{"id":1881,"date":"2026-06-10T22:38:23","date_gmt":"2026-06-10T22:38:23","guid":{"rendered":"https:\/\/silvybrand.com\/?p=1881"},"modified":"2026-06-10T22:38:23","modified_gmt":"2026-06-10T22:38:23","slug":"microsoft-xbox-layoffs-reset-asha-sharma","status":"publish","type":"post","link":"https:\/\/silvybrand.com\/?p=1881","title":{"rendered":"Xbox warns of a \u2018reset\u2019 as it prepares for layoffs"},"content":{"rendered":"<p><br \/>\n<\/p>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">Microsoft\u2019s Xbox division will be hit with significant layoffs next month, according to people familiar with Microsoft\u2019s plans.<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">The company has been preparing for the layoffs internally for weeks, with Xbox CEO Asha Sharma hinting about \u201cmaking hard choices\u201d <a href=\"https:\/\/www.theverge.com\/tech\/938807\/microsoft-surface-future-devices-notepad\">last month<\/a>. Sources suggest the cuts could even involve a studio closure, or changes to the Xbox studio lineup. In a recent <a href=\"https:\/\/podcasts.apple.com\/gb\/podcast\/giant-bombcast\/id274450056?i=1000771934510\">Giant Bomb episode<\/a>, rumors of 1,000 layoffs for Microsoft\u2019s Xbox division were mentioned. <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2026-06-10\/xbox-plans-significant-layoffs-as-it-transforms-under-new-ceo-asha-sharma\"><em>Bloomberg<\/em><\/a> also reported today that the cuts would be \u201cmajor,\u201d and involve budget cuts for marketing and other areas of Microsoft\u2019s Xbox business.<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">Moments before <em>Bloomberg<\/em>\u2019s report, Xbox CEO Asha Sharma and chief content officer Matt Booty <a href=\"https:\/\/news.xbox.com\/en-us\/2026\/06\/10\/next-100-days-xbox-reset\/\">sent a memo to Xbox staff<\/a>, warning of an \u201cXbox reset\u201d over the next 100 days. Sharma and Booty pointed to difficult challenges the business is facing. \u201cExcluding Activision Blizzard King, over the past five years, we have spent over $20 billion on ongoing investments in our content, platform, and hardware subsidy, but our annual revenue has declined nearly half a billion during that time,\u201d they wrote. \u201cGoing forward, this cannot continue.\u201d<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">They also noted that \u201cwe are in a hardware component crisis,\u201d saying that component costs for the 2027 holiday season are expected to be \u201cover 5x the prices we paid only two years earlier. Memory costs have followed a broadly similar trajectory.\u201d They said that \u201cwe need a new business model and partnerships for hardware as we remain committed to Helix.\u201d<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">Sharma and Xbox strategy chief Matthew Ball have been hinting at \u201c<a href=\"https:\/\/www.theverge.com\/news\/947537\/microsoft-xbox-console-hardware-price-changes-ramageddon\">radically different<\/a>\u201d console business models this week, and the mention of \u201cpartnerships for hardware\u201d certainly plays into the idea that other PC OEMs might be able to create Xbox-branded devices based on AMD\u2019s new chips in the future.<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">But right now, Xbox\u2019s \u201ccurrent platform infrastructure is not built for the battle ahead,\u201d Sharma and Booty wrote, saying that \u201cwe\u2019ll evolve and rebuild our stack and look at capabilities across all of XBOX and potential M&amp;A to help us win in hardware, PC, mobile, and streaming.\u201d<\/p>\n<\/div>\n<div>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1044qizi _18mzr4b1 _18mzr4b0 _19wv7tc1\">Sharma has already made some big decisions since taking over, including making <em>Gears of War: E-Day<\/em> and <em>Clockwork Revolution<\/em> <a href=\"https:\/\/www.theverge.com\/news\/945428\/xbox-console-exclusives-return\">Xbox console exclusives<\/a>.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.theverge.com\/games\/948142\/microsoft-xbox-layoffs-reset-asha-sharma\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Microsoft\u2019s Xbox division will be hit with significant layoffs next month, according to people familiar with Microsoft\u2019s plans. The company has been preparing for the layoffs internally for weeks, with Xbox CEO Asha Sharma hinting about \u201cmaking hard choices\u201d last month. Sources suggest the cuts could even involve a studio closure, or changes to the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1882,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[64,39,158,46,34,159],"class_list":["post-1881","post","type-post","status-publish","format-standard","has-post-thumbnail","category-gadgets","tag-entertainment","tag-gaming","tag-microsoft","tag-news","tag-tech","tag-xbox"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Xbox warns of a \u2018reset\u2019 as it prepares for layoffs - Silvybrand Lifestyle Blog<\/title>\n<meta name=\"description\" content=\"Microsoft\u2019s Xbox division will be hit with significant layoffs next month. 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