The Elder Scrolls Online and Fallout 76 Teams Hit Hard by XBOX Layoffs

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  • The Elder Scrolls Online and Fallout 76 Teams Hit Hard by XBOX Layoffs

    The MMO teams from ZeniMax and Bethesda were hit "particularly hard."
    A large beast standing next to a sign that says, Welcome to Ohio.

    Several Fallout developers have shared that they lost their jobs as part of yesterday's mass layoffs across all of XBOX. Many of those who shared word of their layoff were quest designers on Fallout 76. This includes the former leader writer for Fallout: London, Stephanie Zachariadis, who was hired by Bethesda Game Studios in 2021.

    Zachariadis says, "After five years, I was just laid off from my job as a quest designer at Bethesda Game Studios.(...) If anyone has any openings for quest/narrative design, please feel free to reach out." Associate quest designer at Bethesda, Griffin DeClaire, was laid off. DeClaire says he had "just gotten notified of a raise on Friday, providing a false sense of security."

    Likewise, lead quest designer Joshua Moretto shared that he was also laid off.

    In unfortunate news, I (along with many of my peers on Fallout 76) have been laid off as part of the larger XBox restructuring. I'm proud of my 7 years on the project and my time helping to lead quest design for the game.

    To all my peers in the same boat, my sincere condolences, and to my peers still remaining, good luck.

    If anyone out there needs a 16-year industry veteran with quest and narrative experience, it would appear I'm back on the market.​
    Fallout 76's fate is unknown right now. Many fans are already fearing that the loss of such key individuals is the beginning of the end for the MMO.

    ZeniMax Online Studios was also hit hard by the layoffs. Kotaku, citing anonymous sources, called the layoffs "brutal." Shortly after the layoffs were announced yesterday, over 20 people already posted on LinkedIn that they were laid off from ZeniMax. Others announced their layoffs across other social media platforms. Some of those who say they were laid off were with the company for over ten years.

    Kotaku's sources believe that almost half of The Elder Scrolls Online development team was hit with layoffs.

    Community manager for Elder Scrolls Online, Jessica Folsom, took to the ESO official forums to provide an update for fans. In brief, Folsom says that the roadmaps that they had previously shared with the community "will be shifting."

    As we get ready to launch Season One this week, we wanted to reaffirm our commitment to The Elder Scrolls Online.

    Our team’s immediate focus is on launching Season One, which we're all excited for you to jump in.

    Looking beyond Season One, the roadmaps we previously shared will be shifting. We want to take the time to evaluate the work in front of us and then lock down an updated schedule. While we'd love to share a concrete details today, stepping back to get our plans straight will let us come back to you with a clear timeline.

    This game is nothing without you, our community. Thank you for sticking with us, and for everything you bring to Tamriel.

    - The ESO Team
    The Elder Scrolls Online has been around in one form or another since 2014. Though it got off to a rocky start, the game underwent some major revisions after release, propelling it into a rather successful MMO. In 2024, ESO pulled in $2 billion in revenue. There have also been eight major expansions released for ESO since release. The latest of these expansions, Solstice, just launched in June 2025. For 2026, the plan was to switch to a seasonal structure. That first season is expected to launch tomorrow, July 8th.

    In addition to the 1,600 layoffs that took place this week, another 1,600 layoffs are expected to hit all XBOX owned studios in the coming year.​
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