Xbox is in the middle of one of the biggest overhauls in its history. Thousands of jobs have been cut, some studios have been spun off, and several projects have moved to other parts of Microsoft. Against that backdrop, Xbox CEO Asha Sharma has reportedly told employees that the business is turning a corner. According to a meeting transcript reviewed by Windows Central, she spoke about growth, the future of Project Helix, and where Xbox goes next.
Xbox First-Party Games Return to Growth
Sharma reportedly told staff that Xbox’s first-party titles have stopped losing players and are growing again. Engagement had fallen year after year, but it has now stabilized. She said the company reinvested after hitting an all-time low, and that the recovery is running at roughly two to three times the earlier level. She expects the trend to continue.
She also pointed to a 30% rise in positive brand sentiment toward Xbox over the past year, according to the report.
Strong Starts for Gears of War: E-Day, Minecraft Dungeons 2, and World of Warcraft Forever
Sharma said three of Xbox’s newest releases have had “strong” starts:
- Gears of War: E-Day
- Minecraft Dungeons 2
- World of Warcraft Forever
The transcript, as reported, doesn’t include specific sales or player-count figures, so it’s too early to say how long these launches will keep their momentum.

Project Helix: A Family of Devices, Not Just One Console
The next generation of Xbox hardware, known as Project Helix, came up during the town hall. Sharma again described it as a family of devices rather than a single box. A traditional console will come first, she said, but many players game on the go, so other form factors are in play.
She also noted that Xbox will build some hardware itself and partner with other companies for the rest, which suggests more handhelds could follow in the vein of the ROG Xbox Ally. She said the new operating system is “starting to look really good” and that the team is excited about it. More details are expected as plans firm up.
Current-Generation Xbox Still Needs Investment
Sharma acknowledged that the console industry has slowed, but argued current-generation Xbox hardware still deserves continued investment. Several initiatives are meant to strengthen the platform:
- A disc-to-digital program
- Xbox Cloud Gaming
- Xbox Play Anywhere
No Plans to Sell Xbox
Earlier rumors suggested Microsoft might sell or exit its gaming business. Sharma has recently confirmed there are no such plans.
Other Major Xbox Moves in Recent Weeks
The restructuring has also produced several notable changes:
- Halo has moved under Activision’s control.
- Obsidian’s RPG team now sits under Bethesda.
- Xbox struck a deal with Hideo Kojima to bring his new action-espionage game to Xbox rather than PlayStation.
What This Means for Xbox Fans
If the numbers hold, Xbox may be emerging from a rough stretch. The big questions now are what Project Helix hardware looks like, when it arrives, and whether the recent studio and franchise shuffles lead to better games. Until Microsoft shares official details, treat comments from an internal town hall as a signal of direction rather than a final plan.