Massive Inc. targeted in Microsoft staff cuts

Massive Inc. targeted in Microsoft staff cuts

By Rob Crossley

May 6th 2009 at 10:31AM

Sources suggest that up to 100 workers will be axed from the in-game advertising group

[UPDATE] Massive layoff reports ‘are wildly inaccurate’

Further to earlier reports that Microsoft will be cutting more of its UK workforce to keep costs low, news has emerged that the firm’s own in-game advertising business will be cut by around 75 per cent.

According to VentureBeat sources, New York-based Massive Incorporated could be loosing up to 100 jobs, which is estimated to represent some 75 per cent of staff.

Those staff cuts have not been confirmed by Microsoft. Develop has approached a company representative for clarification.

Massive provides developers the opportunity to place advertisements inside games in a number of different ways. Games can have virtual billboards plastered over 3D environments, while it is also possible for ad-spaces to refresh regularly through online updates.

Microsoft bought the company back in May 2006 for approximately $200-400 million, though earlier this year the firm announced it would be axing some 5,000 jobs from its global workforce in a bid to slash costs by around 1.5bn annually.