On October 1st, gaming media kotaku published a blog post regarding rumors that Microsoft was considering selling its Xbox gaming business. Microsoft CEO Satya Nadella clearly denied these rumors, emphasizing that "the business will not be sold," and stated that the team will continue to work closely with Microsoft to restore growth to the business.

IT reported citing a blog post that this rumor can be traced back to June 2026. Technology media The Information reported that Microsoft internally discussed the option of reorganizing Xbox as a wholly-owned subsidiary, and even the possibility of splitting it off or selling it in the future.

Subsequently, the Xbox department underwent large-scale layoffs, studio reorganizations, and changes in the Game Pass strategy, among other "reset" ( reset ) actions. As a result, the outside world speculated that these measures were in preparation for the "division of Xbox ".

In an exclusive interview with The New York Times, Sharma directly responded to the speculation, stating that “Xbox is not for sale,” and emphasized that Microsoft will “do whatever it takes to make the company successful,” including finding suitable partnerships and business models, but the goal is to achieve growth within the Microsoft ecosystem.

She also emphasized, "We still have a long way to go with Microsoft, and we will take a long-term approach ( take the long-term view )." The media interpretation suggests that Microsoft's current reorganization is focused on internal streamlining, reducing management levels, divesting from smaller studios, and concentrating resources on building leading IP and subscription services.

Microsoft's Satya Nadella (mentioned recently) also pointed out that the industry needs a "sustainable business model" and a return to growth, but there have been no signs of Microsoft withdrawing from its gaming business.