Microsoft's Xbox Reset: Nadella Praises Layoffs and Ambitious Growth Goals

Microsoft's Xbox division is undergoing significant changes under new CEO Asha Sharma, who has been tasked with streamlining the team and implementing a sustainable business model.

In an interview on the Sources Podcast with Alex Heath, Microsoft CEO Satya Nadella expressed his enthusiasm for the direction Xbox is heading. He praised the IP portfolio and studios owned by the company, stating that he feels 'fantastic' about the current state of affairs.

However, when discussing the recent layoffs, which have resulted in over 1,600 employees being cut from the company this year with plans for another 1,600 cuts before the fiscal year ends, Nadella offered little empathy. He instead focused on the 'streamlining' efforts being undertaken by Sharma and her team.

Nadella stated that the goal is to grow Xbox's user base to over a billion people per day, while increasing revenue. This ambitious plan will be executed through a combination of cutting costs and investing in new games and services.