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,

BREAKING: As part of today’s cuts, Xbox has canceled the troubled Rare game Everwild, according to people familiar. News on the job cuts is coming in drips — not sure why Xbox didn’t announce it all at once — but I’ll report what I can as I confirm it.

Microsoft's company-wide layoffs have started to affect the Xbox teams, with King being reduced by some 10% of workers, ZeniMax Europe also cutting.