Virtual Legality
Virtual Legality
Virtual Legality is a continuing series discussing the law, video games, software, and everything digital, hosted by Richard Hoeg, of the Hoeg Law Business Law Firm (Hoeg Law).
Richard Hoeg

LAID OFF | Microsoft/Xbox Fires Almost 2000 (VL776)

E776 • Jan 26, 2024 • 59 mins

In this episode, Richard Hoeg explores the Microsoft and Activision Blizzard layoffs and the role of investors. He touches on the departure of leadership personnel, the role of unions, and outsourcing customer support. Richard also delves into the state of the gaming industry, addresses listener queries, and dives into the future of game development.

Key Points

  • Microsoft's decision to lay off approximately 1900 roles from its gaming workforce is a reflection of the business process of identifying redundancies and aligning strategies post-merger, which, while legally and economically sound, can be deeply impactful to the individuals affected.
  • The layoffs at Microsoft are not isolated but part of a broader trend in the gaming industry, where companies are adjusting to a post-pandemic economic environment that includes reduced revenue growth and increased costs.
  • Unions in the gaming industry argue that while they may not prevent layoffs, union representation can offer workers greater transparency and layoff protections, but the actual effectiveness of unions in layoff scenarios can vary.
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