Report: The layoffs at Xbox's DOOM studio id Software are even worse than we thought — devs at Bethesda's Austin office have been hit 69%
By Brendan Lowry71%
7/8/2026, 1:38:17 PM
BS Summary: This article contains 20 faulty reasoning types, including Unattributed Quote, Appeal to Emotion, and Loss Aversion, with Negativity Bias as the most egregious example at 47.6% saturation with 263 hits. Analysis detected 1,201 faulty-reasoning hits from 553 analyzed words, generating a BS Score of 61.7% and a BS Rank of 69% (6,976 of 21,887 articles). This article is worse (more manipulative) than 68.10% of the article peer group.
Earlier this week, Microsoft initiated a large wave of 4,800 layoffs that hit the firm's Xbox and gaming divisions particularly hard, with four studio divestitures and 3,200 cuts — 1,600 immediate, and 1,600 more coming in the next 12 months — striking in what's been called a "reset" for the Xbox business .
Though the redundancies have affected teams across all of Xbox, they've impacted certain game studios such as ZeniMax and Bethesda and Obsidian Entertainment quite disproportionately.
Another developer that's experienced a severe reduction in force is id Software, the team that creates and oversees the modern DOOM games.
Initially, it was reported that half of the entire studio was laid off as part of Microsoft and Xbox's restructuring — a major and devastating loss of talent that shocked the community and upset developers at id , given the popularity of its games and the potential of the always-evolving id Tech game engine.
According to a new report, however, the total number of layoffs at the Texas-based developer is even larger.
At first, it was believed that 96 roles were removed at id.
Now, though, Game Developer writes that a Worker Adjustment and Retraining Notifications (WARN) notice — obtained by the outlet from the Texas Workforce Commission upon request — has revealed that 40 remote workers at the studio have been let go as well.
Microsoft's mass Xbox layoffs hit id Software just one day before the release of its new Revelations DLC for DOOM: The Dark Ages.
(Image credit: Xbox Game Studios)
That brings the total number of id Software cuts up to 136, meaning that the studio's workforce has been hit significantly harder than early reports indicated.
Notably, the WARN document also confirmed that 22 staffers have been affected at Bethesda Game Studios' office in Austin, Texas, with 158 Texas employees laid off across both teams.
146 of these workers are reportedly represented by the Communication Workers of America labor union; Bethesda Game Studios has its own union, too, and it's been very vocal about its frustration with this week's redundancies .
With how concerning the news of the loss of half of id was, hearing that an additional 40 workers were laid off on top of that is extremely worrying.
I can't help but be fearful about the studio's future, and that it no longer has a headcount sufficient for the efficient development of new DOOM games and other projects moving forward.
The painful irony of the situation is that these cuts have come at the same time id released its new Revelations DLC for its latest game, 2025's DOOM: The Dark Ages .
So far, the new expansion has garnered strong reviews, and I'm glad to see it...but it's also heartbreaking to see that many of the creative minds responsible for it, The Dark Ages, and other modern DOOM titles are now gone.
Do you believe that Microsoft and Xbox went too far with the cuts made to id Software?
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