Multiple outlets report that Microsoft is reviewing options for restructuring its Xbox business while also seeking to accelerate development of major franchises. Citing The Information (via Reuters), the reports say Microsoft is considering separating Xbox into a standalone company or restructuring it as a “wholly owned subsidiary,” rather than leaving it as a division inside Microsoft. The coverage links these discussions to challenges for Xbox in recent years, including subscriber losses tied to changes around Game Pass pricing, and subsequent improvement following a price cut and removals from the subscription library.
In parallel, the reports say Microsoft plans to increase investment in key Xbox franchises, including Halo, The Elder Scrolls, and Fallout, with the aim of speeding up their releases. Specific details remain unclear, but outlets note that Elder Scrolls VI and Fallout 5 have been announced for years with limited updates, while Halo: Campaign Evolved is positioned as a near-term release, and Microsoft is also attempting to manage console platform strategy.
One outlet also mentions that a previous PS5 plan for Gears of War: E-Day may have been dropped as Microsoft looks to refocus on console exclusives.