A senior Xbox Game Studios executive has drawn significant criticism for advising recently laid-off gaming professionals to utilize artificial intelligence tools during their career transitions. On July 2, 2025, Microsoft announced substantial workforce reductions impacting about 4% of its employees (approximately 9,000 workers), with significant cuts across its gaming divisions. The restructuring led to studio closures including The Initiative, cancellation of anticipated titles like the Perfect Dark reboot and Rare's Everwild, and staff reductions at major Xbox developers such as Turn 10 Studios, known for the Forza Motorsport franchise.

In a since-deleted LinkedIn post, Xbox Games Studios executive producer Matt Turnbull suggested displaced workers employ AI technology to "alleviate the psychological burden of job loss." While acknowledging the controversial nature of AI tools, Turnbull defended his recommendation as well-intentioned advice, providing specific AI prompt examples for career planning, professional networking, and managing impostor syndrome.

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The suggestion triggered immediate backlash from industry professionals and affected Microsoft employees. Eric Smith, a ZeniMax Online producer impacted by the layoffs, responded bluntly: "Read the room dude." Game designer Paul Murphy criticized the approach, urging respect for professionals' capabilities in managing their own career transitions without AI assistance.

This latest round of layoffs follows Microsoft's earlier 2025 workforce reduction of 6,000 employees. Combined with 2023-2024 cuts, the company has eliminated over 25,000 positions in three years, disproportionately affecting its gaming divisions. The timing of Turnbull's advice appears particularly insensitive given Microsoft's massive $80 billion AI infrastructure investment in 2025, bringing its total AI expenditure beyond $100 billion - investments many fear will replace human jobs.