“Xbox is not for sale”: CEO Asha Sharma says “we will do whatever it takes” to turn the console maker’s fortunes around

Xbox CEO Asha Sharma has firmly denied speculation that Microsoft is considering selling its gaming division. In an interview with The New York Times, Sharma stated: “Xbox is not for sale. We will do whatever it takes to set the company up for success, and we will look at the right partnerships, the right operating model and everything needed to achieve that.”

The denial comes as Xbox undergoes a major corporate restructuring that includes 3,200 planned job cuts before summer 2027. The “reset” has already resulted in significant upheaval: three studios—Double Fine, Compulsion Games, and Undead Labs—have been spun off as independent companies, while the futures of Ninja Theory and Arkane Studios remain uncertain. Most dramatically, Xbox handed control of the Halo franchise to Activision and shuffled other major studios under new leadership.

Sale speculation emerged after earlier reports from The Information suggested that Microsoft CEO Satya Nadella and CFO Amy Hood had previously considered spinning out Xbox as a separate business. However, both executives now support Sharma’s turnaround strategy. The speculation also reflects Xbox’s underperformance: the division currently accounts for approximately 6% of Microsoft’s total profits, paling in comparison to Microsoft’s more lucrative cloud computing and AI operations.

Sharma, who assumed leadership of Xbox in February 2026, has committed to a long-term approach to revitalizing the struggling gaming division. Her comments suggest Microsoft intends to retain Xbox while implementing aggressive structural changes aimed at improving profitability and competitiveness.

“Xbox is not for sale”: CEO Asha Sharma says “we will do whatever it takes” to turn the console maker’s fortunes around

Sources