Following Microsoft’s recent restructuring, Xbox CEO Asha Sharma has revealed four major priorities for the company’s gaming business. She also explained how Xbox plans to return to growth after widespread layoffs and the closure and restructuring of several studios.
According to an internal memo obtained by The Verge, Sharma said Xbox aims to restore player and revenue growth by the end of fiscal year 2027 while improving profitability. Microsoft previously described the sweeping changes as a major reset for its gaming business.
“We will not live on past successes or be trapped by past failures,” Sharma wrote. “We will learn from both and put our energy into creating what players will love for decades.”
Xbox CEO Sets Out Four Strategic Priorities
Sharma’s broader plan is organized around four central areas:
- CORE: Strengthen the platform, led by console
- CONTENT: Turn great games into global franchises
- CREATION: Make Minecraft the “world’s creator platform”
- CONNECTION: Extend the worlds that fans love
Under the memo’s plan, every Xbox team and studio will be responsible for helping the company return to player and revenue growth by the end of fiscal year 2027. In other words, the target is not merely a management-level ambition; it will be applied across the entire gaming division.
Xbox also intends to expand its biggest franchises beyond traditional gaming. The company’s plans include film, television, consumer products, sponsorships, live experiences and new global partnerships. Through these extensions, Xbox hopes to reach broader audiences while creating more diverse sources of revenue.
Sharma additionally pledged that Microsoft would invest in Minecraft “more than ever before.” The sandbox game is expected to play a central role in Xbox’s long-term strategy. Building on player-created content, the company wants to keep expanding the tools available to creators and ultimately establish Minecraft as “the world’s creator platform.”
The roadmap arrives after months of major changes at Xbox. Sharma replaced Phil Spencer as CEO in February, after which Microsoft cut thousands of jobs across its gaming division and restructured several studios. Microsoft said these measures were necessary to put the business back on a path toward long-term growth.
Xbox also recently attracted attention by testing free game streaming. The experiment suggests that the company is exploring additional ways to distribute games beyond traditional console sales.
