INTEL REPORTDATE: Friday, July 17, 2026

id Software Faces Layoffs Amid Microsoft's Strategic Shift

G
WRITTEN BYGlitch_x00
Asset
SRC: SECURE_UPLOAD
ASSET_01.DAT

The gaming industry is no stranger to seismic shifts, and recent layoffs at id Software underscore a critical moment not just for the studio, but for the broader landscape of Microsoft's gaming business. A WARN notice filed in Texas confirmed that 96 workers were laid off in Richardson, Texas, where id Software is located, along with 40 remote roles, marking a significant reduction in the workforce.

These cuts, affecting approximately half of id Software's staff, are part of a broader "reset" initiated by new Xbox CEO Asha Sharma, aiming to streamline Microsoft's gaming division. This reset commenced with 1,600 job losses, with another 1,600 expected before the end of the financial year. The impact has been profound, with four Xbox studios already closed and a fifth nearing closure.

Despite these challenges, id Software remains resilient. In a statement, the studio emphasized that it retains the same staffing level as during the successful 2016 Doom reboot, asserting its capability to continue making "great games." Creative Director Hugo Martin, during a livestream of the Doom: The Dark Ages DLC, *Revelations*, addressed the situation, countering reports of the studio being "gutted." Martin highlighted the global collaboration on id Tech, with engineers in locations like Frankfurt and MachineGames, ensuring the engine's ongoing development.

The layoffs have not gone unnoticed by the gaming community and industry veterans. John Romero, a co-founder of id Software, expressed support for affected staff on social media, emphasizing the importance of preserving the studio's legacy. Meanwhile, John Carmack reflected on the situation with a mix of sadness and introspection, questioning whether recent game sales could have averted the layoffs.

In response to the layoffs, the Communications Workers of America (CWA) organized "Save our Devs" rallies across the US and Canada. These demonstrations, including one outside id Software's Richardson office, brought together dozens of workers advocating for better exit agreements, which the CWA is currently negotiating with Microsoft.

As id Software looks to the future, reports from The Verge's Tom Warren suggest that the studio is working on a new Doom game. This aligns with pre-layoff plans, which included developing new game ideas such as a John Wick-style original IP and a multiplayer/co-op Doom game. Despite the turbulence, the studio's commitment to innovation and excellence appears unwavering.

[Original Source](https://www.ign.com/articles/id-software-creative-director-says-claims-the-doom-developer-was-nerfed-into-the-ground-by-xbox-layoffs-are-untrue)

THE PIXEL PROTOCOL
THEPIXELPROTOCOL.COM
CONNECTION SECURE