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RUMOR: Microsoft to cut many jobs, including Xbox EU marketing (could reach 12K cuts)

netBuff

Member
Looool, wat? "Gravely"

Xbox One is clearly being outsold by PS4, but its doing better than any Xbox console has before (and despite its initial price) and they have plenty of games coming. Reads like wishful thinking more than reality.

The rumours say Xbox marketing team, not Xbox developers which is hiring and expanding/

Sales have been slowing down, Xbone won't be ahead of the 360 for long. And MS are barely investing in exclusive development now.

Just take a look at the recent Ubisoft earnings release: Them selling double the games on PS4 compared to Xbone doesn't strike me as Xbone being a "roaring success".


Nadella has said so himself: They won't be a "devices and services company" in the future.
 
Sales have slowed down, Xbone won't be ahead of the 360 for long. And MS are barely investing in exclusive development now.

Just take a look at the recent Ubisoft earnings release: Them selling double the games on PS4 compared to Xbone doesn't strike me as Xbone being a "roaring success".

Ah right... so who is funding Halo 5? Fable Legends? Sunset Overdrive? Quantum Break? Dare I mention Ori? Scalebound? Phantom Dust? Crackdown? Theres probably more, but I can't be bothered to list them

MS are investing plenty and your comment about that is just ridiculous.

I didn't call it a roaring success so I have no idea where you pulled that from and I've already its being outsold by the PS4 and its being done so comfortably in both hardware and software sales but we're what 8 months into this generation? Theres plenty of juice in the tank and MS will keep investing, this won't be the last Xbox and Microsoft will keep making their exclusive games which looks like a pretty great line-up to me
 

netBuff

Member
Ah right... so who is funding Halo 5? Fable Legends? Sunset Overdrive? Quantum Break? Dare I mention Ori? Scalebound? Phantom Dust? Crackdown? Theres probably more, but I can't be bothered to list them

The fact they have a few titles currently undergoing development doesn't equate to MS' willingness to invest in much future development.

Theres plenty of juice in the tank and MS will keep investing, this won't be the last Xbox and Microsoft will keep making their exclusive games which looks like a pretty great line-up to me

All indications point to MS' unwillingness to fund much development, everything seems very safe and relatively low scale (Sony is in a similar situation, but their platform is an actual success so far).

And with Nadella not being interested in Ballmer's hardware direction, Xbone doesn't have the brightest of futures.
 

Gammacide

Member
Cut internal marketing team, engage external marketing studios. I've seen this shit before.
Yup, I've *been* that internal marketing team so my heart goes out to them and I hope they all find better ways to live a fruitful life.

Microsoft as a whole has to seriously rethink much of their old business paradigm. It can no longer be content with Windows on PCs because the world of technology is now SOOOO much more than that. They know this, but knowing the problem and knowing how to steer an ancient dinosaur in a new direction are two exceedingly different things.
 

nynt9

Member
Looool, wat? "Gravely"

Xbox One is clearly being outsold by PS4, but its doing better than any Xbox console has before (and despite its initial price and other BS) and they have plenty of games coming. Reads like wishful thinking more than reality.

The rumours say Xbox marketing team, not Xbox developers which is hiring and expanding/

Xbox OG was a new entry into a well established market and 360 was severely supply constrained for a while so selling better than those two isn't necessarily a shining success. Especially when XB1 sales were clearly front loaded and they slowed down in successive months.

Where does it say Xbox development is expanding?
 

Guevara

Member
People seriously replying to netbuff's Xbox fud? Lol

This is strictly Nokia acquisition restructuring nothing more

It's mostly that, sure. But until we hear more the rumor specifically says Xbox marketing will be cut as well as other streamline improvements throughout Microsoft.
 

Doffen

Member
The fact they have a few titles currently undergoing development doesn't equate to MS' willingness to invest in much future development.

Steve just laid down solid proof that Microsoft are investing in exclusive titles for the future of Xbox. And yet you are denying it.

Where does it say Xbox development is expanding?

Should it not expand since they are launching in 26 new markets this September?
 

Skeff

Member
Disappointing to see so many job cuts but it's inevitable when absorbing a company like nokia, hopefully everyone lands on their feet.

As per the whole XB1 doing better than any other xbox, that's just because there was less of a supply constraint, if you compare 2013 XB1 sales and 2014 XB1 sales then it tells two very different stories. One story is a raging success, the other is the story of a flop.

