Microsoft to cut jobs in Xbox division as company continues reorganization

Microsoft (NASDAQ:MSFT) is laying off more people next week in its gaming unit, Xbox, according to a report from Bloomberg on Tuesday.

The move is part of a company-wide reorganization, the report said. Sources told the news outlet that managers within Xbox are expecting substantial cuts across the entire group.

In May, the software and tech giant announced a 3% cut across the company, which affected about 6,000 employees, primarily from product and engineering teams.

Soon after announcing that, the company eliminated 300 more positions earlier this month.

Last week, Bloomberg reported that the company is planning to ax thousands of jobs, particularly in sales, as it plans to spend heavily on artificial intelligence.