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Microsoft reportedly considering restructuring Xbox into its own "wholly-owned subsidiary" and "moving faster" on releasing first-party games

Microsoft is reportedly considering restructuring Xbox into a wholly-owned subsidiary or a joint venture to improve its business performance. This potential move is accompanied by plans to accelerate the development of first-party games from franchises like Halo, Fallout, and The Elder Scrolls. The company is also reportedly planning significant budget cuts and layoffs as part of a broader business reset for the Xbox brand.

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Xbox Restructures, Divests Studios Amid Layoffs

Xbox is undergoing a significant restructuring, including substantial layoffs and the divestment of several internal studios. CEO Asha Sharma cited spreading resources too thin as a reason for the changes. Microsoft is also reportedly considering making Xbox a wholly-owned subsidiary to improve performance and accelerate first-party game releases.

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