are being laid off at ALL companies. The gaming industry is not exempt. I don't care how good HiFi Rush is, "Next Gen" has been s***. This is about a year overdue.

[@Krysnha]

To think there was a time, gaming was creative, and full of surprises, now is all about make one game and fill it with microtransactions to the limit, and then even when you have multimillion dollar profits, no, we need to overproduce, overexpend, and we need to pay the shareholders, the developers can go to hell

[@thedude1316]

@@Krysnha You realize if you participate in the stock market, 401k, mutual funds, YOU ARE the stock holder.

[@TakaChan569]

@@Krysnha Are we just gonna ignore the games on other platforms that have come out this year, yes this kinda stuff is bad but can we stop pretending like the good is all gone.

[@Krysnha]

@@TakaChan569 yes i know many games come out, wich or are no notice or small, or indie, that s whi future is indie, not these massive thing we have now

[@tical2399]

@@Krysnha My man that has NEVER been the case. Companies only care about money then too. Please stop wishing for the return of glory days that never were. You think capcom pushed out 6 mega man games on the NES for love an passion? You think all those space invaders and pong clones in the 70s were made for the love? They were made to cash in on big money. Gaming has ALWAYS been like that.

[@patrickallen1357]

I never seen you look so pissed

[@fishmo_mofish]

Well, he did go full xbox, and they've made him look like a fool. Luckily, he is not the only one with egg on his face. Maybe in future he won't see companies buying up publishers as a good thing.

[@SWOTHDRA]

He co created this mess, he should be angry at himself

[@ispgravy4233]

@@SWOTHDRAdidn’t know Destin was a top executive at Xbox

[@CavangoVulgora]

20:35

[@MrLocke-bk3om]

Hopefully the leadership team is included in layoffs. Matt Booty, Phil Spencer, Sarah Bond - all need to go.

[@EisOfSpades7]

I called this from the beginning. Game pass at the beginning was a great thing, but their focus on that and cloud gaming alone is going to be the downfall of Xbox if they don't course correct. The movement of many to cut subscriptions (since everything has one now) and a shift to actually own what I play isn't going to help anything and with fewer and fewer reasons to buy a xbox console, their user base is only going to shrink I can't think of a single person I know on PC that runs game pass.

[@whiteknight5100]

Dude just let them go. I'm sick of them personally. And I bled green for years. But this is something entirely different. I can't support this...

[@EisOfSpades7]

@@whiteknight5100 I'm a pc gamer. I don't have to let anything go. I'm just saying that their total reliance on game pass is going to be their undoing.

[@whiteknight5100]

@@EisOfSpades7 No it isn't. It's their shitty management. I don't know why people are blaming studio closures on Gamepass

[@EisOfSpades7]

@@whiteknight5100 maybe because it's a contributing factor? it has fundamentally changed the way a lot of people consume games. Once that first bit of money comes in from game pass, no more is coming. The same thing can be seen to an extent in the music industry, but at least there, artists get an amount for each listen. If devs got a kickback for each hour played, it would be far better for devs. No one on xbos is incentivized to buy a game if it's on game pass or might come to game pass.

[@whiteknight5100]

@@EisOfSpades7 They claimed Hi Fi Rush was a big success for them, yet they closed Tango. Arkane Austin was closed a year or so after making a game they supposedly didn't even want to make, a game that ran like shit, was glitchy, AND cost $70. Mighty Doom wasn't even a Gamepass title yet that studio is done. I don't think Gamepass is the problem. The problem is Microsoft, all the way up to Satya...

[@kevp2752]

Unfortunately it may be game pass that’s killed this.

[@AB-cr1cu]

i guess Ninja theory the next to be closed, working 7 years on 8-10 hours game

[@Hmonks]

Ninja theory is next

[@TWCYT363]

Buying activision not paying off?

[@luisayala4588]

What’s more baffling to me even more so than all those studios closing is why people still support the Xbox brand. Everyone needs to stop and just move somewhere else. Whether it be PC, PS5 or even Nintendo. Don’t support Xbox anymore that is the only way they will learn their lesson.

[@whiteknight5100]

That's what I'm doing personally. I'm done with a brand that buys up studios just to shut them down

[@KillerCEOZ]

People were saying with the Activision buy that MS has so much money and it is cheap for them but now they fail because of money issues. A buyout line that is just too big but MS wanted to be the big boy. They just needed to stay smaller and focus on good games.

[@bigphilly08]

Wondering if other studios can get deals like Toys for Bob. Be allowed to break away from under Xbox and work independently but with a partnership.

[@hanzo90]

Microsoft is slowly turning into Sega

[@dusermiginte4647]

It hasnt been true for the last 10 years but you poonies doesnt have anything else to say..

[@whiteknight5100]

Umm, Sega is still esteemed and respected. Xbox probably never will be. How they will still have fans after this is beyond me

[@hanzo90]

@@dusermiginte4647 Are you capable of thinking logically instead of looking through the lens of everyone being a console fanboy?

[@dusermiginte4647]

@@hanzo90 yes, I seem to be the only one here capable of this..

