CEO Asha Sharma and CCO Matt Booty have a message to the
We Are Xbox
Matt and Asha
Published April 23, 2026
This message was just sent to Team Xbox employees globally.
Dear team,
Xbox has always been different.
We started with a simple idea. Games should bring people together through shared experiences. That led to the first Xbox in 2001, Xbox Live in 2002, and new ways to connect, from friends lists and achievements to parties and play across devices. Today, Xbox reaches over 500 million players around the world, with some of the most important franchises in entertainment.
...building the team up, nice start! Reminding the team of the early glory days. Often, these meetings can feel meaningless at the time, but I find "all-hands" type stuff to be important. Something to remember too is that 2001 is 25 years ago so you have to be my age (50) to have enjoyed early Xbox days, or built the system and games - as an adult.
From the beginning, Xbox was built by people willing to try things that others wouldn’t. We placed a consumer bet inside an enterprise company because we believed gaming would define the living room, and we were at risk of missing it.
That spirit has carried us through the last 25 years, and it is required to carry us forward.
...well, it did for the first 15 years.
We have work to do
...see
Players are frustrated.
New feature drops on console have been less frequent. Our presence on PC isn’t strong enough. Pricing is getting harder for people to keep up with. And core experiences like search, discovery, social, and personalization still feel too fragmented. Developers and publishers are asking for more, too: better tools, better insights, and a platform that helps them grow faster.
...getting into the weeds a bit here.
At the same time, a new generation of players is coming online with different expectations. Their time is split across games, media, and everything else competing for attention. They expect more content in familiar places, want to shape the worlds they play in, and want to create and socialize together, not just play together.
...this stuff is true but it sounds forced. Social stuff can't be forced. Xbox Live was not forced; it just gave players what they wanted. Games and having fun was still the core experience. If that works, people will talk about it. Content creators will make clips, post photos, make youtube videos.
These changes are happening as the industry reshapes around us. Console remains large and stable. Windows now represents more players and more hours and is increasingly where competition is most intense. Players have access to more games than ever, even as the cost and time to build blockbuster titles continues to rise, putting pressure on what gets made and how risk is taken. Some of the biggest recent hits are coming from small teams or even single creators, and places like Roblox are producing experiences that rival major franchises in scale. More players are also choosing subscriptions and services as their primary way to play, with expectations set around instant access, ongoing value, and libraries that evolve continuously.
I noticed it was only "Windows" without "Microsoft." In fact, the company name is only mentioned once in this letter. It's like what GM should have done with Saturn way back in the day. Keep the corporate name away because that comes with a lot of baggage. I don't want to think of Excel sheets when I'm playing games and having fun.
The industry is becoming global and competitive. More than half of the market’s revenue, players, and growth are happening outside of our core markets. But the rest of the world is not just a large market. Developers there are increasingly competing with the most established Western studios, combining scale, speed, and a willingness to reinvent genres many once considered mature.
...I just wrote about this. The center of gaming is shifting.
The model that got us here won’t be the one that takes us forward.
Xbox will be where the world plays
What does Xbox become in this next era?
Xbox will be where the world plays and creates. We will build a global platform that connects players and creators everywhere. Console is at the foundation, delivering a premium experience, and cloud brings that experience to any device. You can play where you want, and your games, progress, friends, and identity stay with you across console, PC, mobile, and cloud.
...this stuff is interesting, but a console can't deliver on much of this. Like, a phone can't deliver a Broadway Show. Playing games on a console is a very specific experience. Should Xbox have a zippy app? Absolutely. Can Microsoft deliver that? Nope. At least they haven't yet. Even the PC to Xbox and vice versa stinks.
Xbox will be built to be affordable, personal, and open. We will offer flexible pricing so it’s easy to get started and keep playing. The experience will adapt to you, letting you customize how you play, helping you find what you’ll love, and connecting you with the right people. And we will be open to all creators, from individuals to the largest studios, giving anyone the tools to reach a global audience and keep their games growing over time.
... acknowledging what Steam does well. Cheap games, pricey games, easy to find. Easy to find those communities.
Our new north star will be daily active players.
...that comes with good games. If this means trying to find the next Fortnite, then... oh no.
We will execute this through four priorities: hardware, content, experience, and services.
