Zenimax Online Studios leadership included in widespread Xbox job cuts, as concerns around Elder Scrolls Online’s longevity persist

ZeniMax Online Studios, the developer of The Elder Scrolls Online (ESO), has been significantly impacted by Microsoft’s recent Xbox restructuring, with over 200 redundancies affecting the studio out of 3,200+ layoffs announced across Xbox. The cuts include four key senior leaders: studio head Joe Burba, executive producer Susan Kath, game director Rich Lambert, and production director Ala Diaz.

The layoffs are particularly notable as Burba, a 14-year veteran of the studio, had only been appointed to lead ZeniMax Online Studios in July 2025—roughly coinciding with the previous year’s Xbox layoffs. His departure marks another significant leadership shake-up for the long-running MMO.

According to a WARN letter obtained by Game File, the studio is preparing a leadership transition that will occur over the coming months. Josh Henderson, the former head of business operations, will succeed Burba as studio head, working alongside game director Nick Giacomini. The departing leadership is expected to remain in place during the transition period to facilitate the handover.

The cuts have raised concerns about The Elder Scrolls Online’s long-term viability, particularly given the rapid leadership changes and the scale of redundancies at the studio. The leadership transition represents significant restructuring for the MMO, which continues to operate as one of ZeniMax’s key live-service titles.

Zenimax Online Studios leadership included in widespread Xbox job cuts, as concerns around Elder Scrolls Online’s longevity persist

Sources