
Microsoft's current round of layoffs is starting to feel particularly brutal, with Forza Motorsport developer Turn 10 Studios reportedly losing almost 50% of its entire staff as part of these ongoing Xbox job cuts.
This latest news is coming from Bloomberg reporter Jason Schreier, who's rarely wrong with these sorts of stories. Schreier says "many of Xbox's subsidiaries are getting hit" and that "nearly 50% of staff" are being let go at Turn 10.
Xbox's premiere racing studio, which has worked on the Forza Motorsport series since the 2005 original, last shipped its big FM reboot back in 2023. Despite the game having solid foundations, excitement for it fizzled out shortly after launch, and Xbox's racing sim seems to have failed to find a broad audience in the months since.
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What happens next with the series remains to be seen. Xbox boss Phil Spencer quietly announced a new Forza game for 2026 during last month's Xbox Games Showcase; widely believed to be the next Forza Horizon game. Horizon is made by a totally different studio in Playground Games, so those devs haven't been affected by these Turn 10 cuts.