Microsoft, along with Xbox, is launching a new division called XP to expand its successful franchises, like Minecraft and Fallout, beyond video games into areas like film, TV, merchandise, and events. The name XP is a nod to “experience points” and will have four main components: Xbox Pictures, Xbox Products, Xbox Partnerships, and Xbox Places.
CEO Asha Sharma noted that franchises can have a deeper impact beyond just gameplay. Xbox reports a positive cycle, as exemplified by Fallout‘s success on Game Pass during its series launch on Prime Video and a significant increase in Minecraft‘s active users after its movie’s release.
Hollywood has seen success adapting video games into film and series, evidenced by Sony’s Resident Evil revival and HBO’s acclaimed The Last of Us. The XP announcement follows Xbox’s recent restructuring and layoffs as they adapt to changes in the gaming industry, including Microsoft’s acquisition of Activision Blizzard for $23 billion.
Kayleen Walters, a former Lucasfilm executive known for her work on Star Wars, will head XP and is set to build a new team for the division. She has previously expanded Xbox’s consumer products significantly and has been involved in movie projects for Minecraft. Walters emphasized that fans engage with franchises in numerous ways beyond gameplay.