Xbox's id Software Cuts: What's Next for DOOM and Quake? (2026)

The recent developments at Xbox have sent shockwaves through the gaming industry, with rumors swirling about the fate of one of its most iconic studios, id Software. In this article, I'll delve into the situation, offering my insights and commentary on what these changes could mean for the future of gaming and, more specifically, the beloved DOOM franchise.

The Storm at Xbox

To say that Xbox has undergone a significant transformation in recent weeks would be an understatement. The company has made some bold moves, divesting several studios and planning further cuts, which has left the gaming community reeling. The atmosphere within Xbox is tense, a stark contrast to the optimism that followed the appointment of CEO Asha Sharma earlier this year.

The Focus on id Software

Amidst this turmoil, id Software has become a focal point of discussion. As one of the industry's stalwarts, responsible for creating the legendary DOOM franchise, the studio's future is of great interest to gamers and industry observers alike. The rumors suggest that id Software is facing significant challenges, with heavy cuts impacting its ability to produce games independently.

The Engine Room

One of the key aspects of id Software's work is its engine, the id Tech. This engine, originally developed for Quake, has powered a diverse range of games, from open-world adventures to horror titles. It's known for its optimization and versatility, particularly in first-person games. However, the recent cuts have hit the engine development teams hard, with valuable expertise lost.

Despite the rumors, sources indicate that id Tech is not abandoned. Microsoft has confirmed that there are still dozens of people working on the engine across multiple locations. While the expertise has taken a hit, the engine is not dead, contrary to some reports.

Studio Size and Future Projects

Another rumor suggests that id Software has shrunk to a point where it can no longer produce its own games, relegating it to a support role. However, my understanding is that the core team's size is comparable to when DOOM (2016) was released, a game widely regarded as one of the studio's best. While the talent pool has been significantly reduced, it's not impossible for id Software to create new projects.

There were reports of various pitches, including a Perfect Dark reboot and a Western-themed shooter. However, it's unclear if any of these will move forward. The studio recently shipped DOOM: The Dark Ages Revelations, an expansion for the DOOM prequel, but the future of the studio's projects remains uncertain.

Microsoft's Strategy

Microsoft seems to be focusing on growing its most recognizable IPs, which may limit the scope for new franchises. CEO Asha Sharma has specifically mentioned DOOM and Quake as franchises to invest in. Personally, I believe Microsoft should double down on id Tech, as relying heavily on external engines could lead to financial risks down the line. However, with the company's focus on quarterly thinking, it's hard to predict their long-term strategy.

The Impact of Layoffs

While the rumors of id Software's demise may be exaggerated, the layoffs have been brutal. Staffers with years of experience and expertise were let go, despite the success of the modern DOOM trilogy. This reflects a challenging time for traditional gaming, with increased costs and a lack of investment in younger audiences. Microsoft's AI bets and data center investments haven't yielded the desired returns, adding to the pressure.

Conclusion

The situation at Xbox is complex, and the future is uncertain. While id Software may have weathered the storm, the gaming industry is evolving rapidly. DOOM, a symbol of resilience, will likely outlive these challenges, but the path forward for Xbox and its studios is shrouded in mystery. As we await further developments, one thing is clear: the gaming landscape is changing, and adaptation will be key.

Xbox's id Software Cuts: What's Next for DOOM and Quake? (2026)

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