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Microsoft's gaming layoffs will cause Activision's Toys for Bob physical office to close

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A few weeks after Microsoft announced it would eliminate 1,900 jobs in its gaming divisions, we are still learning more about the impact of those layoffs, especially at Activision Blizzard.

The San Francisco Chronicle reported that the physical offices of Activision's Toys for Bob development studio will close in Novato, California. The studio was first formed in 1989 and became well known for creating the Star Control series of space strategy titles. Activision acquired Toys for Bob in 2005. The studio then created the popular Skylanders series of games. Still, after the studio's founders departed in 2020, Toys for Bob became a support studio for the Call of Duty game series.

The closure of the physical offices also meant that 86 people at Toys for Bob lost their jobs. The remaining employees will reportedly work remotely, according to online reports from sources like Windows Central's Jez Corden on X.

Game Developer also reported that, according to WARN notices from the state of California's Employment Development Department, 76 team members were laid off at Activision's Sledgehammer Studios. It was the main team behind the development of the latest Call of Duty game, Modern Warfare III.

Call of Duty's original developer Infinity Ward was hit with 49 job cuts, and Activision's corporate office was affected by 79 team members losing their employment. Blizzard got hit the most, with 479 jobs cut in its Irvine, California headquarters, along with another 130 jobs cut in its Santa Monica office.

Earlier this week, the US Federal Trade Commission, which is still trying to undo Microsoft's purchase of Activision Blizzard, sent a complaint to the US Appeals Court, which is handling the case. The FTC claims Microsoft's mass layoffs contradict the company's previous claims that Activision Blizzard would be operated as a separate entity after the acquisition was completed.

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