Microsoft Culls Metaverse Team It Created 4 Months Ago

Microsoft’s metaverse team was let go along with 4.5% of the company’s workforce last month

article-image

The Art of Pics/Shutterstock.com modified by Blockworks

share

Software giant Microsoft has culled its metaverse team, which it formed just four months ago, The Information first reported.

The team, dubbed Industrial Metaverse Core Team, was formed in October and tasked to build industrial networks and assist users with metaverse operations. 

It worked with customers across various industries including healthcare, retail and financial services. 

Notable clients included Coca-Cola, Unilever and General Motors, the executive vice president and chief commercial officer of Microsoft, Judson Althoff, said at a conference in September.

Four months later, the team comprising an estimated 100 employees was let go as part of the company’s 10,000-person job cut in January.

The majority of the metaverse team was made up of individuals who were part of Project Bonsai — a company that Microsoft had acquired in 2018. 

Bonsai is a ‘low-code AI development platform,’ which is designed to provide operators with equipment that can help them optimize processes. According to The Information, Bonsai’s co-founders Mark Hammond and Keen Browne had also been laid off.

“While we don’t comment on specific staffing details, Microsoft remains committed to the industrial metaverse,” a Microsoft spokesperson told Blockworks. “We are applying our focus to the areas of the industrial metaverse that matter most to our customers and they will see no change in how they are supported.”

Updated on Feb. 10, 2023 at 1:25 pm ET: Added comment from Microsoft.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.png

Research

Content Delivery Networks (CDNs) represent low-hanging fruit in a massive market ripe for Web3-driven disruption. The global CDN market was valued at ~$28B in 2024, and is projected to surpass $140B by 2034, (18.75% CAGR) underscoring the immense demand for efficient content delivery.

article-image

US dollars might technically be worth less, but it’s still good news

article-image

Apps are doing well, as is casino gaming, says Tom Schmidt of Dragonfly

article-image

Sponsored

Machine DeFi brings programmable peer-to-peer finance into contact with tangible machines that generate real-world value

article-image

What happens to your investment portfolio when the companies driving returns are no longer in it?

article-image

Wow, the ETF hype sure didn’t last long

article-image

The private sector lost 33,000 jobs in June; analysts had projected payrolls to add 100,000 positions