Last week, Microsoft announced the termination of approximately four percent of its workforce, resulting in the loss of over 9,000 jobs, with the gaming division facing significant cuts. Particularly affected were the company’s first-party studios, leading to the halt of various projects, including the much-anticipated Perfect Dark reboot. Recent reports have detailed the consequences of these layoffs on Turn 10 Studios, the developer behind Forza Motorsport, as well as the closure of Ireland-based Romero Games.
Turn 10 Studios’ Forza Motorsport Team Disbanded
Turn 10 Studios, known for its development of the Forza Motorsport series, was among those impacted by the latest layoffs. Fred Russell, a former employee, shared on Facebook that the studio has disbanded its entire Forza Motorsport team. “Turn 10 Studios has shuttered the Forza Motorsport space and the team is no more,” he stated in a post on Friday, expressing sadness for what he described as the loss of one of the top racing video games.
In comments following his post, Russell noted that while the Forza Motorsport division has been closed, the Forza Horizon series, which is managed by Playground Games, will continue for the time being. He clarified that Turn 10 is still open to providing support for Horizon’s development, but that the future of the Motorsport franchise remains unclear. “The legacy will stay, even if there is no future for the game,” he added.
Closure of Romero Games
In addition to the layoffs at Turn 10, Romero Games, based in Ireland and co-founded by gaming veterans John and Brenda Romero, has reportedly ceased operations. The studio confirmed that it has lost funding for its projects and is currently assessing its future. An unnamed employee stated that the entire team, which consisted of over 100 individuals, has been let go.
“We had meetings with the publisher the day before this happened, and there was no mention of it,” the employee told The Journal, highlighting the unexpected nature of the layoffs. “We’re trying to find other ways of funding the project, but for now, it’s completely closed, and the studio is closed,” they added.
Romero Games was in the midst of developing a first-person shooter, among other unannounced projects, with Microsoft reportedly acting as the publisher. Following the layoffs, Microsoft is believed to have withdrawn funding for those endeavors.
While Xbox has not provided exhaustive details on the extent of the layoffs and their effects on its studios, the company has stated that it will “end or decrease work” in certain areas of its operations. Xbox Game Studios head Matt Booty confirmed via email to staff last week that the Perfect Dark reboot and Rare’s Everwild had been cancelled, along with several other unannounced projects. Furthermore, the closure of The Initiative, the studio behind Perfect Dark, was also confirmed.
Reports from Bloomberg indicated that the layoffs had a widespread impact on numerous Xbox-owned studios, including King, known for Candy Crush, as well as Raven Software, Sledgehammer Games, and the team responsible for the Halo series, among others.
Since its launch in 2005 on the original Xbox, Turn 10 has been the driving force behind the Forza Motorsport series, with the most recent installment, Forza Motorsport 8, released in 2023.
