Another wave of “substantial” layoffs is expected to hit Microsoft’s gaming division next week, according to a new report from Bloomberg, following earlier reporting from The Verge.

New reports indicate that Microsoft's planned layoffs of its Xbox games division may drastically affect its teams and entire development studios may close.

Microsoft is planning to restructure parts of its Xbox business as it looks ahead to its next generation of consoles. One source tells me Microsoft is restructuring Xbox distribution across central Europe, resulting in some Xbox operations ceasing in some regions.