Xbox CEO Asha Sharma wants the company to “entertain more than a billion people” every day: here’s why that’s a deeply unrealistic thing to say
Xbox announced the most significant restructuring in the company’s history with CEO Asha Sharma unveiling sweeping changes that include 3,200 job cuts—approximately 20% of the workforce—over the next fiscal year, with 1,600 employees departing immediately. The restructuring also includes the departure of at least four studios, including Compulsion Games, Double Fine Productions, Undead Labs, and others, which are either becoming independent or finding new homes under different publishers.
Sharma characterized Xbox’s current business as “not healthy,” noting that the company operates at profit margins 3-10x lower than comparable platform and publishing businesses. She cited the company’s smaller install base entering Generation 9 and mentioned underinvested franchises like Minecraft as areas requiring strategic refocus.
Despite these dramatic cuts, Sharma outlined an ambitious long-term vision: she wants Xbox to “entertain more than a billion people each day” while giving players opportunities to “create and connect.” She stated confidence that the company can achieve this goal, framing the restructuring as part of a “bigger future for Xbox, not a smaller one.”
The ambition has drawn significant scrutiny from gaming media, with multiple outlets calling the one-billion daily player goal unrealistic—representing roughly one-eighth of the global population and approximately 24 times the peak concurrent population of Steam. Nevertheless, Sharma maintained that these structural changes are necessary to position Xbox for long-term growth and success in the evolving gaming landscape.
Sources
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