Gaming Industry Layoffs Surpass 10,000 In 2026 As Job Cuts Continue

Gaming Industry Layoffs At Its High In 2026 Gaming Industry Layoffs At Its High In 2026

Key Takeaways

  • Gaming companies have cut 10,977 jobs in 2026, more than the full-year 2025 figure.
  • ASGC expects the total to reach 13,077 by the end of December.
  • BioWare, Sucker Punch and Supermassive Games are among the studios affected.
  • Arkane Lyon and DON’T NOD have also announced plans that could affect their staff.

The gaming industry has already lost over 10,000 jobs this year, and the numbers are still going up. The ASGC Games Industry Layoffs Tracker puts the number at 10,977 as of October 20. That’s higher than the 9,197 layoffs recorded during the whole of 2025. The tracker expects more cuts before the year ends, putting its current estimate at 13,077.

Several well-known developers have been caught up in the reductions, including BioWare, Sucker Punch Productions and Supermassive Games. Microsoft has also announced thousands of planned job cuts across its Xbox division. The 2026 figure hasn’t reached the 15,631 recorded in 2024, but it has already passed last year’s total with two months still left.

Gaming Industry Layoffs Surpass 2025 Figures As ASGC Updates Its Forecast

Looking at the numbers from previous years, 2024 remains the worst year in the tracker, with 15,631 reported job losses. The total was at 8,500 in 2022 and 10,500 in 2023 before reaching that high. Layoffs then fell down to 9,197 in 2025. This year has already gone past that with 10,977 reported job losses between January 1 and October 20. ASGC has recorded 148 layoff events so far in 2026.

North America accounts for 64% of them, while Europe makes up around 32%. The tracker also estimates that its five largest layoff events account for roughly 49% of all recorded job losses. The year-end estimate has changed a little over the past month. ASGC had projected 13,812 layoffs in its September 28 update, but its current estimate is 13,077.

Microsoft’s Xbox restructuring is part of that calculation. In July, Xbox CEO Asha Sharma announced plans to make around 3,200 positions redundant. Approximately 1,600 cuts were scheduled immediately, with the rest expected later. ASGC has included the remaining reductions in its 2026 forecast, but some of those jobs could be affected in 2027 instead.

The ASGC Games Industry Layoffs Tracker updates its count as new company announcements come in. The final figure for 2026 will depend on how many of the planned cuts actually take place before the year ends.

BioWare, Sucker Punch And Other Studios Face Workforce Reductions

Some of the better-known names on this year’s layoff list include developers behind long-running game franchises. Electronic Arts announced on October 21 that it would close BioWare, ending the studio’s work on the next Mass Effect game, which was still in early development.

BioWare is known for Mass Effect and Dragon Age, two RPG series that have been part of its catalogue for years. Sucker Punch Productions has also confirmed layoffs. The studio behind Ghost of Yotei let go of 24 employees while reviewing the staffing needs of its next project with the studio pointing to market conditions and the requirements of its upcoming work. Supermassive Games has gone through another round of job cuts, with more than 70 employees reportedly affected. The developer had announced possible redundancies in August, and the actual layoffs were reported in October.

Not every studio on the list has confirmed layoffs. Arkane Lyon has around 217 positions at risk while Microsoft explores options for the developer. DON’T NOD has also announced a restructuring plan that could affect up to 85 positions in France. In its October 20 financial update, the company said it planned to reorganise its French operations around a single production line.

Layoffs aren’t the only problem smaller developers have to deal with. Getting a game noticed can be difficult when so many titles are competing for attention, and independent studios often have fewer resources to work with. With early access games becoming a trend in the industry, indie developers are naturally having a harder time, because these AAA titles tend to steal the spotlight from the very beginning.

There are still two months left in 2026, so the final number could change again. For now, the industry has already recorded more layoffs than it did throughout 2025, and ASGC expects the total to climb further before December.

Mayank Kumar
Mayank Kumar

Mayank Kumar is a gamer since 2006, who began his journey with the Game Boy and Nintendo DS. Over the years, gaming has evolved into a core passion, leading him to participate in tournaments, stream online, and engage with a thriving global gaming community.

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