Hardware
Stabilize Gen9 as a healthy and high-quality base
Deliver Project Helix to lead in performance and play your console and PC games
...The Xbox Series X is a fantastic device. Just build on that. It's crazy how much the Xbox One still haunts Microsoft. Anyway - backwards compatible but I'd like to see something different as well. Like a way to play a game via an external cartridge that connects via usb (or whatever). Repackage old games via what Disney did with the old clamshells or special edition discs.
Lead in comfortable, personal, high-performance accessories
...again... Disney clamshells. The Video Game Industry is now over 50 years old. Just like when Disney got older, you start to cash in on that history again. I'm not sure why gaming hasn't figured this out. Perpetually young, I guess.
Build a strong ecosystem that expands choice and reach
Content
Grow and extend an enduring portfolio of franchises players love
Evolve our 3P partnerships and strengthen our 5-year slate
Expand into China, emerging markets, and mobile-first audiences
...before they all become PC players, too late maybe.
Maintain and grow in live games and long-term stewardship
Elevate creator-centric platforms like Minecraft, The Elder Scrolls, and Sea of Thieves
...it's crazy how many videos on minecraft and Elder Scrolls are on youtube. My daughter is watching a minecraft one right now. Not sure about Sea of Thieves. Although, I do see that the narrative about nobody playing it might be wrong. Check out TrueAchievments, it's a hit over there.
Experience
Fix the fundamentals for players and partners
YES.
Make Xbox the best place for developers and creators to build and grow
...I'd have a team dedicated to finding small games that are doing well (and/or trending) on PC platforms and do everything possible to get them on the Xbox. Like a fast response team. Game blowing up? Get it on Xbox within a short period of time.
Overhaul discovery, customization, social and personalization to connect the community
Services
Fortify Game Pass with clear differentiation and sustainable economics
...Live is free, send promotions. I'd stay away from ingame ads but maybe put them around the edges like when you are watching a soccer game and the screen goes small and the ad is around 2 edges. There should only be one GamePass tier. It has to be close to a Netflix sub.
Return the business to durable growth with strong cost discipline
Make cloud play feel native, fast, and reliable across TVs and low-cost devices
...even if it was, would it be popular? Or profitable?
Use M&A deliberately to accelerate growth where organic paths are too slow
...again, have a rapid response team (think EMS/ambulance) looking out for independent developers. Constantly looking for great stuff. If it's hitting - send them out to the creators - get it on Xbox like yesterday.
Along the way, we will reevaluate our approach to exclusivity, windowing, and AI, and share more as we learn and decide.
We are Xbox
To achieve our master plan, the way we work must transform.
Our best work happens when the full stack moves together. “Microsoft Gaming” describes our structure but it does not describe our ambition. So, we are going back to where we started and changing our team’s name.
We are Xbox.
...This is great. Xbox, the brand, has a lot of built-up goodwill and loyal customers. "Microsoft" is an office product. Something you do work on. I hope this is Asha (brim full of) talking.
We are a high agency culture where wild and wonderful ideas thrive. Our job is not to smooth over our differences, but to connect everyone into something greater than any one studio or product.
We have to be honest about where we are. We’re a challenger, and meeting this moment will require pace, energy, and a level of self-critique that should feel uncomfortable. At our best we:
Earn every player
Protect our art
Stay rebellious
Progress over perfection
Signal over ceremony
Core before more
Outwork the problem
Speed is learning
Makers over managers
Clarity is kindness
..."makers over managers" is good. I also like words associated with progressive politics are not to be found here. I'm sure they are still in the employee manual, but when you are trying to effectively relaunch you need to focus on the simple things - hire the best. Asha mentions above. This also goes for unnecessary bureaucracy that seems to hamper certain wings of Microsoft.
Over the last five years, Xbox and the industry have been through an unimaginable amount of change, and this team has continued to deliver through it for our community. Thank you for staying focused on what matters. 62 days in, we’re proud of how we’ve honored our commitments of great games, return of Xbox, and future of play. We’re here to do the most creative and courageous work of our lives, and that’s what we’ll do together.
With gratitude,
Matt & Asha
...it really is a great start for Asha. She's saying the right things, which sounds easy, but isn't in the video game market. If she gets this right till GTAVI releases then Xbox can catapult forward off what will be a generational event that brings everyone back to the console market.
Thank you for reading.
Questions, comments: ljbaby654@gmail.com
