Xbox CEO Asha Sharma has directly addressed speculation that Microsoft might sell off its gaming division, asserting that "Xbox is not for sale." These comments follow a period of significant restructuring, including studio closures and layoffs, which has fueled conjecture among industry analysts and observers. Sharma emphasized a commitment to the division's long-term viability, stating that Xbox will "do whatever it takes to set the company up for success." This involves exploring the "right partnerships, the right operating model, and everything needed to achieve that."
The remarks come at a time when Xbox's financial performance has been scrutinized. While Microsoft has made substantial investments in gaming, including significant acquisitions of publishers and studios, the Xbox division's profit margins have reportedly hovered around 3%. This stands in contrast to the company's more lucrative cloud computing and artificial intelligence businesses. Microsoft CEO Satya Nadella has indicated that under Sharma's leadership, Xbox must improve its financial contributions, with Nadella having praised the "streamlining" efforts within the division.
Sharma indicated to The New York Times that the current strategy is part of a multi-year plan. Development is underway for several major franchises, though some are projected for release late in the decade. For instance, Diablo 5 is targeted for a 2029 launch, and StarCraft is slated for 2030. The Halo franchise is now an Activision project, with a new team dedicated to its development, though its release is also likely several years away. Additionally, multiple Fallout titles are in various stages of development across several Xbox studios. Sharma reiterated that "We've got a long way to go with Microsoft. And we’re going to take the long-term view."