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Microsoft says H‑1B visas not the cause of mass Xbox layoffs

Microsoft communications lead Frank X. Shaw disputed reports that large H‑1B visa approvals prompted the recent Xbox layoffs, saying H‑1B workers are a small share of the company and not specific to Xbox. The company cut 1,600 roles immediately (about 20% of Xbox staff), with total reductions expected to reach roughly 3,200 over the next year. Microsoft also separated from five studios and id Software lost about half its headcount.

• Shaw denies layoffs were to replace U.S. workers with H‑1B hires
• 1,600 immediate layoffs; cuts may reach ~3,200 and affected ~20% of Xbox staff
• Five studios separated: Double Fine & Compulsion independent; Ninja Theory & Undead Labs being sold; Arkane under review
• id Software lost about half its staff; reports noted Microsoft had >2,200 H‑1B approvals this year