Xbox Support has pledged to help streamer Joshua Khane regain access to his hacked account and restore his data, marking a change in stance after an initial refusal. Khane's situation gained widespread attention when he posted on X, detailing how Microsoft had acknowledged his account compromise but declined to assist in recovering "25 fucking years of data, thousands of Euros [spent] on games" and personal files.
Following a significant public outcry, a representative from Xbox Support reached out to Khane on X, apologizing for the situation and stating that the team was actively working to restore access to his purchases and had provided him with the next steps. While Khane acknowledged this positive development, other users have shared similar experiences where Microsoft allegedly provided a standard response without offering further assistance in account recovery.
This incident occurs as Microsoft's gaming division faces scrutiny following recent layoffs impacting approximately 1,600 employees, representing about 20% of its Xbox workforce. These cuts have led to studios like Double Fine and Compulsion Games becoming independent, while Ninja Theory and Undead Labs are being sold. The future of Arkane Studios also remains uncertain. Senator Bernie Sanders criticized Microsoft's decision to lay off staff, particularly in light of the company's reported $100 billion profit in 2025, and pointed to planned price increases for Xbox consoles later this summer.