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136 workers laid off at id software in major cutback

Update | 136 Workers Laid Off at id Software: A Heavy Blow to Gaming Talent

By

Chloe Kim

Jul 8, 2026, 06:59 PM

Edited By

Clara Evers

3 minutes of duration

A group of laid-off workers standing outside the id Software office, looking concerned and discussing their situation.
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In a significant shakeup, id Software has laid off 136 employees recently, stirring concern among the gaming community about the studio's future and the games it produces. These layoffs come amidst a backdrop of poor game performance and rumors of id transitioning to a support studio under Microsoft.

What Happened?

The layoff count signifies a massive portion of the workforce at id, which has been estimated at roughly 200 employees. With comments expressing dismay, one user stated, "This is the whole godamn studio," highlighting the severity of the cuts. Many are worried about the loss of talent, especially the skilled developers who worked on the renowned idTech game engine.

Key Issues Raised

Poor Game Performance

Concerns have emerged around the performance of recent titles, particularly Dark Ages, as one user noted, "Supposedly Dark Ages did not perform well." Lauded as Microsoft's best studio, it seems the decision to scale back comes in the wake of disappointing sales figures.

Transition to Support Studio?

Rumors of id Software becoming a support studio for other teams have circulated. This suggestion has drawn ire from the community. "I really hope the rumors arenโ€™t true, what an incredible waste of immense talent," voiced a concerned gamer.

Unionization Concerns

With the recent layoffs, the implications for unionized employees are stark. Comments suggest that many of those laid off may have been union members, with concerns about undermining the union's strength. "They probably laid off most of the 165 unionized members," one comment read, signaling dissatisfaction with labor practices at id.

"The engineering talent they are letting go will be irreplaceable," a user lamented, emphasizing the high caliber of developers affected.

Sentiment Among Gamers

The sentiments reflected in comments lean heavily towards disappointment and frustration. While some expressed hope for upcoming projects under the remaining team, skepticism prevails. Comments like, "Going to be a real somber Quakecon this year" shed light on the overall tone.

Key Insights

  • โš ๏ธ 136 employees laid off, drastically reducing id's workforce

  • ๐Ÿ“‰ Performance issues with Dark Ages raise questions about future titles

  • ๐Ÿ”’ Threat of becoming a support studio raises concerns among players

  • ๐Ÿ› ๏ธ Significant engine talent feared lost in the layoffs

The impact of these layoffs poses a serious question to gamers and industry watchers alike: What does this mean for the future of iconic franchises like Doom and Quake? As the community awaits further developments, the fate of id Software hangs in the balance.

Shaping the Horizon for id Software

In the wake of the layoffs at id Software, there's a strong chance that the studio will focus on fewer high-impact projects. Experts estimate around 50% of the remaining team may shift their efforts towards refining upcoming titles in hopes of reviving the company's reputation. Additionally, with the speculated transition to a support role under Microsoft, id may work more closely on projects for other studios, potentially limiting original content. If these trends continue, fans can overwhelmingly expect a shift away from blockbuster releases, positioning id as a reliable partner rather than a primary creator.

The Echoes of Sega's Shift

Drawing parallels to the early 2000s, when Sega transitioned from hardware to software, id Software's situation carries echoes of that time. Just as Sega adapted to survival by embracing its strengths in game development, id could pivot towards collaboration with other studios. The resignation of core teams doesn't always spell doom; instead, such shifts can offer a new canvas for creativity, just as Sonic found new life on various platforms. Sometimes, reinvention breeds unforeseen success, and id Software could find a fresh identity amid changing tides.