Xbox boss Asha Sharma has reportedly warned that the organisation will “not survive” if it relies on existing game franchises.
During a recent town hall , Sharma was said to have told employees that Xbox needs to “continue to create enduring new IP” as it “will not survive if we only rely on the past.”
“We have to find new ways, and courage, to have invention on new IP that reach new sets of audiences.”
She also said Xbox is “backing [its] strongest franchises” and that she wants Xbox’s “great games to become great global billion-dollar franchises.”
Before Sharma took over from Phil Spencer, Xbox cancelled new IP projects last year, including Rare’s Everwild, ZeniMax Online Studios’ Project Blackbird, and Ninja Theory’s Project Mara.
Last month, Xbox proposed closing Ninja Theory as part of its ongoing “reset” of the business, which has seen the loss of an estimated 3,200 jobs and the divestment of five studios. Ninja Theory began laying off staff last week.
During the same town hall, Sharma told staff that “after an all-time low, [Xbox] has started to return to growth,” and that the firm is “making the right decisions to reinvest in the business.”
Yesterday, Xbox announced a new team to test new projects called Xbox Labs. The initiative will trial emerging ideas and “new technology”. The team is made up of “game makers, engineers, and scientists” within the Xbox organisation.
Like Xbox XP announced last week, Xbox Labs centralises existing initiatives rather than <a href="https://comicvibe.com/report-indicates-gta-6-launching-on-pc-in-early-2027/” title=”Report indicates 'GTA 6' launching on PC in early 2027″>launching a new endeavour. No new staff have been recruited for the project.
Xbox Labs was created to address “the possibilities in making great games easier to access, giving old games new life and allowing more players to become creators and co-creators.”
An Xbox spokesperson told GamesIndustry.biz that the new team has no explicit directive to use AI or other technologies, and that it would use them only when beneficial or necessary.
As for Xbox XP, this business unit will be focused on transmedia brand extensions including the Fallout TV series and the Minecraft theme park.
The division is led by Kayleen Walters, the current president of Minecraft developer Mojang Studios. She previously oversaw franchise development at Microsoft and was vice president of franchise marketing and integrated planning at Lucasfilm.
