The Xbox layoffs on July 2 have sent shockwaves through the gaming community. With multiple games canceled and a significant number of employees losing their jobs, the impact is profoundly felt.
This round of layoffs has primarily been revealed through social media channels, as Microsoft and Xbox have yet to issue an official press release. It’s disheartening to see dedicated individuals from various departments affected, and it raises questions about the future of the projects they were working on.
Cancelled Games from the July 2 Xbox Layoffs
Reports on game cancellations emerge from social media, highlighting that at least three games have been officially scrapped, despite the lack of a formal announcement from Xbox or Microsoft.

Everwild, developed by Rare Studios, has been officially canceled. Initially revealed in 2019, the game had not shown significant progress in updates, leading many to speculate that its development encountered numerous challenges. The recent layoffs may have ultimately sealed its fate.
Similarly, Project Blackbird, which was in the works since 2018, has also been canceled by Zenimax. There were no clear details on what the game might have been, but chances of revival seem bleak following this decision. Other projects at Zenimax could face similar fates.
There are also indications that beloved franchises like Perfect Dark and The Initiative may have suffered setbacks.

Moreover, reports indicate that Xbox subsidiaries like Raven Studios and Turn 10 have been significantly affected, with Turn 10 reportedly losing nearly half of its workforce.
Phil Spencer has been the only official voice during this turmoil, sharing an internal memo with Xbox employees. The broader consequences of these layoffs are still unfolding, and more cancellations may be on the horizon.
What are the implications of the Xbox layoffs for the gaming industry?
The layoffs signal a challenging phase for the industry, emphasizing the need for sustainable development practices and potentially reshaping how major studios approach game production.
How might these cancellations affect Xbox’s future projects?
The cancellations could lead to a reassessment of project priorities and a potential shift in resources, which might help focus efforts on more promising titles in the future.
What does the cancellation of games like Everwild mean for fans?
Fans of these titles may feel disheartened as anticipation turns to disappointment, reflecting the precarious nature of game development in the current landscape.
Could there be any silver lining to these layoffs?
While layoffs are tough, they can sometimes lead to restructuring that fosters more innovative and efficient game development practices going forward.
In conclusion, the recent Xbox layoffs not only impact the lives of many but also the trajectory of several beloved projects. Stay informed and consider exploring more about these developments and their implications by visiting Moyens I/O.