Xbox Strategic Overhaul and Restructuring
On 12 June, Ars Technica reported that Microsoft Gaming CEO Asha Sharma and Xbox Studios chief Matt Booty had sent employees a blunt assessment of Xbox’s position. They said sagging performance and “hard truths” meant the current course “cannot continue” and called for a wholesale “Xbox reset.”
Subsequent reporting described looming layoffs, studio closures, and the sale of four Xbox studios as part of significant gaming cuts. Ars Technica called the contraction an “incredible shrinking Xbox” and reported that Microsoft had let go five studios and 3,200 employees.
By 7 July, The Verge Tech and The Verge described Microsoft’s plan for Xbox’s future as “nearly impossible.” They reported that Microsoft’s new Xbox chief had begun making her mark, was “reevaluating” exclusive games, and was defining the company’s gaming future through a “We Are Xbox” memo. The Verge said the shake-up centres on platform changes. Xbox is pursuing an ambitious reset and cutting the organisation expected to deliver it, making a difficult job properly Xbox-sized.
Taking this as factual, impact is 0%. Employees and studios face layoffs, closures, and sales. Xbox is also reviewing its approach to exclusive games and its platform. The score places these developments in the BACKGROUND quadrant despite the direct consequences for the people involved.
Watch for Microsoft to specify the timing and scope of further layoffs, studio closures, or sales. Details about platform changes and the reevaluation of exclusive games would show what the “Xbox reset” means beyond the memo.
Microsoft's new Xbox chief has had a busy couple of months after promising "the return of Xbox." Asha Sharma met with publishers at the Game Developers Conference in March, and
Xbox is making some big changes — again. On June 10th, a few months after Asha Sharma took over as CEO, she and newly-promoted chief content officer Matt Booty sent a memo to
Microsoft's new Xbox CEO Asha Sharma has laid out a new strategy for what she describes as a "return of Xbox." In a joint memo with Xbox Chief Content Officer Matt Booty, Sharma
Microsoft may lay off Xbox staff this month, in November, and in January.
It feels like Xbox has been in a permanent state of turmoil for at least two years now, and this week is no different. Microsoft cut 268 jobs across its gaming division this week,
Brutal self-assessment paints a picture of a Microsoft gaming division in crisis.
Microsoft’s new Xbox shake-up is all about platform changes
<h2> Xbox’s New Leadership Signals Strategic Shift </h2> <p>Xbox will look very different soon. Asha Sharma, the new Xbox CEO, just told her team that Microsoft Gaming will be
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