A source says Microsoft has laid off approximately 1,900 employees from its gaming division. The news comes just months after the company completed its acquisition of Activision Blizzard.

IGN said its own sources showed it a letter sent by the head of Microsoft's gaming department Phil Spencer To the employees who were laid off, saying that they will be fully supported and will have all their rights due to local laws.

The sources also confirmed that the layoff of this large number of employees came after the completion of Microsoft's $69 billion acquisition of Activision, and this matter in turn contributed to increasing the value of the acquired company to become its market cap of $3 trillion, the third largest company to reach that figure ever. Here is what he said Spencer In his letter to affected developers:

“The acquisition of Activision is approximately three months old, and as we move into 2024, Microsoft Gaming and Activision Blizzard leadership intends to balance a well-established strategy with a solid execution plan, with a sustainable cost structure that can support our growing business. We will prioritize together and ensure we are all aligned on the best growth opportunities.”

Then confirm Spencer They have taken the difficult decision to lay off a number of their employees, stressing that they will be supported and have all their rights under the law.

Following this news, Activision Blizzard CEO Mike Yabara announced via his VX account that he was leaving the company. This announcement included the first president to be fired following the acquisition. Bobby Kotick Who announced his departure from office on his own initiative.

The problem of developer layoffs that has hit the gaming industry in the past continues, and it looks like it will continue this year as well, according to many predictions.