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I am a huge ID fan and people need to understand that studios rehire and reshuffle all the time. Layoffs happen yearly and will always happen, but i doubt ID will not grow again. They may be used more for Technology and leave developing games to other Bethesda studios. Makes the most amount of sense. They can also simply rehire again to what they need.

If MS wanted to kill ID, they would have simply closed the doors or sold them off like we seen with Undead Labs etc. They didnt, they clearly see value in them hence why they still have them operating.