While Sony is avoiding any cuts to its games division, Microsoft is taking a very different approach. Details are still trickling in, but it appears significant changes are being made to Microsoft's Entertainment and Devices (E&D) division as part of the previously announced plans to axe 5,000 jobs. ZDnet's Mary Jo Foley has heard the E&D division will represent "the bulk" of Microsoft's immediate cuts.
Already, one of their internal studios, ACES, is confirmed shut down. The studio was responsible for the Flight Simulator series. Dean Takahashi from Venture Beat has also learned that 30 percent of the company's video game testers have been laid off. It appears this may be just the beginning of a larger shakedown for the Xbox and PC gaming parts of Microsoft. Takahashi also notes that "the game group is expected to undergo a management restructuring" next week.
Microsoft has yet to release an official comment. Stay tuned as we'll keep a close eye on this situation.
[Via GameDaily]
Reader Comments (75)
Posted: Jan 23rd 2009 2:22PM Johnnynumber5 is powered by cell said
(random Thought)
I worked as a tester at EA Tiburon and it was like a seasonal gig. I tested for two consecutive years and each game being a Madden title. We worked throughout the entire development process constantly testing each build.
I know people think Madden is the same game every year with new rosters but they really put allot of work into the game each year in trying to make the gameplay experience realistic. Suddle changes that the majority of Madden gamers will never notice in addition to the added feature set each year.
Perhaps the biggest part of testing a Madden game was the player attributes algorythm. They use an equation for each position to come up with the player ratings. You would have to constantly try to find exploits or bugs that made one player unstopable. On many occassions they would make changes to players on an individual basis instead of tweaking the equation.
It was fun but being a game tester isn't all it's cracked up to be. By the time the game releases I would be so sick of it I couldn't fathom playing it at all.
Reply
I worked as a tester at EA Tiburon and it was like a seasonal gig. I tested for two consecutive years and each game being a Madden title. We worked throughout the entire development process constantly testing each build.
I know people think Madden is the same game every year with new rosters but they really put allot of work into the game each year in trying to make the gameplay experience realistic. Suddle changes that the majority of Madden gamers will never notice in addition to the added feature set each year.
Perhaps the biggest part of testing a Madden game was the player attributes algorythm. They use an equation for each position to come up with the player ratings. You would have to constantly try to find exploits or bugs that made one player unstopable. On many occassions they would make changes to players on an individual basis instead of tweaking the equation.
It was fun but being a game tester isn't all it's cracked up to be. By the time the game releases I would be so sick of it I couldn't fathom playing it at all.
Posted: Jan 23rd 2009 2:24PM Johnnynumber5 is powered by cell said
To answer your question at EA we were pretty much contract workers and not full time employees with benefits.
Reply
Posted: Jan 23rd 2009 2:16PM ScottG13 said
Death of Flight Simulator? That'd be tragic.
Posted: Jan 23rd 2009 2:17PM Deck said
I am really sorry for those who have lost their jobs. It really sucks. Living in Seattle, this really hits closer to home for me. Sad to see Microsoft going through this as well, but I guess it isn't THAT shocking.
I hope that the 360 section doesn't get hit that bad. Which I don't think it will, due to the fact that it has done well. Though I guess we will have to see just who gets hit as the information comes out a bit more.
I hope that the 360 section doesn't get hit that bad. Which I don't think it will, due to the fact that it has done well. Though I guess we will have to see just who gets hit as the information comes out a bit more.
Posted: Jan 23rd 2009 2:19PM acefondu said
Does it bother anyone else they chose to cut testers? You know, since MS above all others need them. I mean they were the ones that told MS the 360's were breaking, MS ignored them, shipped out the 360's anyway, and that little move cost them billions. I would suggest MS keep their testers, but whatever, we'll get more broken 360's and games. Well done MS.
Posted: Jan 23rd 2009 2:39PM babya said
So-with ACES shut dowm, does this mean Flight Simulator X is the last version?
It'll be sad for me-as I'm a avid MS Flight sim fan.
It'll be sad for me-as I'm a avid MS Flight sim fan.
Posted: Jan 23rd 2009 4:29PM (Unverified) said
What is wrong with Microsoft?
First Vista,then they shut down Ensemble and now this?
Did Steve Jobs created a mind controlling device and is using it on MS executives or something.
Then again it makes sense Flight Simulator never was very popular but it was one heck of a game.
Reply
First Vista,then they shut down Ensemble and now this?
Did Steve Jobs created a mind controlling device and is using it on MS executives or something.
Then again it makes sense Flight Simulator never was very popular but it was one heck of a game.
Posted: Jan 23rd 2009 2:42PM (Unverified) said
I bet it's because of the new management...
Ehh this is going to end poorly.
Fire an executive, seriously.
Ehh this is going to end poorly.
Fire an executive, seriously.
Posted: Jan 23rd 2009 2:50PM (Unverified) said
**pinky on corner of mouth**
"ONE THOUSAND-MILLION DOLLARS... MUAHAHAHAHAHA!!!"
"ONE THOUSAND-MILLION DOLLARS... MUAHAHAHAHAHA!!!"
Posted: Jan 23rd 2009 2:54PM AwesomeTown said
Enough to save the grossly overpaid employees to not have to take pay cuts.
Posted: Jan 23rd 2009 3:14PM LaughingTarget said
For a second, I thought the post said Dean from the Venture Bros. had something to say about the situation.
Posted: Jan 23rd 2009 3:30PM Johnnynumber5 is powered by cell said
5,000 (employees) X $50,000 (avg annual salary) = $250,000,000 (saved). That's assuming the number of employees is exactly 5,000 and their salaries average to be exactly $50,000.
