The resuscitation of Xbox has begun in earnest, but there’s still much to be done, and still great uncertainty: Console exclusives are back but to what extent remains unclear, and of course the “reset” for a better future will almost certainly mean putting hundreds of people out of work. And it’s possible that even bigger things could happen: A new report from The Information (via Reuters) says Microsoft is looking to shift its focus and resources to its biggest games, while simultaneously mulling the possibility of cutting the division loose entirely.
Three sources told The Information that Microsoft hasn’t ruled out the possibility of spinning the Xbox division off as a standalone company, or making it a wholly-owned subsidiary. It’s also apparently considering a joint venture with other partners—none named—which could make Xbox easier to sell after its overhaul. Nothing is imminent, according to the sources, but nothing is off limits, either.
The report also states that Xbox CEO Asha Sharma’s plan to increase spending on Xbox’s biggest game series, including Halo, Fallout, and The Elder Scrolls, have been approved by Microsoft CEO Satya Nadella and CFO Amy Hood, although the actual budgeting hasn’t been locked down.
The primary goal of the increased spending is to speed up development of games in those series, and fair enough as far as it goes: It’s been 11 years since Fallout 4, 15 years since Skyrim, and eight years since The Elder Scrolls 6 was announced, and we still have nothing to see but this empty teaser, and not even an official title:
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Halo has also stagnated. As PC Gamer’s Rory Norris wrote after the Xbox Games Showcase last weekend, Halo “has been treading water essentially since Microsoft set up 343 Industries to shepherd it into the future after Bungie’s departure. That was almost 15 years ago, by the way.” Halo Infinite, envisioned as the live service future of the franchise, halted new content updates in 2025, just four years after it launched. I don’t think anyone expects, or wants, annualized Bethesda RPGs, but you can understand why Microsoft would want to hurry things along a bit.
At the same time, if there’s one thing we’ve learned over the years it’s that throwing money at this particular problem won’t necessarily solve it. Microsoft has a big advantage over other mega-corps in that it already owns some of the biggest names in gaming, but whether it’s able to make anything out of that—and whether it wants to make the effort in the first place—remains to be seen.
I’ve reached out to Microsoft for comment on the possibility of an Xbox spinoff and will update if I receive a reply.
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