Xbox CEO Asha Sharma has refuted claims that Microsoft might sell its gaming division. In an interview with The New York Times, she asserted, “Xbox is not for sale” and emphasized a commitment to establishing success through the right partnerships and operational models.
Following Sharma’s recent appointment, questions arose about the future direction of Xbox amid layoffs and restructuring. Recent reports highlighted that Microsoft had considered transforming Xbox into a subsidiary, with potential partnerships or issues leading to a sale. However, Sharma’s statements suggest a long-term strategy instead of immediate divestment.
The gaming division saw significant staff reductions and project cancellations, focusing resources on major franchises like The Elder Scrolls, Fallout, and Minecraft. Analysts speculate that while a full sale seems unlikely due to substantial investment costs and sustainability concerns, Microsoft might selectively divest parts of Xbox.
Sharma outlined the current challenges, noting operating margins were much lower than industry peers, attributing the need for a reset to unexpected growth rates and a severe hardware crisis. Despite these challenges, Sharma targets substantial growth for Xbox, aiming to reach a billion users daily by expanding into markets like Africa and South Asia through cloud technology.
