ZeniMax Online Studios, the developer behind The Elder Scrolls Online, has issued statements to reassure its player base regarding the game's future and the studio's operational capacity following substantial layoffs at Xbox. The job cuts, part of a wider restructuring of Microsoft's gaming division, affected Bethesda studios, including ZeniMax Online Studios in Cockeysville, MD, and ZeniMax Media Inc. in Rockville, MD, with a combined total of 379 employees impacted according to a Maryland WARN Act notice.
Bethesda leadership, including Bethesda boss Jill Braff, communicated to staff that these changes are necessary to address industry realities and ensure a more stable foundation for the company. Braff indicated a strategic shift from a studio-centric planning model to one that prioritizes strengthening core franchises and aligning resources to deliver content that best serves players.
Developers at ZeniMax Online Studios have communicated to fans that the team's size has returned to the level it was during the development of well-received downloadable content such as the 2015 Wrothgar DLC and the 2018 Summerset DLC. These comments, paraphrased by UESP Discord admin Baratron from an ESO Tavern event, were made by associate design director Jason Barnes and associate director of community management Jessica Folsom. They stated that the layoffs do not signal an end for ESO or a shift to a maintenance-only mode.
Kevin Gbolie, also from ZeniMax Online Studios, further reinforced this sentiment in a forum post, thanking players for their concern and stating, "The plan is still to deliver great content, and we will hopefully have an update soon." He noted his attendance at the Tavern event at the time.
Sources familiar with the studio indicated that ZeniMax Online Studios is supporting ESO's new season model and exploring closer collaboration with Bethesda Game Studios, potentially to aid in the development of The Elder Scrolls 6. This follows a similar reassurance from id Software, another studio hit by the Xbox layoffs, which stated it has returned to staffing levels comparable to the period when it developed the 2016 Doom reboot and remains capable of creating new titles.
While ZeniMax Online Studios and id Software project a positive outlook, the broader Xbox layoffs are ongoing, with over a thousand additional staff expected to be cut in the coming months. This continuing uncertainty creates anxiety among remaining employees who must continue game development amidst significant organizational changes.