An Xbox manager has ignited a firestorm of criticism after advising recently laid-off Microsoft employees to seek emotional and career support from AI chatbots. Matt Turnbull, an Executive Producer at Xbox, made the suggestion in a now-deleted LinkedIn post, calling it the “best advice” he could offer.
The recommendation was made to those affected by Microsoft’s decision to cut 9,100 jobs. The suggestion was widely condemned by industry peers as tone-deaf, coming just days after the massive layoffs were confirmed, which included the closure of entire game studios, including Arkane Austin, Tango Gameworks, Alpha Dog Games, and The Initiative. These closures led to the cancellation of major projects and significantly impacted Xbox Game Studios’ creative output.
An Executive’s AI-Powered ‘Best Advice’
In his post, Turnbull suggested that using AI tools like Microsoft’s own Copilot could help “reduce the emotional and cognitive load that comes with job loss”. He provided specific prompts for former employees to use, demonstrating how AI could assist with career planning and resume building.
One particularly striking prompt was designed to help with self-confidence: “I’m struggling with imposter syndrome after being laid off. Can you help me reframe this experience in a way that reminds me what I’m good at?” Turnbull argued that while AI is no replacement for human experience, it could help people get “unstuck faster, calmer, and with more clarity” during a time of scarce mental energy.
Matt Turnbull, Executive Producer at Xbox Game Studios Publishing – after the Microsoft layoffs – suggesting on Linkedin that may maybe people who have been let go should turn to AI for help. He seriously thought posting this would be a good idea.
— Brandon Sheffield (@brandon.insertcredit.com) July 4, 2025 at 5:48 AM
‘Read the Room’: A Tone-Deaf Suggestion Sparks Outrage
The reaction from the game development community was swift and sharp. Many saw the advice as a profound failure to understand the human cost of the layoffs.
Eric Smith, an online producer at Zenimax who lost his job and project in the cuts, offered a blunt response directly to Turnbull: “Jesus Christ, read the room dude.” His sentiment captured the widespread feeling that the advice was wildly inappropriate under the circumstances.
The incident is layered with a deep sense of irony. Just two days before Turnbull’s post, the Xbox division had reportedly sent a letter to partner studios inviting them to a Gamescom roundtable. The topic was how to use AI to make game development more efficient.
The Broader Context: 9,100 Layoffs to Fund Microsoft’s AI Pivot
Turnbull’s controversial advice did not occur in a vacuum. It came against the backdrop of Microsoft’s largest workforce reduction since 2023. The 9,100 job cuts are a key part of the company’s aggressive strategy to reallocate capital towards its multi-billion dollar investments in AI.
The financial pain extends beyond Microsoft’s internal teams. The restructuring also saw funding pulled from external partners. This included John Romero’s studio, Romero Games, which was consequently forced to lay off its entire staff.
This major layoff is the culmination of a year of continuous restructuring. It follows smaller but significant job cuts in May and performance-based reductions in January, signaling a relentless drive to reshape the company around its AI ambitions.
A New Culture of ‘Good Attrition’
Microsoft’s leadership has consistently framed these painful cuts as a necessary evolution. CEO Satya Nadella previously stated that such changes are not about individual failures but about strategic realignment, noting, “This was not about people failing. It was about repositioning for what comes next.” The perspective has been rewarded by Wall Street, Microsoft’s stock price is up nearly 30% since April.
Parallel to the layoffs, Microsoft is systematically tightening its internal performance standards. This marks a significant cultural shift. The company has formalized a strict Performance Improvement Plan (PIP) process and a two-year rehire ban for those let go for performance issues.
Underperforming employees now face a choice: engage with the demanding plan or accept a voluntary separation package. The company tracks these performance-based exits internally under the metric “good attrition,” a term signifying departures the company views as beneficial.
Chief People Officer Amy Coleman said earlier this year that the changes are about enabling success with clarity and empathy. The ultimate goal, she stated, is “…fostering a culture where high-performing, winning teams can thrive.” This philosophy reflects a broader trend across Big Tech, where giants like Meta also shed jobs to fund the AI race.
