Netflix reportedly offered $500m to Microsoft to license Xbox IP for seven years

Asha Sharma, previously Xbox's chief content officer, reportedly attempted to secure a $500 million, seven-year deal with Netflix to license Xbox intellectual property (IP) for film and television adaptations. However, the offer was rejected by the streaming giant, which proposed a $800 million contract instead. The deal's withdrawal followed Bela Bajaria's departure from Netflix, replaced by Peter Rice.

Xbox is now exploring smaller partnerships with additional entities. Microsoft has recently established the XP division, which will focus on creating transmedia spinoffs, including films, television series, and theme park attractions. This division, led by Kayleen Walters, is tasked with developing content derived from popular Xbox IP like Minecraft and Diablo.

The increased interest in Xbox IP reflects the company's ongoing transformation, as evidenced by the establishment of the XP division and the recent restructuring that has led to the loss of approximately 3,200 jobs and the sale of five studios, including Arkane Lyon. Xbox aims to leverage its transmedia approach to capitalize on the growing demand for its intellectual property.