Xbox CEO Insists Company is Not for Sale Amid Restructuring

Xbox Game Studios, led by CEO Asha Sharma, is undergoing a significant restructuring effort, with over 3,200 employees set to lose their jobs by the end of the current fiscal year. Despite rumors of a potential divestiture from Microsoft, Sharma insists that "Xbox is not for sale" and will do whatever it takes to set the company up for success.

Sharma's comments come as the company navigates sluggish hardware sales and a pivot to multiplatform anchored by Xbox Game Pass failed to materialize. The restructuring, which includes the closure of entire studios and the cancellation of games, is seen as a major shake-up in the industry.

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Microsoft CEO Satya Nadella recently said the "streamlining" of Xbox is "great to see," fueling existing rumors of a potential divestiture from Microsoft. However, Nadella's comments were not directly related to the restructuring efforts.

The restructuring, which began in July, has already seen 1,600 workers lose their jobs and another 250-or-so employees let go in September. The company has announced plans to "look at the right partnerships, the right operating model and everything needed to achieve success" in the long-term.

Inside Xbox, "the only concrete thing they have communicated is they want higher profits, and they want it now," says id Software employee. The company's future remains uncertain, with many speculating about the potential for a divestiture from Microsoft.

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Sharma's comments suggest that the company is committed to its long-term success, despite the challenges it faces. "We've got a long way to go with Microsoft," she says, "and we're going to take the long-term view."

The company's restructuring efforts have been met with skepticism by some, who argue that the move is too little, too late.