Blizzard Entertainment is reportedly facing imminent layoffs, according to Bloomberg reporter Jason Schreier. This news follows a significant BlizzCon 2026 event where the company unveiled several new titles and a well-received beta for World of Warcraft: Forever.
Schreier, speaking on the 8-4 podcast, confirmed that Blizzard layoffs are expected soon. He addressed speculation that the extensive game announcements at BlizzCon, including Diablo 5, a StarCraft open-world shooter, and a new World of Warcraft game, were a response to looming job cuts. However, Schreier believes these announcements were planned well in advance, predating the current executive leadership. He suggested that the long projected release dates, some as far as 2030, reflect a new internal discipline to meet shipping targets, a contrast to past issues with titles like Diablo 4 and Overwatch 2 experiencing significant delays.
Schreier indicated that Blizzard president Johanna Faries has considerable autonomy and that these announcements were not directly influenced by Microsoft's internal decisions. He stated that the BlizzCon preparations were completed before the initial wave of Microsoft layoffs in July.
This development coincides with reports of a second wave of job cuts expected across the Xbox division this week. Microsoft had previously announced its intention to eliminate 3200 roles from its gaming division earlier this year, with initial cuts affecting 1600 positions. While Blizzard was initially seen as unaffected and even highlighted as Xbox's top-performing studio, it may now be subject to further reductions.