[@bobhawkins9598]

Zero cod on gametrash, price hikes incoming, zero day 1 on gametrash no wonder the subs or dropping like flies

[@Restfy]

I think what it boils down to is the purchase of ABK and them needing to downsize to ensure profits. They need to start putting ABK games on GamePass now, and allow Xbox players to play WoW etc.

[@jaded_titan8204]

not regretting the fact that i sold my Series S. Microsoft understand gaming as much as they understand bloatware.

[@daRealB-Rex]

I about had a moment of weakness and bought a Series S so I could play New Vegas without having to use mods on PC, but after this I’m just gonna buy a used 360.

[@remidee7276]

The mismanagement in this industry is wild. All this talent and studio being closed because everyone is chasing the next big live service game. That greed is killing the industry. Instead of allowing the talent to make passion projects.

[@JarrodLamp]

Ok people time to sell that Xbox systems.

[@pdraggy]

Thanks for reporting good and bad news destin!

[@retro_ed746]

Steam is growing year after year. Gaming is in good shape and healthy.

[@MrOctavia1000]

I don't see how people didn't expect this. Xbox has a hardware platform that doesn't sell a subscription service that doesn't grow smh 🤦. There is no way that xbox games can be successful unless they release on the much more successful and popular platform the ps5. Xbox no doubt is about to go full on 3rd party

[@kgrass976]

Exactly all this talk about no growth this and industry changing that is only a XBOX problem! Xbox can’t grow because of GamePass, Xbox customers don’t want to buy games anymore they want them on GP, Phil can’t go back because think of the outrage if they pulled GP so only option is to put the games where people buy them- Nintendo,PS and PC

[@KangKuupa]

This just goes to shows you that consoles sales matter

[@Penance2277]

Xbox users refuse to acknowledge the obvious fact that gamepass was not a good thing.

[@kgrass976]

@@Penance2277 or the fact that over 80% of Xbox users play on the Series S

[@klaw7050]

Anybody with common sense was just waiting for something like this to happen. For GP to be successfull I suspect they would need the touted 200 million players on it (or close to that), but since they didn't get it and the very nature of GP eats up sales, it was just a matter of time.

[@shifterzx]

Why are they releasing new controllers if they are no longer going to make consoles though?

[@mutha_fnmikey2325]

Number one controller for pc

[@philpaquette6025]

if they put the xbox app on every device you dont need a console(cloud gaming)

[@Arabianknight78]

PC

[@kgrass976]

@@philpaquette6025Xbox is already everywhere! You can get Xbox when you buy a TV ffs. How much more everywhere can they be than what they are now. PC, Console, Phone, TV

[@ronniepatterson2827]

@@mutha_fnmikey2325 Unless you have the $200 Nacon Revolution 5 lol.

[@cityboy908]

June 9 must be a very big announcement , example: MAJOR LAYOFFS

[@xorrior4438]

Are the devs of Scorn still there? Why the fuck would choose them over Arkane and Tango?

[@kristin0985]

If they don't put COD on game pass, I will probably unsubscribe.

[@TecraX2]

Me too!

[@ducko1988]

I’m almost ready to check out of gaming for now, it’s all one big frustrating mess.

[@Fast_Travel_Gamer]

Even with all of the mess, there are still so many great games to play.

[@504Trey]

With all these amazing games to play?? My backlog so long & full of amazing games that i know i won't finish all of them before i get laid to rest & im having a blast on a daily basis especially with game pass so i don't see what all the fuss is all about 💀

[@hulkhogan12345]

​@@504Trey😂😂😂😂😂😂 how deluded are you. Xbox went full woke and are a joke.. unlimited money and still in last place hahaha.. Sony's VT is selling more units than Xbox are selling consoles 😂😂 last place again haha

[@daRealB-Rex]

get yourself a PS2, 360 and PC/Steam Deck and you’ll be set for life.

[@craigsampson3386]

​@@daRealB-Rex or just a half decent PC and run emulators instead.

[@roahnosh]

Lmao sounds like they needed Genshin Impact, Honkai Star Rail and Zenless Zone Zero. Oh wait ,they passed on these games and gave them away to Playstation in 2020. Bunch of incompetent executives.

[@codyl1992]

Thank you Destin for your continued coverage. It feels to me like the higher ups who green lit all the studio acquisitions don’t know much about gaming and just feel like they haven’t gotten much out of it, so they just want to pull the rug out to balance the finances. Frustrating because some momentum seemed to be building. I miss the 360 glory days.

[@mushypee1]

This what happens when you don't focus on your current stidios and purchase Activision for 70.billon and 7.5 billion for Bethesda. Satchia wants his money back on that investment. Xbox has always had the issue of prodcing high qualty games at a regular cadence, poor marketing and more importantly the miss magement of their studios. Purchasing Bethesda/Activision has spread them even more thinnly and with history they have, they bit off more than the can chew. Remneber they are predominantly a software not a hardware company and rhieir is no strategy. They just pivot with whatever they implement when it goes wrong. Gamepass is a great conception but if you dont have consistenl high quality games, you clise your studois who did well and potentially hike up gamepass prices again. Sorry, but the current management doesn't have a clue. They have had plenty of opportunities to get this right. One step forward, two steps back.

[@ProtossHyrdalisk]

Yeah, poor Microsoft just doesn't have any money left!