Id Software Lead Says Microsoft Cuts Have 'Gutted' Studio and Made AAA Work 'Impossible'

Overview

• On Monday, id Software lead services programmer Chris Hays publicly condemned Microsoft after roughly 136 roles were cut as part of Xbox’s broader July restructuring.
• Hays said the cuts removed whole departments and specialist roles needed to maintain engines, art and infrastructure, making the studio unable to produce the same AAA games it previously shipped.
• Employees described the timing as demoralising because many had just finished a severe crunch and the layoffs were announced one day before Doom: The Dark Ages DLC released, leaving staff uncertain about the studio’s short-term plans.
• Microsoft defends the reset as a financial response to sharply higher storage and memory costs that it says force margin and price moves, and it has signalled further job reductions and console price increases.
• Industry observers warn the actions could damage trust, hinder retention and recruiting for studios under Microsoft and intensify debate over Game Pass’s effect on game revenue and creative incentives.