It sounds like ALL MMO development has been shuttered (Including LOTR) - per the letter that went out.

"We’ve also taken a critical look at the evolving dynamics of games industry and competitive landscape. While we’re proud of our successes in first-party AAA game development and publishing, we have made the difficult decision to halt a significant amount of our first-party AAA game development work – specifically around MMOs – within Amazon Game Studios, including making significant role reductions in our studios in Irvine and San Diego, as well as our central publishing team.

While these changes are significant, we still have a lot going on in game development. Our Montreal studio recently concluded a successful closed alpha of March of Giants and is working hard to finish the game. Our Studio 5 team just released Courtroom Chaos: Starring Snoop Dogg as the launch title in Luna and will continue their focus on more casual and AI-focused games, optimized for Luna. Finally, we are continuing to work with our external studio partners Crystal Dynamics on an upcoming Tomb Raider title and Maverick Games on an upcoming open world driving game."

The VP of Amazon Games says the layoffs are part of the 14,000 announced today, but represent broader "strategic changes" at the gaming division.

Some context is these two tweets:

- https://x.com/MightyKeef/status/1787873747602473341

- https://x.com/SimplyAllegra/status/1787959553537306945

There's not a lot of context in the replies - I know Microsoft acquired Bethesda in the last few months, and have read that Bethesda also owned a few other studios, but I don't know the full story. Which specific studios were shut down? What notable games did they make? What're the justifications made by Microsoft for shutting them down?

Hey everyone,

Obviously, we are aware of the current situation related to the layoffs within Amazon and specifically Amazon Games Studio as it relates to New World. We will do our best to keep you updated as we get more information. At this time, our communication channels to the development team have been severely impacted but we will continue to pursue getting this news to you as it becomes available.

Please use this thread to discuss your thoughts, feelings, and concerns regarding the information received today. Try to keep things as civil as possible. We are all very hurt and upset by this news.

We appreciate your patience and understanding through this challenging time.

Best,
r/NewWorldGame Mod Team

Update:

As New World recognizes its fourth anniversary since launching on PC, we reflect on an incredible journey shaped by our dedicated player community. Your feedback and passion have been instrumental in evolving Aeternum into the world it is today, and our team is deeply grateful for this shared adventure. After four years of steady content updates and a major new console release, we've reached a point where it is no longer sustainable to continue supporting the game with new content updates.

The recently launched Season 10 and Nighthaven update will serve as the final content release for New World on PC and consoles. It is only after much consideration that we've reached this decision. To thank you, the New World community, for your support over the years, we have made the Nighthaven release available to you for free. To ensure all New World players can experience this content, we also made Rise of the Angry Earth free for all PC players.

In the coming months, we will provide more details on what to expect and other essential information. Rest assured, our intention is to keep servers operating through 2026, allowing our community time to continue their adventures in Aeternum. Additionally, New World: Aeternum will still be downloadable for PlayStation Plus members (Extra and Premium).

Players of Aeternum: Your dedication and enthusiasm have made this New World adventure an unforgettable journey. We're deeply grateful for every moment you've spent helping build this extraordinary world alongside us. It has been an honor to share Aeternum with you, thank you for helping make this game something truly special.

It sounds like ALL MMO development has been shuttered (Including LOTR) - per the letter that went out.

"We’ve also taken a critical look at the evolving dynamics of games industry and competitive landscape. While we’re proud of our successes in first-party AAA game development and publishing, we have made the difficult decision to halt a significant amount of our first-party AAA game development work – specifically around MMOs – within Amazon Game Studios, including making significant role reductions in our studios in Irvine and San Diego, as well as our central publishing team.

While these changes are significant, we still have a lot going on in game development. Our Montreal studio recently concluded a successful closed alpha of March of Giants and is working hard to finish the game. Our Studio 5 team just released Courtroom Chaos: Starring Snoop Dogg as the launch title in Luna and will continue their focus on more casual and AI-focused games, optimized for Luna. Finally, we are continuing to work with our external studio partners Crystal Dynamics on an upcoming Tomb Raider title and Maverick Games on an upcoming open world driving game."

In a sweeping layoff, Amazon is getting rid of 30k+ people today, and in the future they will remove more and more to replace them with AI.

New World is feeling these layoffs, some people are missing from the discord, and artists are posting on Twitter talking about being laid off. We don't know the full extent of the layoffs yet, as they're going out this morning.

I'm worried for the future of the game.

Edit Update: The Amazon Employees subreddit is saying the entire Irvine AGS studio is gone. That's the one that runs New World.

Edit Update 2: Amazon Games jobs listings do not have the Irvine site listed. Probably confirmation New World is cooked.

Edit Update 3: The AGS LinkedIn page no longer exists. I think we might be cooked cooked.

“Amazon.com Inc. is gutting its video-game division as part of a sweeping layoff that will eliminate more than 14,000 corporate jobs.

The company didn’t say how many roles it will cut in the video-game unit, but noted in a memo to staff on Tuesday that the cuts would largely fall on its offices in Irvine and San Diego, as well at its central publishing division. The company will reduce the amount of work it does on big-budget titles, particularly surrounding massively multiplayer online games or MMOs.”

https://www.bloomberg.com/news/articles/2025-10-28/amazon-makes-significant-cuts-in-video-game-division

o7 AGS