Let's just say that 25% of the 5,000 employees made $100,000 annualy, another 25% of them made $75,000 annualy and the remaining 50% of the employees made $50,000 annualy.
1,250 employees = $125,000,000
1,250 employees = $93,750,000
2,500 employees = $125,000,000
All 5,000 employees would then save them $343,750,000. In all honesty any way you slice it does seem like a drop in the bucket for MS.
Let's just say that 25% of the 5,000 employees made $100,000 annualy, another 25% of them made $75,000 annualy and the remaining 50% of the employees made $50,000 annualy.
1,250 employees = $125,000,000
1,250 employees = $93,750,000
2,500 employees = $125,000,000
All 5,000 employees would then save them $343,750,000. In all honesty any way you slice it does seem like a drop in the bucket for MS.
Posted: Jan 23rd 2009 3:31PM babya said
Kelda Rericha of Edelman, Microsoft's public relations firm in a statement has said:
" According to Rericha, "We are committed to the Flight Simulator franchise which has proven to be a successful PC based game for the last 27 years. You should expect us to continue to invest in enabling great LIVE experiences on Windows, including flying games, but we have nothing specific to announce at this time.""
From:
http://ve3d.ign.com/articles/news/44185/Microsoft-Confirms-Flight-Sim-Studio-Closure
" According to Rericha, "We are committed to the Flight Simulator franchise which has proven to be a successful PC based game for the last 27 years. You should expect us to continue to invest in enabling great LIVE experiences on Windows, including flying games, but we have nothing specific to announce at this time.""
From:
http://ve3d.ign.com/articles/news/44185/Microsoft-Confirms-Flight-Sim-Studio-Closure
Posted: Jan 23rd 2009 3:52PM (Unverified) said
That GundamWingEW D-bag disappeared real quick once this story hit; the only good thing to possibly come out of this. Some people need to learn to hold in their diarrhea of the mouth.
http://www.joystiq.com/2009/01/22/sony-games-division-expects-increased-loss-of-337-million/
I was hoping they would just have to lay off the morons who made Vista such a travesty.
http://www.joystiq.com/2009/01/22/sony-games-division-expects-increased-loss-of-337-million/
I was hoping they would just have to lay off the morons who made Vista such a travesty.
Posted: Jan 23rd 2009 4:17PM (Unverified) said
Its funny this blog is.
Sony announces LESS revenue w/o job losses and we here OMG Sony is doomed, haha Sony and a shit-ton of negativity and sarcasm.
Microsoft announces LAYOFFS in the gaming division and we get a serious discussion and not one peep of a ha ha and OMG MS is doomed.
Yet again the MS/Sony double standard rears its ugly head. It just PROVES yet again that this site has DEvolved into a baseless mostly MS fanboy Sony hater blog.
Oh well, I won't care anymore about this BS come Feb. 5th and 27th.
Reply
Sony announces LESS revenue w/o job losses and we here OMG Sony is doomed, haha Sony and a shit-ton of negativity and sarcasm.
Microsoft announces LAYOFFS in the gaming division and we get a serious discussion and not one peep of a ha ha and OMG MS is doomed.
Yet again the MS/Sony double standard rears its ugly head. It just PROVES yet again that this site has DEvolved into a baseless mostly MS fanboy Sony hater blog.
Oh well, I won't care anymore about this BS come Feb. 5th and 27th.
Posted: Jan 23rd 2009 4:55PM (Unverified) said
How did I miss that verbal hemorrage? In the words of Hedberg, "Awwww fuck."
Reply
Posted: Jan 23rd 2009 4:40PM (Unverified) said
What a lucky group of guys! Change really has come- what's that? Laid OFF? Oh, tough break.
Posted: Jan 23rd 2009 4:40PM sk8monroe81 said
1) you get rid of all employment liability issues, by firing employees for contractors.
2) you not only save money on their salaries, but you have to consider all the costs you guys are leaving out should the employee stay for a few years that could cost microsoft money for many years after the employeee retires, such as: employment taxes, workers compensation insurance, employment liability insurance, benefits, retirement package, stock options, etc, etc...
2) you not only save money on their salaries, but you have to consider all the costs you guys are leaving out should the employee stay for a few years that could cost microsoft money for many years after the employeee retires, such as: employment taxes, workers compensation insurance, employment liability insurance, benefits, retirement package, stock options, etc, etc...
Posted: Jan 23rd 2009 4:42PM sk8monroe81 said
a game tester would be one of the easiest job titles to classify as an independent or sub-contractor with the IRS and any state in america.
Posted: Jan 23rd 2009 8:52PM Lennoko said
Random Question: Anyone else love the Windows 7 beta? I think it rocks, Vista with out the massive System hogging.
Posted: Jan 23rd 2009 10:45PM Starcade said
I'm really surprised Microsoft never exploited Flight Simulator as something they could have on the Xbox 360.
Posted: Jan 30th 2009 4:48PM (Unverified) said
There's no way to make FS work on an XBox. Flying using a pad it's almost impossible unless you took away all the realims. To fully exploit a flight simulator, you'd need a stick or a yoke, throttle controls, pedals. You have to learn to fly - and it takes time, dedication, and patience. Otherwise you just get an FPS with a plane instead of a warrior - but that's not FS.
Reply
Posted: Jan 24th 2009 1:01PM ZippyDSMlee said
Oh boy now those 50$ 360 games will ahve less bug work done on them!!