An interest post that this thread actually reminds me of was when it was calculated MS spent something like $400+ on marketing per XB1 sold in Spain (might not have been spain but was definitely a PSNation.)

EDIT: it was spain and it was ~571 per console
 
Well, it's clear they are re-balancing to dedicate more resources and personnel into their mobile division, as a result of their Nokia deal.

I'm not as concerned about the XBOX division taking cuts as I am their PC/Windows division.

Microsoft has openly acknowledged a shift to the mobile platforms (tablets/phones/etc...)

I just hope they aren't thinking of slimming down their PC/Windows divisions.


-The XB1 is profitable, for now - not sure how a Kinectless SKU at $100 less figures into that though.

-New Windows OS and other MS software? Not sure anymore. Clearly people have not migrated to Windows 8 as they hoped they would and lots of PC marketshare is being lost to mobile devices.
 

nynt9

Member
It's mostly that, sure. But until we hear more the rumor specifically says Xbox marketing will be cut as well as other streamline improvements throughout Microsoft.

This. While that post does draw too many connections, they are cutting from Xbox marketing, and the original article says:

The announcement would come one week after Chief Executive Officer Satya Nadella issued his first company mission statement, calling for greater emphasis on mobile devices, cloud-computing and productivity software. In the July 10 memo, which also called for Microsoft to become more focused and efficient, Nadella, who took over from Steve Ballmer in February, said he would provide more specifics on implementation later this month.

So the two things that netbuff said are actually based on fact.

Steve just laid down solid proof that Microsoft are investing in exclusive titles for the future of Xbox. And yet you are denying it.



Should it not expand since they are launching in 26 new markets this September?

Launching in new markets does not, in any way, correlate with hiring more developers, except maybe for localisation.
 
This thread has gotten interesting. I think all scenarios are possible for Xbox/Microsoft - sell off the business, keep it going for many more iterations, rely on cloud power and go even more casual, etc.

On topic, if this is due to Nokia merge than I guess it makes sense but is still disappointing. I've pretty much completely eliminated Microsoft from my life, aside from Sky Drive which I find to be the best cloud option. A stylish Nokia Android phone would be the only way to get a Microsoft product back into my life, but my opinion of today's MS is a whole different topic.
 

Nzyme32

Member
Yep, clearly. That's why they are firing Xbox marketing and talking about no longer being focused on hardware.

Actually they are still focusing on first party hardware, but specifically to "stimulate more demand for the Windows ecosystem". http://www.microsoft.com/en-us/news/ceo/index.html

Xbox, as a brand is still important to them and usable for this kind of goal.

I also want to share some additional thoughts on Xbox and its importance to Microsoft. As a large company, I think it's critical to define the core, but it's important to make smart choices on other businesses in which we can have fundamental impact and success. The single biggest digital life category, measured in both time and money spent, in a mobile-first world is gaming. We are fortunate to have Xbox in our family to go after this opportunity with unique and bold innovation. Microsoft will continue to vigorously innovate and delight gamers with Xbox. Xbox is one of the most-revered consumer brands, with a growing online community and service, and a raving fan base. We also benefit from many technologies flowing from our gaming efforts into our productivity efforts – core graphics and NUI in Windows, speech recognition in Skype, camera technology in Kinect for Windows, Azure cloud enhancements for GPU simulation and many more. Bottom line, we will continue to innovate and grow our fan base with Xbox while also creating additive business value for Microsoft.
 

Anion

Member
That sucks for the employees. 5-6K is actually insane. Makes sense though

Also...nice to see NetBuff the mango is back...
Dont waste your time arguing with him
 

netBuff

Member
Steve just laid down solid proof that Microsoft are investing in exclusive titles for the future of Xbox. And yet you are denying it.

Except he didn't. Some small-scale projects and a tiny amount of big exclusives still undergoing development doesn't equate to MS having much interest in investing for future AAA development.

MS apparently don't see much future potential in Xbone, and they're budgeting accordingly.

Should it not expand since they are launching in 26 new markets this September?

The fact they aren't expanding doesn't tell you anything?

You're trying so desperately to create the narrative you want to be true

Nah, just seeing reality for what it is.
 

ironcreed

Banned
Actually they are still focusing on first party hardware, but specifically to "stimulate more demand for the Windows ecosystem". http://www.microsoft.com/en-us/news/ceo/index.html

Xbox, as a brand is still important to them and usable for this kind of goal.

Microsoft will continue to vigorously innovate and delight gamers with Xbox. Xbox is one of the most-revered consumer brands, with a growing online community and service, and a raving fan base.

