TechCapsules

AI-summarised brief · reviewed before publication

Xbox CEO Asha Sharma denied rumors of a sale, insisting the console division will remain under Microsoft while the company pursues a “reset” that will cut 3,200 jobs by next summer. The restructuring has already spun off three first‑party studios—Double Fine, Compulsion Games and Undead Labs—and left the futures of Ninja Theory and Arkane uncertain. Recent internal moves placed Halo under Activision, Rare and World's Edge under the Call of Duty publisher, and Obsidian under Bethesda, leaving only a handful of studios—The Coalition, Playground Games, Mojang, InXile and the remnants of Halo Studios—directly under Xbox Game Studios. Sharma said Xbox will explore “the right partnerships, the right operating model” and highlighted upcoming exclusives such as Gears of War: E‑Day and Clockwork Revolution, as well as a new deal with Kojima Productions for Physint.