Xbox Layoffs Raise Concerns Over The Elder Scrolls 6 and Bethesda’s Future

by · OnMSFT

Xbox layoffs have raised fresh concerns around Bethesda Game Studios, especially because The Elder Scrolls 6 remains one of the most awaited games in Microsoft’s portfolio. The concern comes from reports that Xbox leadership wants to focus more on major franchises, while the same studios behind those franchises have still faced deep staff cuts.

The issue looks confusing because Xbox has reportedly been betting more heavily on names like The Elder Scrolls, Fallout, Halo, DOOM, and Wolfenstein. These are the franchises that usually need long development cycles, experienced teams, and strong technical support, yet several studios connected to these games have reportedly lost important staff.

Bethesda Game Studios Union said the layoffs were not only aimed at management roles, as the studio also lost programmers, artists, designers, and testers. The union added that many of these employees had worked at Bethesda for decades, which raises questions about how the cuts affect future projects, including The Elder Scrolls 6.

The timing also matters because The Elder Scrolls 6 is still reportedly two to three years away. That means the game needs steady development support now, especially after years of fan expectations following Skyrim’s massive success.

The cuts at id Software have also drawn attention, as the DOOM studio reportedly lost many coders. That matters because idTech has long been a major part of the studio’s identity, and losing technical talent creates concern about how future games will handle engine development.

Microsoft may still continue investing in its biggest franchises, but these layoffs have left fans unsure about the actual plan. If Xbox wants faster and stronger releases from Bethesda, id Software, and other major teams, cutting experienced staff makes that goal harder to understand.