Layoffs looming, Xbox union members argue for transparency and good-faith bargaining

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**Amran Shaikh** (0:30)
Layoffs looming, Xbox Union members argue for transparency and good faith bargaining. More on that coming up at first. We're likely coming up on another Samsung Unpacked event, but the brand has dropped some teasers about what we'll be seeing when the next showcase does happen. A series of new videos shared to social media point to a different ratio in the works for Samsung's next foldable. While there aren't any images of the phone itself yet, the videos all draw attention to objects, a broken chocolate bar, a lightly decapitated puzzle, etc.,
that deviate from standard smartphone dimensions. The new proportions appear to be shorter and stockier than most comparable devices on the market, which are trying to mimic the rough size of a typical smartphone when they're closed, just with added thickness. Taking this boxier form while folded means you'll likely get more of a widescreen experience when the smartphone is in its open configuration instead of that mode feeling like a blockier tablet. We had already heard rumors that Samsung was looking to experiment with a wider foldable for its next product, and this all but confirms that the change is coming. It's tough to gauge whether this new approach marks a permanent shift or whether it'll be a limited run, like its intriguing but short-lived Galaxy Z Trifold. We'll likely learn more about Samsung's intentions when Unpacked does roll around.
Also, Sony has announced that PlayStation is going all digital, with physical game disc production being discontinued starting January 2028 After this date, you'll only be able to purchase new games digitally on the PlayStation Store and in retailers. Sony says its decision is a response to shifting trends in consumer preference, with digital sales significantly outweighing physical. Last year, physical game distribution accounted for just 3% of PlayStation's revenue, and the fact that the PS5 Pro launched in 2024 without a disc drive was a pretty good indication of Sony's future direction. Remember, you can find the latest Engadget news, reviews, price drops, and more right now at engadget.com.

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**Amran Shaikh** (3:13)
Rumor has it that Microsoft is preparing to enact mass layoffs across its gaming division this July. Following multiple reports out of Bloomberg Plus, recent comments made by new Xbox CEO Asha Sharma and Chief Content Officer Matt Booty. The Communications Workers of America Union, which represents thousands of video game employees at Microsoft and beyond, is preparing to negotiate for employee protections while calling for transparency from executives and demanding basic dignity for developers. Sharma and Booty led the groundwork for layoffs in early June with a memo marking the first 100 days of new Xbox leadership. We have found ourselves overextended as we executed unchanging strategies in a landscape of more readily available content, the pair wrote. Including the hard-fought acquisition of Activision Blizzard King, which cost Microsoft $69 billion in 2023, Xbox spent more than $89 billion in investments and studio support over the past five years, while the segment's annual revenue declined by nearly half a billion dollars, the memo stated. Going forward, this cannot continue, Sharma and Booty wrote ominously. Bloomberg simultaneously reported that Xbox was planning substantial layoffs in July, right after the end of Microsoft's fiscal year. A few days later, reports emerged that Xbox was shuttering or selling off three of its studios, Double Fine, Ninja Theory, and Compulsion Games.
During a media call on June 29th, CWA offered a clear message for Xbox leadership. We're here to say this plainly. Those workers will not be treated as disposable, CWA District 9 Vice President Frank Arce said. He argued that the money is there to keep Xbox teams intact, but that executives are funneling it elsewhere with little care about the human or creative impact of layoffs.