Weeks after its annual gaming showcase, Xbox is preparing for significant staff reductions. According to reporting from Eurogamer and Bloomberg, newly appointed CEO Asha Sharma is reshaping the business according to her management strategy, including budget cuts and layoffs expected to impact areas such as marketing. The timeline reported is shortly after June 30, when Microsoft announces its fiscal results.
These changes are part of a larger "reset" plan for the Xbox brand. In parallel, Sharma has been publicly outlining her vision for the future. During a Fortune event, she indicated that the console industry needs "radically different business models" to make gaming hardware accessible to mass audiences, noting that premium consoles can cost thousands of dollars—beyond reach for most people. She signaled that Xbox will explore alternative pricing strategies and formats alongside projects like Project Helix.
The new CEO also dismissed the notion that generative AI will replace AAA games, reaffirming her commitment to the artistic depth of titles.
