Microsoft Flight Simulator X: Steam Edition - Santa Barbara Airport (KSBA)

While the new Xbox leadership team under CEO Asha Sharma has been on a charm offensive lately--while also promising a "reset" for the division that suggests layoffs are on the way--Microsoft CEO Satya Nadella got down to brass tacks recently. During a panel at the New York Times Hard Fork event, Nadella spoke about how Xbox will have to find a way to become more profitable as it enters a new era. "No one can accuse Microsoft of not having invested for the last 25 years," Nadella said. "And now we have to turn this into a sustainable business that delivers what is fundamentally one of the best

Microsoft recently announced mass layoffs affecting 4,800 people, including 3,200 at Xbox, and now US Senator Bernie Sanders (D-VT) has ripped the technology giant for cutting staff at a time when it's making massive profits. Posting on social media, Sanders pointed out how Microsoft made more than $100 billion in profit in 2025, with CEO Satya Nadella getting paid $96 million. He also called out how US President Donald Trump's new tax plan would save Microsoft $12.5 billion. "Please don’t tell me corporate tax breaks create jobs. It never trickles down," he said, calling out the Xbox layoffs

"This is what insanity and despicable corporate greed looks like," said another artist.

Xbox chief technology officer Scott Van Vliet has laid out Microsoft's response to the licensing problem that left players unable to play their games

Xbox exec Matt Booty has attempted to clarify Microsoft's new position on game exclusivity, following the reveal that Gears of War: E-Day and Clockwork Revolution will never come to PlayStation.