By Frank Sumrall
Publication Date: 2026-09-22 17:23:00
WASHINGTON — Microsoft is cutting about 300 Washington jobs as the company continues restructuring its gaming division.
According to The Seattle Times, roughly 450 employees are being laid off companywide, with most of the cuts affecting Xbox.
The move comes just two months after Microsoft eliminated nearly 4,800 gaming and sales jobs, including 605 in Washington.
The company said it’s working to reset its gaming business. The company is cutting 268 roles in Xbox Game Studios. The layoffs included management and operating roles and members of first-party game studios, including Halo Studios. Halo is one of Xbox’s most iconic franchises.
In total, Microsoft announced it would cut 3,200 roles within Xbox by the end of its fiscal year — equivalent to about 20% of the division.
According to GeekWire, this series of layoffs is the biggest restructuring in Xbox history. With the latest layoffs, the restructuring is roughly 75% complete.



