Microsoft Xbox CEO Asha Sharma plans to conduct three additional rounds of layoffs in October, November, and January. This follows a restructuring announcement in July, which aimed to cut 3,200 positions by the 2027 fiscal year, with 1,600 employees already departing that month. An additional 260 staff members were laid off in September.
The company is also restructuring its gaming division. Studios such as Double Fine and Compulsion Games are transitioning to independent operations. Meanwhile, Ninja Theory, the developer behind the Senua series, faces a potential shutdown. These moves are part of a broader shift in the division's organizational structure.
Despite market rumors regarding a potential sale or split of the Xbox business, Microsoft leadership has denied these claims. Judson Althoff, CEO of Microsoft Business, stated that the company would not have appointed Sharma to lead the division if a sale were planned. Sharma herself confirmed to The New York Times that Xbox is not for sale.
Looking ahead, Microsoft has outlined plans for its hardware roadmap. The company intends to launch a new generation of handheld gaming devices in 2027. This will be followed by the release of a next-generation Xbox console, currently codenamed Project Helix, which is scheduled for 2028.
