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Microsoft has never been good at running game studios, which is a problem when it owns them all

Microsoft layoffs latest in a poor history of running game studios | Polygon

The latest Xbox layoffs are about a long history of mismanagement as much as recent overexpansion

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Microsoft’s latest Xbox layoffs aren’t just another round of cuts—they showcase a decade-long pattern of studio mismanagement. High-profile projects like Rare’s Everwild and the Perfect Dark reboot got the axe after Microsoft swallowed up everyone from Bethesda to Activision Blizzard. Meanwhile, Blizzard’s Warcraft Rumble got scrapped, Raven Software and Turn 10 lost big chunks of staff, King laid off 200, and indie outfits (even John Romero’s studio) saw funding vanish.

It all feels like the fallout of a corporate binge: Microsoft bought studios by the dozen, then struggled to steer creative teams. Bungie, Lionhead, Rare and 343 Industries all reveal the same story—huge acquisitions, heavy-handed oversight, directionless development and eventual layoffs. Now the world’s biggest publisher, Microsoft still hasn’t figured out how to run game studios smoothly, so expect more drama if they don’t learn from these blunders.

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