Xbox is currently going through lots of changes that have been officially described as a “reset” and can lead to huge layoffs and downright closures for multiple studios such as Ninja Theory, Compulsion Games and Double Fine for the next several months. And recently, Microsoft CEO Satya Nadella spoke to Gamespot on how they want Xbox to become more economically capable as it undergoes all the restructuring changes and finally enters a new era.
“No one can accuse Microsoft of not having invested for the last 25 years,” Nadella said. “And now we have to turn this into a sustainable business that delivers what is fundamentally one of the best sources of entertainment. The challenge we have is that we’ve not been monetizing that entertainment. In fact, if anything, we’ve been subsidizing that entertainment. There’s more monetization of Xbox games happening on YouTube than at Microsoft.
“And so that doesn’t mean we go do things that are unnatural. We want us to do what is really our job, which is to build great games, build great hardware, but we’ve got to do it in an economically sustainable way. I think Asha is really, 100 days in, and she put out a post saying in the next 100 days, she’s going to take a fresh look and make sure we deliver on what our fans expect of us both on the hardware side or on the publishing side.”
With the currently turbulent state of the entire videogame industry, the Microsoft CEO also stated that the company will have to find some ways to “deliver the games in which it is economically relevant” to players.
In other news of Microsoft’s gaming division, Xbox Game Studios boss Craig Duncan has announced his retirement from the role after 20 months and in addition, Chief of Staff Louise O’Connor who has been a part of the platform for far longer, will also be leaving Xbox soon. And coupled with the imminent layoffs, possible studio closures and job cuts on the horizon for the brand, it seems like troubling times are ahead for Xbox.
