The Elder Scrolls Online development team at Zenimax Online Studios has reportedly been heavily impacted by recent layoffs across Xbox. Sources speaking to Kotaku indicate that the cuts have been severe, with many individuals being laid off shortly after receiving invitations to group HR meetings.
Over 20 employees have publicly announced their departure from Zenimax on LinkedIn, many of whom had long tenures with the company, some exceeding ten years. While the exact total number of affected individuals within the ESO team remains unknown, internal sources suggest that up to half of the development staff may have been let go.
In a statement on the official Elder Scrolls Online forums, community manager Jessica Folsom acknowledged the situation, stating, "We want to reaffirm our commitment to The Elder Scrolls Online." However, she also confirmed that "the roadmaps we previously shared will be shifting." The team plans to re-evaluate their current projects and subsequently establish a new, concrete schedule. "While we’d love to share concrete details today, stepping back to get our plans straight will let us come back to you with a clear timeline," Folsom added.
Sources within Zenimax, including both those who were laid off and those still employed, have expressed significant concern regarding the future functionality of The Elder Scrolls Online given the reduced staff size. The game, which launched in 2014 after a seven-year development cycle, has generated approximately $2 billion in revenue and amassed 24 million players. It has received eight major expansions, with its latest, Gold Road, released in June 2024.
This is not the first time the Elder Scrolls Online team has faced significant workforce reductions. Last year's layoffs led to the cancellation of an internal project known as "Project Blackbird." In recent years, developers at Zenimax have formed two unions, one for QA and another for the broader development team, both of which have joined the Communications Workers of America (CWA) to negotiate layoff terms for affected workers.