
- Xbox has reportedly been tasked by Microsoft to deliver a 30% profit margin
- If true, it could explain recent studio closures and price hikes across hardware
- Bloomberg notes the average profit margin target is typically around 17-22%
We may now know the reason behind Xbox Studios' rampant layoffs, game cancellations, and price increases for its hardware and subscription models - and it's all down to achieving a profit margin target from Microsoft.