Report Says id Software Laid Off 136 Employees During Microsoft's Xbox Restructuring

A new report claims that id Software has laid off 136 employees as part of Microsoft's ongoing restructuring of its Xbox gaming division. The figure is based on a Texas WARN filing, which reportedly lists 96 employees from the studio's Richardson, Texas office and 40 remote workers, making id Software one of the hardest-hit teams affected by the recent cuts. The layoffs come shortly after the release of DOOM: The Dark Ages – Revelations, raising fresh concerns about the future of one of the industry's most influential FPS developers.

According to the reports, the reductions impacted multiple departments, including engineering, design, art, production, and quality assurance. Several veteran developers with decades of experience at the studio have confirmed their departures on social media. While Microsoft has not provided a detailed breakdown of the affected roles, the scale of the layoffs has fueled speculation about how future DOOM projects and development of the id Tech engine could be affected.

The workforce reduction is part of a broader restructuring across Microsoft's gaming business, which has already resulted in thousands of job cuts throughout Xbox and its first-party studios. Despite the layoffs, reports indicate that Microsoft still considers id Tech a strategic technology and has no plans to discontinue the engine, even as the studio undergoes significant organizational changes.

Neither Microsoft nor id Software has announced changes to any released or previously revealed games. However, the reported loss of 136 employees represents one of the largest layoffs in the studio's history and has sparked widespread concern among fans and industry observers about the future direction of the legendary developer behind DOOM, Quake, and Wolfenstein.