Xbox Layoffs Will Impact The Elder Scrolls VI, Bethesda Warns
Bethesda staff have warned that this week’s sweeping Xbox layoffs will have a “substantial and cascading effect” on the development of The Elder Scrolls VI, with staff fearing the long-awaited role-playing game could face further delays.
According to multiple current and former employees who spoke anonymously to IGN, more than 50 jobs have been cut across Bethesda Game Studios, including staff working directly on the successor to The Elder Scrolls V: Skyrim.
Those affected reportedly include programmers, artists, and designers, with one employee claiming that a veteran developer who had been with the studio since The Elder Scrolls III: Morrowind was among those laid off.
One Bethesda employee told IGN, “Their loss will have a substantial and cascading effect on the game and morale of this studio.”
Another added, “It’s been a mix of every discipline: programmers, artists, and designers.”
The layoffs form part of Microsoft’s wider restructuring of its gaming business under Xbox chief executive Asha Sharma, which has already resulted in around 1,600 job losses, with a further 1,600 departures expected over the coming months as Xbox reshapes its business around its biggest franchises.
In an internal email, Sharma described the overhaul as the most significant restructuring in Xbox history and said Microsoft’s gaming business was “not healthy.”
Bethesda president Jill Braff also addressed employees following the cuts, writing that the changes reflected “the realities of our industry and business” and were necessary to create a “more stable foundation.”
She added, “To be successful in the future, we need to change course. We must strengthen our business, return to sustainable growth, and ensure we can continue investing in our franchises and our players.”
Despite that reassurance, staff working on The Elder Scrolls VI expressed concerns that remaining developers will face heavier workloads while new contractors are brought in to replace experienced employees.
One developer said, “There is a fear that we are going to be replaced by cheaper, contracted labour.”
Another employee described the layoffs as having “a crushing effect on morale,” adding: “We were already running a tight ship and are worried about this delaying the game.”
The Elder Scrolls VI was first announced in 2018 and remains one of Xbox’s most anticipated future exclusives. Recent reports have suggested the fantasy RPG is still at least two years away from release, extending what will already be well over a decade since Skyrim launched in 2011.
