Microsoft has filed a WARN notice confirming the loss of 379 ZeniMax positions in Maryland, with 213 of those at ZeniMax Online Studios, the developer of The Elder Scrolls Online. The cuts take effect September 4, 2026, marking another round in Xbox's ongoing restructuring under new leadership.

This follows earlier layoffs at the studio in June 2025 and coincides with broader Xbox reductions of 3,200 roles announced this week, part of a larger 4,800-position trim across Microsoft. ZeniMax Media Inc. accounts for the remaining 166 Maryland cuts.

The studio unionized with 461 workers in 2024, mostly in Maryland, while the ESO team has stated that roadmaps will shift as they evaluate plans after the current season launch. It remains unclear how many staff will remain at the studio.