Yep, sounds like he is getting ready to drop the blade alright.
 
Except he didn't. Some small-scale projects and a tiny amount of big exclusives still undergoing development doesn't equate to MS having much interest in investing for future AAA development.

MS apparently don't see much future potential in Xbone, and they're budgeting accordingly.

Wow, you are really a piece of work. Steve mentioned three small projects and the others were big AAA games. Those three: Fable Legends, Ori and Phantom Dust are all probably bigger than most small teams can handle.
 
The fact they have a few titles currently undergoing development doesn't equate to MS' willingness to invest in much future development.

If you honestly believe that the titles i've listed don't represent a significant amount of investment in games - and i'll finish my list because it seems that wasn't enough: a new Lionhead IP, whatever Rare are doing (2 projects), Forza Horizon 2, whatever Turn10 (Forza 6), Twisted Pixel (new IP), Gears of War, State of Decay, D4, Killer Instinct etc... and any other partnerships we don't know about then I'm wasting my time.

The information is staring at you, bizarre levels of denial.

Xbox OG was a new entry into a well established market and 360 was severely supply constrained for a while so selling better than those two isn't necessarily a shining success. Especially when XB1 sales were clearly front loaded and they slowed down in successive months.

Where does it say Xbox development is expanding?

Lionhead, Black Tusk, 343i (most of the job postings are for 343i) are expanding, a new Halo line of games seems to be in the works, the job listings for new AAA strategy game, they're working with more partners externally (which requires internal teams to work with them such as Ori and KI which have that sort of thing).

The Xbox division isn't some sort of shining light for Microsoft and Xbox One has a long way to go but they're still actively hiring and making new projects at their studios (even Rare has some new job postings despite the recent 16 or so layoffs) and the other studios that we know exist which haven't been formally announced yet...
 

Nzyme32

Member
To me, this reads "we won't be focused on hardware at all, except in some special circumstances"

I'm not entirely sure how you come to that conclusion when the giant blue text highlighting key points throughout the letter include both "first party devices" and "xbox"
 

Doffen

Member
Except he didn't. Some small-scale projects and a tiny amount of big exclusives still undergoing development doesn't equate to MS having much interest in investing for future AAA development.

So Crackdown 3, Gears of War, Halo 5, etc. Is not future AAA developments?
They are scheduled for a release in the future, are they not? Are they AAA? Are they in development and still in need of finical investment from Microsoft?
 
To me, this reads "we won't be focused on hardware at all, except in some special circumstances"

I thought you were banned.

Nokia noise and too many heads in marketing. Seriously, let me know when they fire everyone from the Xbox One staff and then get back to me.
 

On Demand

Banned
Doom thread? Doom thread.

Really though, no corporation is infallible to job cuts to save money. Yes that includes billion $ MS.
 

netBuff

Member
I'm not entirely sure how you come to that conclusion when the giant blue text highlighting key points throughout the letter include both "first party devices" and "xbox"

Xbox doesn't equate to "console" (Xbox Reading does exist, after all), and Nadella clearly isn't willing to perpetuate Ballmer's "devices and services" strategy.

And even with the potential continued existence of some MS created devices, Xbone still seems relatively doomed in the longer term (judging by their lack of future investment and the hardware's very lackluster sales performance)

So Crackdown 3, Gears of War, Halo 5, etc. Is not future AAA developments?
They are scheduled for a release in the future, are they not? Are they AAA? Are they in development and still in need of finical investment from Microsoft?

Their future line up is tiny, they are playing it very safe - clearly not expecting much of an impact/change in sales trajectory. There's still money to be made, I'm not denying that fact - they aren't going to stop development already in progress.
 
Xbox doesn't equate to "console" (Xbox Reading does exist, after all), and Nadella clearly isn't willing to perpetuate Ballmer's "devices and services" strategy.

And even with the potential continued existence of some MS created devices, Xbone still seems relatively doomed in the longer term (judging by their lack of future investment and the hardware's very lackluster sales performance)



Their future line up is tiny, they are playing it very safe - clearly not expecting much of a success.

Yes they are playing it very safe with multiple new studios and investing heavily in the product. So can you let me know where Sony's equivalent of the Halo: Guardians investment is?

Sony is the one playing it safe because they have to. They are pushing hard on the indie side because they don't have to fund and they may hit another Minecraft.
 

nynt9

Member
Yes they are playing it very safe with multiple new studios and investing heavily in the product. So can you let me know where Sony's equivalent of the Halo: Guardians investment is?

