Microsoft is implementing widespread layoffs impacting up to 9,000 employees, significantly affecting its Xbox division. Several studios face closures and game cancellations, including Rare's Everwild and The Initiative's Perfect Dark reboot.

BREAKING: As part of today’s cuts, Xbox has canceled the troubled Rare game Everwild, according to people familiar. News on the job cuts is coming in drips — not sure why Xbox didn’t announce it all at once — but I’ll report what I can as I confirm it.

M icrosoft is canceling its Perfect Dark and Everwild games as part of sweeping cuts to its Xbox division. Matt Booty, Xbox president of game content and studios, revealed that Microsoft will be closing The Initiative, the studio behind Perfect Dark, in an internal memo to Xbox employees today.