Month: January 2024

Microsoft is laying off 1,900 workers, making up almost 9% of the company’s gaming division. According to an internal memo from Microsoft Gaming CEO Phil Spencer shared via CNBC, the layoffs were part of a plan to cut down on “areas of overlap,” after Microsoft acquired Activision Blizzard for $69 billion.  Microsoft first sought to acquire Activision Blizzard, which develops the ‘Call of Duty’ and ‘Diablo’ franchises, as well as ‘Candy Crush Saga’ through its mobile gaming subsidiary King, in January 2022, however, the acquisition was put on hold until late last year as it faced scrutiny from regulators in the United States and Britain.

Spencer’s memo read: “We have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax and the Xbox teams, and they should be proud of everything they’ve accomplished here.”  Spencer added that Microsoft would “provide our full support to those who are impacted during the transition, including severance benefits informed by local employment laws. Those whose roles will be impacted will be notified, and we ask that you please treat your departing colleagues with the respect and compassion that is consistent with our values.”

In addition to the layoffs, former Blizzard president Mike Ybarra announced Thursday on X Thursday that he is leaving Microsoft and Blizzard: “I want to thank everyone who is impacted today for their meaningful contributions to their teams, to Blizzard, and to players’ lives. It’s an incredibly hard day and my energy and support will be focused on all those amazing individuals impacted – this is in no way a reflection on your amazing work. If there’s anything I can help with, connections, recommendations, etc., DM me.”

Microsoft’s game and studios president Matt Booty said in an internal memo that Ybarra decided to leave the company now that he has “seen the acquisition through as Blizzard’s president,” and a new Blizzard president would be named next week.  Booty also said that Allen Adham, Blizzard’s chief design officer, has also left the company: “Allen has had a broad impact on all of Blizzard’s games. His influence will be felt for years to come, both directly and indirectly as Allen plans to continue mentoring young designers across the industry.”

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On Thursday, former Trump White House adviser Peter Navarro was sentenced to four months in jail and ordered to pay a $9,500 fine on two charges of contempt of Congress, after his refusal to comply with a subpoena related to a House committee investigating the Jan. 6, 2021, attack on the U.S. Capitol.

Navarro, 74, was found guilty of failing to comply with subpoenas the House select committee investigating the Capitol riots requesting that he provide documents and testimony, claiming former President Donald Trump gave him executive privilege. U.S. District Judge Amit Mehta said in court that Navarro’s punishment was of his “own making” and criticized the former Trump adviser for claiming his prosecution was politically motivated. Judge Mehta said during the sentencing hearing: “I guess what bothers me ultimately is that here we are after a year and a half plus and you still want to suggest to me that this is a political prosecution. You want me to believe this is a political prosecution. When the evidence is completely to the contrary.”

Navarro, 74, told Judge Mehta at his sentencing hearing in federal court Thursday that he had “an honest belief” that executive privilege had been invoked by former President Donald Trump when he received the subpoena — an argument that prosecutors had disputed at trial. The prosecution previously had asked Mehta to impose a prison sentence of six months and a fine of $600,000. Navarro’s council sought a lesser sentence not exceeding six months of probation and a fine of $100,000. The implementation of Mehta’s sentence could be delayed as Navarro’s attorneys have hinted they will appeal his conviction.

The Justice Department said in a filing ahead of the sentence: “The defendant, like the rioters at the Capitol, put politics, not country first and stonewalled Congress’ investigation. The defendant chose allegiance to former President Donald Trump over the rule of law.”

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