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Microsoft Cuts 9,000 Jobs, Cancels Blackbird MMO

7/3/2025

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Summary

Story summary

In a sweeping move, Microsoft has laid off approximately 9,000 employees, resulting in the cancellation of ZeniMax Online Studios' highly anticipated MMO, Blackbird, which had been in the works since 2018. This decision adds to the growing list of halted projects, including Rare's Everwild and the Perfect Dark reboot, as Xbox studios face drastic workforce cuts.

History

Historical Context

Microsoft acquired Bungie in 2001 for $30 million, launching the Halo franchise and solidifying its gaming ambitions. However, in 2023, the company laid off 9,000 employees and canceled several projects, including ZeniMax Online Studios' Blackbird, reflecting a trend of consolidation and cost-cutting in the gaming industry that may hinder future innovation and competition.

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Story summary

In a sweeping move, Microsoft has laid off approximately 9,000 employees, resulting in the cancellation of ZeniMax Online Studios' highly anticipated MMO, Blackbird, which had been in the works since 2018. This decision adds to the growing list of halted projects, including Rare's Everwild and the Perfect Dark reboot, as Xbox studios face drastic workforce cuts.

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