Key information
Xbox CEO Asha Sharma recently stated that the gaming division has begun to recover after hitting a low point. Following a period marked by leadership changes, business restructuring, and 3,200 planned layoffs, Sharma informed employees that the company is now growing at a rate two to three times faster than before.
Growth is reportedly driven by first-party titles, with Minecraft Dungeons 2, World of Warcraft: Forever, and Gears of War: E-Day cited as having solid launches. Additionally, brand sentiment has seen a 30% increase over the past year, helping to stabilize metrics that had previously declined.
Sharma criticized the previous Game Pass strategy, which negatively impacted profitability. This shift follows the October 2025 price hike and subsequent reversal regarding day-one Call of Duty releases, which were removed from the service to adjust to poor financial results.
Looking ahead, the company plans to develop Project Helix as a family of devices, including potential new handheld hardware to support mobile gaming. Furthermore, Xbox remains committed to expanding its reach across the one billion existing Windows PC users.
