Xbox Launches New Division to Expand Franchises into Film, TV, and More

Xbox XP aims to leverage popular game IPs across various media following the success of 'A Minecraft Movie'.

Oct 8, 2026
Industry & Business
Xbox Launches New Division to Expand Franchises into Film, TV, and More

Xbox has officially announced the formation of Xbox XP, a new division dedicated to expanding its gaming franchises into film and television, consumer products, live experiences, and strategic partnerships. This move signals Microsoft's intent to further capitalize on the success of its game properties beyond the interactive space.

The creation of Xbox XP follows the box office success of "A Minecraft Movie" and the positive reception of Amazon Prime Video's "Fallout" series. The new division will operate across four key investment areas: Xbox Pictures for linear storytelling, Xbox Products for merchandise, Xbox Places for live events and attractions, and Xbox Partnerships for collaborations.

Leading Xbox XP is Kayleen Walters, who previously held leadership roles at Lucasfilm and most recently served as president of Mojang, the developer behind Minecraft. Walters was also an executive producer on "A Minecraft Movie." Mari Angelidou-Smith, formerly of Meta and Reddit, will take over as head of Mojang. Both executives will report to Xbox CEO Asha Sharma.

According to Matthew Ball, Xbox's chief strategy officer, Xbox XP is designed to "help our franchises reach more people, create deeper connections with players and new fans, and unlock new opportunities for these fandoms to grow around the world." He emphasized that while games remain central, XP will work with internal studios and external partners to build upon that foundation.

This initiative represents a significant strategic shift for Xbox under Sharma's leadership, which has also seen restructuring efforts including layoffs and studio consolidations. Xbox Pictures is poised to develop several upcoming adaptations, including "A Minecraft Movie Squared," the third season of "Fallout," a "Call of Duty" movie, and a "Diablo" animated series for Netflix. Future collaborations, potentially including those with Hideo Kojima, are also anticipated.

Microsoft has previously explored expanding into entertainment. Xbox Entertainment Studios was founded in 2013 but was shuttered the following year. The new Xbox XP division appears to be a more integrated and strategic approach to leveraging intellectual property across multiple media formats.

Sources