Sony is the one playing it safe because they have to. They are pushing hard on the indie side because they don't have to fund and they may hit another Minecraft.

Sony have never really been one to invest heavily in one huge franchise, they invest in several large franchises - that's one of the reasons some people prefer Sony as it creates a more diverse feeling to their catalog.
 
Halo 5? Fable Legends? Sunset Overdrive? Quantum Break? Dare I mention Ori? Scalebound? Phantom Dust? Crackdown?

a new Lionhead IP, whatever Rare are doing (2 projects), Forza Horizon 2, Turn10 (Forza 6), Twisted Pixel (new IP), Gears of War, State of Decay, D4, Killer Instinct

Their future line up is tiny, they are playing it very safe - clearly not expecting much of an impact/change in sales trajectory. There's still money to be made, I'm not denying that fact - they aren't going to stop development already in progress.

Yup, tiny line up. No indication that Microsoft will continue to make games after these are finished. Nothing in their past 20 or so years in the games industry would indicate that Microsoft will continue to sell Xbox One games.

May as well pack it up Steverulez. It's over for the Xbox.
 

Skeff

Member
Yes they are playing it very safe with multiple new studios and investing heavily in the product. So can you let me know where Sony's equivalent of the Halo: Guardians investment is?

Sony is the one playing it safe because they have to. They are pushing hard on the indie side because they don't have to fund and they may hit another Minecraft.

Halo:guardians? wouldn't the Sony equivalent just be Uncharted 4?
 

netBuff

Member
Yes they are playing it very safe with multiple new studios and investing heavily in the product. So can you let me know where Sony's equivalent of the Halo: Guardians investment is?

As I've stated before, Sony is playing it safe as well: They clearly didn't expect PS4 to manage the kind of sales impact we have been seeing so far. This isn't about console wars.

I think consoles in general aren't the most promising of fields; but the process is much further along with Xbone. They are clearly paring down rhetorical as well as financial investment in Xbone. Microsoft doesn't need home consoles, and it shows.
 

nynt9

Member
As I've stated before, Sony is playing it safe as well: They clearly didn't expect PS4 to manage the kind of sales impact we have been seeing so far. This isn't about console wars.

I think consoles in general aren't the most promising of fields; but the process is much further along with Xbone. They are clearly paring down rhetorical as well as financial investment in Xbone. Microsoft doesn't need home consoles, and it shows.

I don't think it's as clear as you claim it is. Yes, they said they are focusing on other things and they are cutting the marketing branch, but they are hiring a new marketing firm to do that stuff and they had a fairly strong E3 that shows that they're working on some big games for 2015 and 2016.
 
Not only does this make Xbox just a footnote, "Xbox" as a brand also doesn't equate to gaming and Xbox hardware at Microsoft.

They are very clearly pulling back from hardware. With how gravely Xbone has flopped, I don't expect huge future investments into the system/exclusive titles or even a successor. But they're not going to discontinue the system, either.

What a delusional post. I expect you are semi-aware of how rediculous this is though. Welcome back netbuff, I see you haven't missed a beat.
 

ironcreed

Banned
After a packed E3 and only 8 months into the new generation, Microsoft is just going to fold and pull away from the Xbox One, folks. Mainly making cuts at Nokia is all the evidence you need.
 

Naminator

Banned
If you honestly believe that the titles i've listed don't represent a significant amount of investment in games - and i'll finish my list because it seems that wasn't enough: a new Lionhead IP, whatever Rare are doing (2 projects), Forza Horizon 2, whatever Turn10 (Forza 6), Twisted Pixel (new IP), Gears of War, State of Decay, D4, Killer Instinct etc... and any other partnerships we don't know about then I'm wasting my time.

The information is staring at you, bizarre levels of denial.

No dude YOU are denying the fact that we have absolutely no information on Microsoft's major AAA game investments up to the year 2025!
Until you can come up with solid, factual evidence that Microsoft will keep releasing 12-17 AAA exclusives every year from now until 2031 then you have no argument here!

You can keep denying it, but the truth is staring right at you!
 

Big-E

Member
I have a problem with the people calling out others for wanting Yusef fired. Isn't Yusef an executive? Why should anyone cry for an executive in this day and age? All the money and none of the risk. Normally you should feel sorry for people losing their jobs as it ruins families but losing a job in this day and age as an executive is almost beneficial.
 
Why do people want Yusuf fired? Sounds like he's just towing the company line.

We've heard that same basic message from other people.
 
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