They'll be fine. I said a few years ago when they announced the plan to buy Zenimax, that they were going to go full publisher instead of console maker.

Big money is what they are after, and big money is in software, not hardware.

February 21, 2026 - 06:28 UTC

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Yeah, I hopped on that boat once the ABK deal happened. That amount of money made zero sense for them to become first party only devs.

I’m more talking about here the Xbox brand surviving. I’d almost bet they transition to “Microsoft gaming” or something similar.

They’re going to “HBO Max” this 😂
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Part of Asha’s corporate introduction letter mentions a “recommitment to console” and there’s no mention of Nintendo or PS in there and some folks are positing it mean that they’re going back to console exclusivity but that sounds absolutely insane to me. You can’t put that genie back in the bottle.
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Xbox gaming will survive in some form for a while, if they countinue to diminish the brand and run massive debt for AI squeezing the other divisions they may end up selling it off.
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If they do sell it, which I don't think they will, there won't be a 3rd console maker. Hardware isn't a good business if you don't publish.

Their MSFT gaming revenue drop is from not being able to sell the console. But their publishing revenue is growing.
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