Microsoft is gearing up for significant layoffs within its Xbox division, marking the fourth round of cuts in just a year and a half

According to sources cited by the publication, many employees across the division will be affected. The company has declined to comment.

This will mark the fourth round of significant layoffs at Xbox in the past 18 months, with three rounds occurring last year. Additionally, Microsoft has closed several gaming studios. Leadership is pushing for increased profitability from Xbox, which handles both software and hardware.

Last week, Bloomberg noted that the company plans to lay off thousands, primarily in sales. The report highlights that Microsoft frequently undertakes organizational changes at the end of its fiscal year, which concludes on June 30.