Microsoft Xbox plans to cut hundreds of jobs
Xbox CEO Asha Sharma is pushing for the company to return to growth by the end of the 2027 financial year
Microsoft's Xbox division is reportedly set to cut hundreds of positions in the upcoming week, as part of a broader restructuring effort, according to an unnamed source cited by the Information outlet. The company has not yet officially confirmed or denied these reports. CEO Asha Sharma announced on July 6 that Xbox would undergo its most significant restructuring in history, with plans to reduce the workforce by around 3,200 employees throughout the 2027 financial year.
Sharma emphasized the need for a reset targeting the company's content portfolio, platform, and team operations, citing a business that was "not healthy," with margins significantly lower than those of rival platform and publishing businesses. She stated that the company had over 200 million new players in FY26 but did not see growth proportional to its audience.
Sharma expects Xbox to return to growth by the end of FY27, but acknowledged that the process would take time.
Written by urgent.news from The Hindu - Sci-Tech's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
