Microsoft's latest Xbox layoffs have reportedly gutted the Age of Empires studio, cancelling its next game

Credit: World's Edge Published Sep 27, 2026, 1:03 PM EDT Simon is a Computer Science BSc graduate who has been writing about technology since 2014, and using Windows machines since 3.1. After working for an indie game studio and acting as the family's go-to technician for all computer issues, he found his passion for writing and decided to use his skill set to write about all things tech. Since beginning his writing career, he has written for many different publications such as WorldStart, Listverse, and MakeTechEasier. However, after finding his home at MakeUseOf in February 2019, he would eventually move on to its sister site, XDA, to bring the latest and greatest in Windows, Linux, and DIY electronics. Sign in to your XDA account Summary Ex-Age of Empires devs report the World's Edge studio was cut roughly in half in layoffs. World's Edge's next Age of Empires project was reportedly cancelled amid the reorganisation. Microsoft says it completed over three-quarters of planned Xbox layoffs; more cuts to come. A few days ago, Microsoft announced a huge reshuffle of its studios, which included a lot of layoffs and resulted in Activision taking over the Halo franchise. However, it seems the damage went further than what Microsoft announced. We're seeing reports come in across the internet from former developers of Age of Empires, who claim that the studio was cut in half and a new game was cancelled. Age of Empires' next project has been cancelled, claims ex-devs The layoffs hit the studio pretty hard Credit: World's Edge As spotted by PC Gamer, developers from Age of Empires' current studio, World's Edge, have popped up on social media to report being laid off. One appeared on the ResetEra forums claiming that "just under half the studio was let go," and Adam Isgreen took to LinkedIn to lament the end of a 16-year career, saying the team "had some great plans for what's next." Andrew Martz, who worked as a Senior Software Engineer at World’s Edge, shed a bit of light on what the layoffs meant for the Age of Empires series: "Well, after getting laid off from Xbox last May and performing a small miracle by finding a new role at Xbox's World's Edge studio in February of this year, I am once again on the job hunt. Today our studio was reorganized to be under the Activision umbrella. As part of that reorg, our next project was cancelled and a large chunk of our studio was laid off. I was part of that layoff." It's worth remembering Microsoft's statement about the layoffs a few days ago, saying that it had only performed three-quarters of its planned Xbox layoffs, so unfortunately, this won't be the last time we'll hear of games never coming to light due to people being let go.