Microsoft is significantly restructuring its Xbox division by cutting 3,200 jobs and closing four studios, citing an unhealthy business state and overextension. This move coincides with a strategic pivot toward AI and big-budget titles, raising questions about the console's future viability and potential buyers if divestiture occurs.
Background
Microsoft has been shifting its corporate focus heavily toward artificial intelligence and cloud services, leading to scrutiny over underperforming hardware divisions like Xbox.
- Source
- The Verge
- Published
- Jul 9, 2026 at 01:10 AM
- Score
- 6.0 / 10