Xbox CEO aims to accelerate Halo and Fallout releases

Xbox's new chief executive Asha Sharma plans to speed up development of major franchises such as Halo and Fallout. Resources will be shifted from lower-performing areas while overall budgets stay flat. Microsoft leaders have approved the changes for the coming fiscal year.

Sharma intends to cut some studios and projects to focus investment on established series including Halo, Fallout and The Elder Scrolls. The move comes after Halo Infinite launched five years ago and this year's Halo: Campaign Evolved remake. The Elder Scrolls VI remains years away, with Fallout 5 expected later.

The 2027 fiscal year budget across Xbox will stay unchanged, though funds will be reallocated to shorten development times. Sharma also seeks greater investment in Minecraft. Microsoft chief executive Satya Nadella and chief financial officer Amy Hood have endorsed the resource shifts that begin in July.

Nadella said Sharma will take a fresh look to meet fan expectations and turn the business sustainable. The steps may lead to layoffs at various studios, though further restructuring of Xbox remains possible.

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News illustration showing the impact of Xbox layoffs with employees in an office packing boxes.
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Xbox announces 3200 layoffs in major restructuring

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Microsoft cut 3200 jobs at Xbox on July 6 as part of the largest restructuring in the division's history. Half the reductions took effect immediately, with the rest scheduled through June 2027. Four studios are leaving the company through spin-offs or sales.

Xbox CEO Asha Sharma has announced a major reorganization of the gaming division's leadership. The changes promote longtime Xbox veterans and bring in new executives with expertise in AI, design, and growth. Sharma aims to build capabilities for a more affordable, personal, and open platform.

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Xbox CEO Asha Sharma said a healthy console business is necessary but not sufficient for success. She spoke in an interview amid ongoing layoffs at Microsoft Gaming.

Microsoft's Xbox division has hired Matthew Ball as chief strategy officer and Scott Van Vliet as chief technology officer, continuing the leadership adjustments under gaming boss Asha Sharma.

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Microsoft is set to begin layoffs across its Xbox division on July 6. The plans reportedly include closing Arkane Studios and canceling the Blade game.

Microsoft is reportedly in talks to close several Xbox game studios as part of a broader restructuring. Negotiations involve studios behind well-known titles including Psychonauts, South of Midnight, and Hellblade.

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Xbox is preparing to shut down Compulsion Games and is in talks to close Double Fine and Ninja Theory as well. Studio leaders are negotiating with Microsoft over the studios' futures. Heavy job losses are expected even if some studios go independent.

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