Microsoft: Massive Acquisitions and Reorganization at Xbox

The group is adjusting its costs and teams on a large scale while continuing its hardware and gaming projects. Updates to the Surface Laptop Ultra, the merging of Forza studios, departures at Xbox, and a possible announcement of the next Elder Scrolls mark a period of reorganization, against a backdrop of buyout offers extended to tens of thousands of employees.

Surface Laptop Ultra Receives Stability Patch

A new firmware version for the Surface Laptop Ultra addresses unexpected restarts, display flickering, and excessively long boot times, along with other fixes and performance improvements. The latency issues reported by some users have not yet been explicitly addressed by Nvidia or Microsoft, and it is too early to determine if the update resolves them. Meanwhile, Thomas Dohmke, former CEO of GitHub, has launched a competing platform for AI agents, although details of this initiative remain to be confirmed.

Dan Greenawalt Leaves Microsoft After 27 Years at Forza Motorsport

Dan Greenawalt, a key figure in Forza Motorsport, is leaving Microsoft after nearly 27 years and his role as head of Turn 10 Studios. Trevor Williams, head of Playground Games, announced that he is stepping down and will continue to advise Williams and Michel Bastien during his transition, praising a career that spanned from Project Gotham Racing on the original Xbox to the creative direction of Forza and the founding of Turn 10. Last month, Microsoft merged Turn 10 and Playground Games into a single entity with two locations in Leamington Spa and Redmond as part of a major reorganization of Xbox. Over 70 people from Turn 10 were laid off last year, affecting the majority of the studio, which had focused for a year on maintaining Forza Motorsport. The remaining teams have been transferred to Playground Games to contribute to Forza Horizon and Fable. In this context, the prospect of a return to Forza Motorsport remains uncertain.

Elder Scrolls VI: Sentinel Expected Next Month

More than eight years after the announcement of the sixth entry in the series, the next installment is rumored to be titled The Elder Scrolls VI: Sentinel, according to sources close to Bethesda's plans. A title reveal could happen as early as next month, which would also mark the 15th anniversary of Skyrim. Bethesda has shown gameplay footage in recent months, and Asha Sharma, CEO of Xbox, attended a demonstration in August, noting that the story is broader. Expectations are currently focused on an announcement of the name only. The setting would be Hammerfell, a province already explored in Redguard and The Elder Scrolls Online, with a narrative centered on the origins of the universe and the secrets of ancient artifacts.

Xbox COO: Helen Chiang Leaves After 21 Years

Helen Chiang is leaving Microsoft after 21 years, just a few months after her appointment as COO of Xbox in July, a position she took after leading Minecraft. Asha Sharma announced her departure in a brief memo last week, thanking Chiang and clarifying that the COO position is not being eliminated, with further details on the organization to come. Eurogamer reported that she may have been laid off for policy violations, with internal rumors supporting this, while several Xbox employees describe her as highly respected and principled.

Voluntary Buyouts and Cuts: Microsoft Adjusts Its Workforce

Microsoft is inviting around 60,000 employees located in the United States, the United Kingdom, Canada, and India to participate in a voluntary departure program, a volume never reached before, after having offered an early retirement plan to nearly 9,000 employees earlier this year. The stated goal is to maintain investments in AI infrastructure while reducing operational costs and workforce size. Satya Nadella explained nearly two years ago that he aimed for a decrease in total personnel-related costs, an increase in cost per head, and more GPUs per researcher, indicating fewer staff but more resources and compensation for those who remain. Job cuts have become more frequent than in the past, with 4,800 departures primarily affecting Xbox sales and commercial teams a few months ago. As of June 30, the company had approximately 223,000 employees, down 5,000 from the 228,000 reported in 2025, following a reduction equivalent to 4% of the workforce in July. The current offer targets about a quarter of the workforce, in a context where over 30% of the 9,000 eligible for the previous program accepted. However, the acceptance rate for this wave is anticipated to be lower, with sources indicating conditions similar to a standard severance plan (seniority-based compensation, accelerated stock options, subsidized health coverage, career support). Even with a 5% acceptance rate, around 3,000 people would be affected. Employees have until December to decide, with rumors of new layoffs in November and January, and the level of acceptance influencing the next round of cuts. Internally and externally, some consider these reductions necessary. Merill Fernando, former product lead at Microsoft Entra, cites organizational fragmentation and the presence of silos. Satya Nadella acknowledged the existence of tensions between divisions, reminding that the goal is to win in the market rather than to aim for social cohesion.