by We're still waiting to hear more news on the reported layoffs taking place at Xbox soon, with multiple studios such as Compulsion Games, Double Fine and Ninja Theory potentially set to be affected, and well-regarded Bloomberg reporter Jason Schreier has taken to YouTube today to share an update.
You can watch the video in full above, where Schreier recaps some of the more challenging times in Xbox's past and how they've led to present-day problems, before finishing off by discussing the "pretty brutal" situation ahead.
Here are some excerpts from it:
"As I reported on Bloomberg last week, massive layoffs are coming to Xbox at the end of Microsoft's fiscal year on June 30th. And as I reported on Bloomberg this week, studios such as Compulsion (the maker of South of Midnight) and Double Fine (the maker of Kiln and Keeper) and Ninja Theory (the maker of Hellblade) are all currently in negotiations with Xbox to figure out what's next because all of them are on the chopping block. And those are just the three that I've confirmed so far. I know that there are other studios in trouble. I know that layoffs are about to hit the entire organisation in a huge way."
"What's happening is going to be pretty brutal. The word "bloodbath" has been thrown around among people that I talk to who know what's happening. It's going to be bad."
Schreier goes on to clarify that it's not "entirely true" to say that any studios are being shut down by Xbox, as they're all in negotiations right now - potentially about spinning off or finding other buyers.
He also claims that "uncertainty" has caused issues inside of Xbox Game Studios over the past decade, suggesting it's "very hard to make great art when you are working under fear of layoffs and turbulence and shutdowns".
Of course, keep in mind that all of this is just coming from a single journalist, but Schreier is known for being a reliable name in the industry, so we're inclined to believe him. More details on the situation should continue to roll out soon.