Xbox’s Second Wind

A New Challenger Approaches

If you have played a video game in the last 30 years, you’ve definitely heard of the console wars in some capacity. Whether it’s arguing over which platform has superior hardware, or debating which console has the better exclusives, there's always plenty of discourse surrounding this major conflict. In recent years, Xbox has started to fall behind. With multiple price increases, a lack of availability, and Microsoft focusing on other projects, Xbox seems to be losing their footing in the battle between the consoles. But will naming a new CEO of Microsoft Gaming be enough to change the trajectory for Xbox?

Sayta Nadella, the Chairman and Chief Executive Officer of Microsoft, seems to think so. In late February of this year, he announced that Asha Sharma would become Executive Vice President and CEO of Microsoft Gaming. She’s not just another member of a faceless company board, Asha is already rallying gamers around the world with changes she’s brought within the first three months of her tenure. 

In addition to Asha’s role, Sayta also announced that Matt Booty will be named Executive Vice President and Chief Content Officer of Microsoft Gaming. Matt has worked with various studios bringing iconic titles to Xbox like Halo, The Elder Scrolls, and many more, while expanding the console gaming experience for a while now.

Promotions are cool, but let’s discuss what they’re doing differently, and what it could mean for Xbox’s legacy.  

Dew and Doritos

Two months after their onboarding, Asha and Matt released a message to Xbox employees around the world, titled “We Are Xbox”. 

While the memo was professional, it wasn’t littered with corporate jargon. The tone that the new leadership established while addressing the company direction and player frustration was honestly reassuring. It didn’t read like a sanitized corporate statement that pretends to listen without any change. In fact, it was quite the opposite. That distinction is exactly what I believe will put Xbox back on top in the console wars.

They duo pointed out that dwindling console-exclusives, hiked prices, and incomplete console features, were major thorns in gamer’s sides, but also that they have “work to do”. This is typically where companies offer that generic reassurance, but I was impressed with Asha and Matt’s candidness to acknowledge and critique the current state of the company, while actively introducing changes to push Xbox into a new era. 

The first change within the team’s message was a thematic one. They took a step back and reevaluated what Xbox is and who it's for –boldly saying that their “new north star” is “daily active players”. Their goal to increase and maintain players inherently centers the focus towards gamers again. 

For perspective on this shift, I’d like to reference another Red Fox Gaming article written by my great friend and colleague, Stephen Clark. In his 2024 piece called, “The Console Wars: Where The Big Three Stand”, Stephen’s take was that Microsoft, “returned to its core as a software company first that disregards or downplays platforms in favor of universal utility and accessibility”, to which I couldn’t agree more. But after seeing the changes brought by Asha and Matt, I’m inclined to believe that they have what it takes to give Xbox its “it-factor” again. 

The Green Returns

Xbox talks a big game, but can they back it up? Well, the duo didn’t throw out empty promises, they listed four areas to innovate that’ll help Xbox shift its priorities to gamers again. Among their goals to stabilize hardware, elevate content, reevaluate services, and fine-tune the Xbox experience, the Executive Vice Presidents also changed the name from Microsoft Gaming, back to Xbox. 

The initial rebranding in 2022 was an attempt to standardize various game studios under a single division as opposed to a simple name change, but I’d argue that reverting back to “Xbox”  has both symbolic and practical value. 

When Xbox was renamed, it effectively distanced themselves from their legacy. The separation from their iconic green logo severed the connection to the culture that created the console to begin with. Their decision to favor the basic white emblem marked a critical point of change within the company's philosophy –one that Stephen highlighted perfectly two years prior. 

The fact that Asha and Matt were able to recognize this distance and rally under “Xbox” again places us back in the environment that allowed the company to thrive. At the very least, their ability to hold a “level of self-critique that should feel uncomfortable”, should be commended because that isn't the industry standard. 

I remember a company that was hungry for more, a console like Pandora's box, and games that made you pull all nighters outside GameStops. Sure, Microsoft owns Xbox, but the console is more than that, and our duo would agree. 

““Microsoft Gaming” describes our structure but it does not describe our ambition.”

There will always be a business component with Microsoft’s decisions regarding Xbox, but if we continue to see changes like these, spending money with Xbox will start to feel less like a forced habit, and more like it did when all you had to worry about was getting teabagged(1) by an enemy spartan. 

No More Red Rings of Death

While company directives and upcoming upgrades are important, what are the changes that are happening now?

Last month, Game Pass Ultimate holders saw a decrease of about seven dollars, and the PC Game Pass dropped by $2.50 in their respective pricing. Albeit small, the price decrease aligns with Asha and Matt’s mentality of “progress over perfection”. 

In addition to the changes brought to the Game Pass, the memo also mentioned that the Xbox experience “will adapt to you, letting you customize how you play.” Which on first glance, reads like typical marketing tactics, but after rumors of a new Game Pass model in the works, it could mean more for the future of Xbox gaming. 

As someone who has a Game Pass subscription, the implication that the “current model isn’t the final one”, is great to hear. While the claim that Microsoft is working on a model for gamers to “choose the content of their membership”, isn’t officially confirmed, the notion that you’d get to choose the features you’re paying for is beyond exciting and should’ve been the standard anyway. 

The dynamic pricing of this rumored model would definitely revolutionize game subscriptions, and could even go past the consoles as a whole. Currently, Game Pass Ultimate offers Fortnite Crew as an incentive, offering a type of package deal along with additional Xbox benefits, but if you had the capability to remove, or outright choose another paid feature instead, it opens the door to true player customization. To which I’d say, is on par with the new leadership’s pushes of power in the hands of gamers, while simultaneously restoring the luster of the brand, one change at a time. Obviously this is speculation, and time will be the ultimate test for Asha and Matt’s ambitious mission. However, it’s been less than a year since their promotions, and they are already making headway. So, I’m eager to see what else they have that’ll shake the game up and push Xbox ahead in the console war. 

Xbox’s Potential

The bottom line is that Xbox has new leadership. As they continue to make changes, there’s one thing that’s clear. Asha and Matt seem to understand that a change is needed to usher in a new era for Xbox, and as they introduce themselves and their message, it seems as if they have the mentality and resolve to get it done. 

The duo’s work is cut out for them, that’s for sure, but let’s see where their innovation takes the console we’ve grown to love as they settle into their new positions. Personally, I’m thrilled to see the competitive spirit within Xbox again, and I think Asha and Matt will hold the company, and the console to a higher standard. 

We may not be in the MLG(2) era anymore, but I hope to see Xbox Trickshotting (3) their way back to the top of the consoles. So, let’s sit back and see what the newly promoted duo can cook up. 

1. Teabagged - “repeatedly crouching and standing up while standing over the dead "body" of a killed enemy”

2. MLG - Major League Gaming, also could refer to memes and montages of gaming in the 2010’s

3. Trickshotting - Often showcased by jumping off a ledge, performing tricks like swapping weapons, knifing, and spinning, while landing a kill