Bethesda, id Software reportedly hit hard by Microsoft layoffs

Microsoft's fifth wave of Xbox layoffs in July 2026 resulted in approximately 3,200 job losses, with Bethesda Game Studios losing at least 35 employees and id Software being hit particularly hard, reportedly losing around 95 staff members. Reports suggest roughly 50% of id Software was cut, including most coders, which could affect engine work, support, and future content cadence. Bethesda president Jill Braff told staff the company would focus on its "strongest franchises" going forward as part of the restructuring.

Source: Ars Technica | 2026-07-07