Microsoft Corp.’s gaming division laid off hundreds of employees on Wednesday, part of a broader culling at the software company as it seeks to control costs. An Xbox spokesperson declined to confirm how many people were impacted,

These changes come at a time when we have more players, games, and gaming hours than ever before,” said Xbox head Phil Spencer in an email to staff.

Reports and rumors of massive layoffs at Xbox have been building since late last month, and the first blood has now been spilled. Bloomberg reports that Candy Crush maker King is cutting 200 employees,