Teams across Xbox are still just beginning to feel the deep impact of this month’s 1,600 layoffs. Those cuts have now been revealed to include leadership at ZeniMax Online Studios, the team that makes The Elder Scrolls Online. Studio head Joe Burba, who took over last July after the last round of mass Xbox layoffs, is among those who will depart after 14 years at the company.
That’s according to a report by Game File on an internal memo shared with staff on July 15. Elder Scrolls Online executive producer Susan Kath, studio game director Rich Lambert, and production director Ala Diaz are also among the cuts. They told staff at ZeniMax Online that they would remain in place for the next few months as the team transitions to a new set of leaders.
“We have tremendous confidence in Josh and Nick, the future of this studio, and the continued growth of ESO,” Burba told staff in the message, according to Game File. “With exciting experiences still ahead for our players as we wrap up work for Update 51 and beyond, we believe that your passion, creativity, and commitment to each other and the community will continue serving as the heartbeat of ESO.”
A WARN Act notice filed with the state of Maryland showed 379 layoffs across Microsoft and subsidiary ZeniMax’s offices there, which include Bethesda Game Studios. The notice points to cuts to senior leader positions like Studio Operations Director, Studio Art Manager, and Vice President and Controller.
The cuts have led to concerns among some staff on the affected teams that game development would be negatively impacted as a result. “We want to take the time to evaluate the work in front of us and then lock down an updated schedule,” ESO‘s community manager announced once the Xbox layoffs began.

