John Carmack reacts to id Software layoffs and pledges $1 M to fund official VR ports

Microsoft’s Xbox division announced a major restructuring that included laying off 96 employees at id Software’s Richardson, Texas studio and cutting an additional 40 remote positions, representing roughly half of the studio’s workforce. The cuts are part of CEO Asha Sharma’s “reset” plan that began with 1,600 layoffs earlier in the fiscal year and will see another 1,600 jobs eliminated.

Co‑founder John Carmack expressed sadness but no anger about the layoffs, describing id Software as a “marginal business” for Microsoft and noting that profits from Minecraft have been used to subsidize other studios. He reiterated his long‑standing support for the company’s classic titles and announced he is willing to put up $1 million of personal funding to allow the VR modding group Team Beef to create official virtual‑reality versions of id’s open‑source classics such as Doom and Quake, pending Microsoft’s approval of the assets.

Carmack’s comments come as the gaming industry watches Microsoft streamline its portfolio while competitors like Sony face their own production challenges.