Microsoft slashes staff, id software reels from dev exodus
The gaming industry is reeling after Microsoft’s latest wave of austerity measures, which have triggered mass layoffs at id Software and sent shockwaves through ZeniMax Media. A total of 3,600 employees – 1,600 immediately and another 2,000 over the coming year – are being let go as part of a drastic restructuring of the Xbox division.
A legacy in the balance
Co-founder John Romero, a name synonymous with the very DNA of gaming – Doom, Quake, Wolfenstein – has issued a pointed statement, urging the preservation of id Software’s storied history. His tweet, a surprisingly raw expression of concern, highlighted the unique pain of departing a place so deeply intertwined with one’s identity. It’s a sentiment echoed by former project lead Jeff Gardiner, who confirmed the loss of 95 staff members, including Denzil O’Neill, a principal character artist who spent over a decade shaping the dark and brutal worlds of the Doom franchise.

Beyond the numbers: bethesda’s shifting priorities
ZeniMax Media, the parent company of Bethesda, has been particularly hard hit. The online division, ZeniMax Online Studios, has suffered significant cuts, forcing the remaining developers of The Elder Scrolls Online to reassess their future content roadmap. But the impact extends far beyond just one studio. Microsoft’s broader strategy is clear: double down on its flagship franchises – Bethesda’s behemoths, Fallout and The Elder Scrolls, now taking center stage.

A quiet shift in strategy
According to sources within Bethesda, led by boss Jill Braff, the company is moving away from a project-by-project approach, embracing a franchise-focused model. “We’re shifting from a planning model primarily centered on what’s next for each independent studio to one that focuses on our strongest franchises and determining the content roadmap that best serves our players and Bethesda as a whole,” Braff reportedly stated. Bloomberg’s Jason Schreier suggests that Wolfenstein, Doom, and Quake will continue alongside Bethesda’s existing tentpoles, a reassuring – if somewhat cautious – signal.
Romero’s shadow: a forgotten project
The layoffs aren’t simply a matter of streamlining; they’re a stark reminder of the risks inherent in ambitious projects. Romero Games, a shooter project conceived by Romero himself, was abruptly canceled last year after Microsoft reportedly pulled funding. A year prior, in July 2025, the project met its demise, alongside Rare’s Everwild and The Initiative’s Perfect Dark reboot. While the Romeros have stated they are “evaluating opportunities,” the details surrounding the shuttered title remain frustratingly vague. The scale of these cuts underscores the brutal reality of corporate decisions, and the critical importance of preserving the technical and creative assets of a studio with id’s pedigree.
Looking ahead: a foundation of code
Despite the turmoil, whispers persist of continued development on established franchises. However, the loss of experienced talent raises serious questions about the long-term viability of id Software. The sheer weight of Doom, Quake, and Wolfenstein – titles that have defined entire genres – demands a level of dedication that is increasingly difficult to maintain in a volatile industry. It remains to be seen whether what survives at id Software can carry this legacy forward, but one thing is certain: the future of gaming is being reshaped in the crucible of these drastic changes.
