Microsoft shuts sports video games unit

LOS ANGELES: Microsoft Corp. has closed a studio operation that made some of its sports video games, cutting 76 positions, said a spokeswoman.

The unit, part of Microsoft Game Studios, made team-sports games "NFL Fever," "NHL Rivals" and "NBA Inside Drive" for the company's Xbox video game console.

Spokeswoman Molly O'Donnell said those franchises, which Microsoft said that it would not release this year, have now been permanently canceled.

O'Donnell said the affected employees would be offered the chance to find other jobs within the company. The cuts, she said, were part of a broader studio strategy to focus on large-scale, epic-style games.

"Such a shift obviously requires a very different mix of resources," she said.

When the company took those games off the schedule in March, it was seen by analysts as opening the door to closer relations between Microsoft and Electronic Arts Inc., which dominates the market for sports gaming.

In May, EA announced full support for online play with Microsoft's Xbox Live service, and this week EA and Microsoft teamed up for a global online soccer tournament.