Xbox layoffs hit union workers 🎮 Sony disc petition 170k strong 📀
2026-07-08 · 7 stories · 21 min read
Top Stories
Microsoft's Xbox layoffs affected hundreds of Communication Workers of America union members among the 3,200 positions eliminated and five studios divested. The CWA said it will take "all necessary legal and contractual action" to defend members, including bargaining for fair severance, vendor-contract decisions, internal placement, and recall rights. CWA District 6 vice president Derrick Osobase said the layoffs "decimated the teams" at Id Software, Bethesda Game Studios, and ZeniMax Online Studios. Xbox responded that it respects workers' rights and has a "long track record of good faith partnership" with labour organisations. (GamesIndustry.biz)
A Change.org petition opposing Sony's decision to end PlayStation physical disc manufacturing in January 2028 has gathered over 170,000 signatures. Started by Canadian retailer PNP Games, the petition argues that Sony's move eliminates consumer ownership rights, reduces marketplace choice, and harms game preservation—contrasting the company's 2013 E3 promise that players could trade, sell, lend, or keep games forever. The petition warns that when the market leader abandons physical media, the rest of the industry will follow. (Eurogamer)
Business & Finance
Supercell starts developer grants program for African studios (4 min read)
Supercell launched a developer grants program offering $20,000–$200,000 in non-dilutive funding to African game studios. Applications close August 9, with three to five studios expected to be selected. Grants require studios to be legally registered with primary operations in Africa and retain full IP ownership. (Game Developer)
Nexon to assume publishing duties for Overwatch on PC in South Korea (2 min read)
Blizzard transferred Overwatch PC publishing duties in South Korea to Nexon, effective August 12. Blizzard retains IP ownership and game development leadership while Nexon handles live operations and business. Both companies will hire local talent to support the hyper-localized service. (GamesIndustry.biz)
Studios & People
Atari appointed former CTO Andreas Deptolla as president of Atari Europe, overseeing ~100 employees across UK and Swedish studios. Deptolla will report to CEO Wade Rosen, while Coatsink CEO Richard Snowdon becomes vice president of Atari Europe. (GamesIndustry.biz)
AI/Tech & Tools
A survey of 3,800 Steam players found 43% are fine with or have no problem with AI in games, while 31% have concerns and only 8% would refuse to play AI-enabled games. The results suggest player acceptance of AI may be higher than perceived industry opposition. (GamesRadar)
Culture & Community
Doom co-founder John Romero expressed condolences to id Software staff affected by layoffs (roughly 50% of the team) and urged preservation of the studio's history and legacy. Romero noted he has archived id's complete early history from Softdisk through August 1996 and called for ongoing documentation of the studio's work, code, and stories. (Kotaku)
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