Microsoft’s gaming division may be exiting the hardware business altogether. According to Laura Fryer, one of the original team members behind Xbox, the company has “no desire” to create hardware anymore. This comes as Microsoft partners with Asus on handheld devices and AMD on next-generation consoles.
Fryer expressed her disappointment with the current state of Xbox’s value being eroded away. She believes that remasters of classic games have been successful, but new hits are not a priority for the company. Game Pass is seen as a valuable resource, but it may not be enough to drive hardware sales on its own.
Former Xbox Live and Game Pass vice president Mike Ybarra has a similar assessment, suggesting that Microsoft needs to focus on becoming the world’s largest publisher of entertainment content. He advises the company to “pick their lane” and stick to it.
A recent report suggests that new layoffs may hit Microsoft’s gaming division soon. Despite this, Microsoft’s latest quarterly report shows revenue growth, with $70.1 billion in net revenue and a 18% increase in net profit.
Source: https://www.gamespot.com/articles/xbox-has-no-desire-to-make-hardware-anymore-founding-team-member-says/1100-6532825