A ‘painful’ reset for Xbox: 3,200 job cuts, studio spinoffs, and a vow to return to growth in 2027

(Microsoft Image) Xbox CEO Asha Sharma laid out a wide-ranging plan to overhaul Microsoft’s gaming division Monday, calling it the most significant restructuring in Xbox history and disclosing that the business has been losing 64 cents on every dollar invested in its game studios. As detailed in a memo to employees , the changes include roughly 3,200 job cuts through the fiscal year — about 20% of the Xbox workforce — the spinoff of four game studios, a new COO, and a plan to flatten management