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Xbox CEO Announces Three Additional Rounds of Layoffs

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Xbox CEO is reportedly planning three more rounds of layoffs

Xbox CEO Asha Sharma Announces New Layoffs Amid Organizational Changes

According to a recent report by Fortune, Xbox CEO Asha Sharma is set to implement new rounds of layoffs during the months of November and January. This decision comes as part of an organizational “reset” that Sharma initiated earlier this year. In July, Sharma revealed plans to lay off 3,200 employees throughout Microsoft’s 2027 fiscal year, with 1,600 job cuts already taking place at that time. In September, an additional 260 employees were let go as part of these restructuring efforts.

Speculation Surrounding Xbox’s Future

The report also touched upon speculations that Xbox may be spun off or sold. Judson Althoff, the CEO of Microsoft’s commercial business, addressed these rumors in an interview with Fortune. Althoff expressed confidence in Sharma’s leadership, stating, “Asha is one of the best leaders we have at the whole company. We would not have put her on a business we intend to sell. There’s going to be a ton of speculation about all this. Time will tell.”

Microsoft’s Future Plans

In addition to the layoffs and organizational changes, Fortune‘s report revealed that Microsoft is gearing up to launch a “next-generation handheld device” in 2027 and its Project Helix console in 2028. These upcoming releases indicate Microsoft’s commitment to innovation and evolution within the gaming industry.

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