Activision Blizzard employees called for a protest over allegations of discrimination and harassment of female staff members
"Call of Duty" publisher Activision Blizzard previously laid off employees at its esports unit. GETTY IMAGES NORTH AMERICA / KEVORK DJANSEZIAN

KEY POINTS

  • An affected employee reportedly said 'Hearthstone' staff were laid off 'without notice'
  • Hearthstone and several other Activision Blizzard games were taken offline in China in January
  • Microsoft's buyout deal of the gaming giant has been challenged by the FTC

Activision Blizzard has reportedly downsized its "Hearthstone" development team, months after the gaming giant laid off staff from its esports division. The news broke on the same day the U.S. Federal Trade Commission (FTC) said it would revive an internal case regarding Microsoft's bid to acquire the gaming behemoth.

At least 10 employees were affected by the latest layoffs at "Hearthstone," Kotaku reporter Ethan Gach wrote Wednesday on X.

"A tools engineer at the company for 18 years said they were suddenly let go without notice due to a restructuring of the Hearthstone team," he said.

However, Activision Blizzard has not revealed details on the number of affected employees or remaining employees with the "Hearthstone" team. The gaming giant did not immediately respond to International Business Times' request for comment.

"Organizational changes were made to the 'Hearthstone' team; as a result, a small number of roles have become redundant. We want to thank these employees for their many contributions," Activision Blizzard said in a statement to IGN.

The layoffs at "Hearthstone" came eight months after the digital card game, along with several other Blizzard titles, was taken offline in China following a chaotic end to the company's 14-year partnership with Chinese partner NetEase. The two gaming giants were unable to negotiate an extension to their distribution deal.

Activision Blizzard's previous round of layoffs was in July when the company cut staff at its esports division. Around 50 employees were reportedly affected.

"This was a complete shock to everyone, and none of us who were laid off were offered any opportunity to switch roles or teams," an affected employee told the Verge at the time.

Activision Blizzard is at the center of Microsoft's legal battle against FTC over its acquisition of the game developer.

The FTC said it would pursue its in-house administrative case against Microsoft's bid to acquire Activision Blizzard.

"The Commission has determined that the public interest warrants that this matter be resolved fully and expeditiously. Therefore, the Commission is returning this matter to adjudication," the FTC said Wednesday.

A judge in July blocked the agency's attempts to temporarily suspend Microsoft's $69 billion buyout of Activision Blizzard.

Microsoft has an Oct. 18 deadline to close the buyout deal. Without a preliminary injunction approved by the court, the FTC cannot stop the tech giant from closing the deal to acquire the "Call of Duty" publisher.

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