id Software cuts 136 staff, halving headcount and putting id Tech engine future in doubt
Summary
Xbox layoffs cut 136 id Software staff - 96 in Richardson, Texas plus 40 remote - roughly half the studio
Remaining headcount matches Doom 2016-era size, but now must sustain id Tech, live DLC, and new development simultaneously
Departed staff say id Tech engine continuity is broken; Microsoft counters with "dozens" working across locations, unquantified
"To continue being produced long term, games need to succeed, not just be beloved."
01
id Tech engine is the cross-studio dependency now in question
id Tech underpins MachineGames, Tango Gameworks, and Indiana Jones and the Great Circle - making its maintenance a portfolio-wide risk, not an id-only issue
A departed staffer told Kotaku "id Tech as a technology is probably dead forever" after key engine personnel exits
Former VFX Artist Derek Best said the engine programmer behind particle editor and VFX pipeline gains was let go
Microsoft's counter - "there are dozens of people working on id Tech across multiple locations" - did not disclose Richardson headcount where the core team sat
02
Flat-studio model must now cover engine, live-ops, and new development at once
id's response reaffirmed structure: "We have always had a flat studio where everyone is a maker, and we will remain true to that philosophy moving forward" - id Software statement
Best's account says entire functional layers were removed, including VFX leads and producers, leaving one VFX artist
Doom 2016-era headcount operated without shipped live-service obligations; today id supports Dark Ages, Revelations DLC, and a new project
The flat model has never been stress-tested against simultaneous engine maintenance, live support, and greenlit development
03
Commercial marginality, not creative failure, drove the cut
Carmack: "I suspect that Id Software was a marginal business from Microsoft's perspective. I believe the reports that Minecraft revenues have been carrying several other studios"
id was between major projects when cuts landed, with Doom: The Dark Ages just shipped and no near-term revenue catalyst
Multiple pitches were rejected pre-layoff: Perfect Dark reboot, John Wick-style IP codenamed Fury, Western robot survival, co-op Doom - per GamesBeat
CEO Asha Sharma's franchise-refocus mandate closed id's path to any greenlit IP outside Doom, Quake, or Wolfenstein
Carmack declined to pursue an IP buyback, citing valuation "substantially more than my personal net worth", but offered $1M for Team Beef to commercialize legacy open-source id games on VR
What this means
For Publishers & Developers: id Tech licensees (MachineGames, Tango) should pressure-test engine roadmap commitments before scoping next projects on the platform
For Investors & VC: Xbox's franchise-only greenlight bar means marginal first-party studios with unshipped pitches are the next divestment or cut candidates
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SYNTHESIZED FROM:
- Doom dev Id is now "about the same size we were when making Doom 2016" after layoffs
- Id claims it has "the crew we need to build the games and tech we're known for" following mass layoffs | GamesIndustry.biz
- Id software plays down impact of layoffs, insists it still has enough staff to make ‘games and tech’ | VGC
- Doom studio Id Software pitched a Perfect Dark game before Xbox cuts | VGC
- John Carmack Addressed Id Software's Massive Layoffs
- Id Software founder John Carmack mourns layoffs: "Games need to succeed, not just be beloved"
- John Carmack responds to Id Software layoffs, admits Microsoft stewardship claim aging badly | VGC
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