id Software Addresses Future Concerns Following Xbox Layoffs

by Chief Editor

Id Software, the legendary studio behind Doom and Quake, has confirmed it is operating at its 2016 staffing levels following a wave of layoffs across Microsoft’s gaming division. According to a WARN notice filed in Texas and confirmed by Game Developer, 96 employees in Richardson were cut, alongside 40 remote roles. Despite these reductions, the studio stated it maintains the technical capacity to continue developing its signature titles.

The State of id Software After Xbox Layoffs

The recent workforce reduction at id Software is part of a broader “reset” initiated by Xbox CEO Asha Sharma. This move followed the departure of 1,600 staff members across the Xbox organization earlier this week, with another 1,600 positions expected to be eliminated during the current financial year. While concerns emerged regarding the studio’s ability to maintain its technical output, id Software addressed these in a statement posted to X (formerly Twitter).

The State of id Software After Xbox Layoffs

The studio stated that its current headcount is comparable to the team size during the development of the 2016 Doom reboot. Management emphasized that the layoffs were distributed across various teams rather than targeting specific departments, maintaining a “flat studio” philosophy where all employees contribute directly to production. Xbox also refuted claims that the id Tech engine, which powers titles for both id Software and MachineGames, is understaffed, telling IGN that “dozens of people” continue to work on the technology across multiple locations.

Did you know?

Id Software has been building the games and tech that have defined it for 35 years. The studio is looking forward to seeing people at QuakeCon this August.

Strategic Shifts Across Bethesda Studios

The layoffs at id Software coincide with a structural shift in how Bethesda-owned studios operate. Bethesda boss Jill Braff explained in an internal email that the company is moving away from an independent planning model. Instead, the organization will now focus on its “strongest franchises” and a consolidated content roadmap designed to ensure sustainable growth.

id Software Devastated By Xbox Layoffs – Inside Games Daily

This pivot prioritizes major intellectual properties, including Halo, Minecraft, Candy Crush, Fallout, and The Elder Scrolls. While id Software currently has no officially announced project, reports from GamesBeat suggest the studio was previously exploring concepts such as a John Wick-style original IP, a new Perfect Dark entry, and a co-op Doom title before the restructuring occurred.

Industry Perspectives on the Restructuring

The internal changes at id Software have drawn responses from the studio’s co-founders. John Romero expressed support for the affected staff on social media, noting the difficulty of maintaining the legacy of titles like Doom, Quake, and Wolfenstein in the current market. John Carmack also commented on the situation, stating he felt sadness regarding the news while questioning whether the financial performance of recent titles was sufficient to avoid the headcount reduction.

Industry Perspectives on the Restructuring

Frequently Asked Questions

  • Is id Software still developing games? Yes. The studio has confirmed it remains capable of building the games and technology it is known for, maintaining a team size similar to that of its 2016 Doom production.
  • What is happening to the id Tech engine? Xbox has clarified that reports of only one person remaining on the id Tech team are inaccurate, confirming that dozens of employees are working on the engine across multiple locations.
  • Why are these layoffs happening? According to Bethesda leadership, the changes reflect industry realities and a strategy to shift toward a more stable foundation focused on core, high-performing franchises.

What are your thoughts on the future of id Software’s classic franchises? Join the conversation in the comments section below or subscribe to our newsletter for the latest updates on industry shifts.

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