Bethesda Game Studios Game Director Todd Howard demonstrates Fallout 4 at the Xbox E3 2015 Briefing in Los Angeles. (Matt Sayles/Invision for Microsoft)
A fresh round of layoffs is hitting Austin’s video game sector, this time affecting Bethesda Game Studios, part of Microsoft-owned ZeniMax Media Inc., the company behind some of gaming’s biggest franchises.
ZeniMax is cutting 22 jobs at Bethesda‘s Austin office, 96 jobs at its Richardson operation and 40 remote jobs tied to that North Texas site, according to a notice it filed with the Texas Workforce Commission.
In all, the company plans to cut 158 Texas jobs, with layoffs effective Sept. 4.
ZeniMax, based in Rockville, Md., is the parent company of publisher Bethesda Softworks and several major game studios, including Bethesda Game Studios, id Software, MachineGames and ZeniMax Online Studios. Its studios are tied to some of the industry’s most storied series, including “The Elder Scrolls,” “Fallout,” “Doom” and “Wolfenstein.”
Microsoft acquired ZeniMax in 2021 under the umbrella of its Xbox business. The tech titan further expanded that business in 2023 with its $69 billion acquisition of Activision Blizzard, which also has an Austin presence.
The affected Austin office is at 9420 Research Blvd., Suite 200. The Richardson office is at 1500 N. Greenville Ave., Suite 700.
The Texas layoffs come as Microsoft continues to restructure its gaming business. Earlier this week, Microsoft said it was cutting 4,800 jobs globally, including 1,600 Xbox workers. Last year, Microsoft also announced about 9,000 job cuts, with Xbox hit especially hard and ZeniMax among the affected units.
The Austin cuts also come after Microsoft’s 2024 closure of Arkane Austin, the local studio known for “Dishonored,” “Prey” and “Redfall.”
There have been other recent hits to Austin’s gaming scene. In January, Facebook and Instagram parent company Meta shut down Austin-area gaming studios Armature Studio and Twisted Pixel Games, along with Sanzaru Games’ local operations, and cut at least 100 Austin jobs as part of larger layoffs in its Reality Labs division.
This article originally published at Austin video game jobs cut as Microsoft-owned ZeniMax plans 158 Texas layoffs.