Microsoft CEO Nadella says Xbox has to invent a sustainable business model

Microsoft CEO Satya Nadella said on the Sources Podcast that Xbox needs to invent the right sustainable business model to deliver games to more people, and called the streamlining under new Xbox chief Asha Sharma great to see. He expects Xbox to return to growth in the next fiscal year, 2027/28. In July Xbox announced 3,200 layoffs and the divestment of five studios, with another 268 roles cut last week as Halo, Rare and Age of Empires moved under Activision; Matt Booty said two agreements for Ninja Theory fell through and consultation on a proposed closure will begin, while Arkane consultation continues through the end of the year.