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GamesRadar
GamesRadar
Technology
Scott McCrae

With over 9,000 people laid off, Xbox more expensive than ever, and several studios closed, Microsoft's pro-AI CEO says the "best way to innovate is to have good margins"

Xbox Series X.

Microsoft CEO Satya Nadella has shared his views on the gaming landscape, saying that the best way to innovate is to achieve better margins.

Xbox has been on a generational run of vastly disliked decisions this year, giving that original Xbox One reveal a run for its money. From mass layoffs that resulted in the cancellation of multiple projects, like Everwild and the Perfect Dark reboot, to third-party games like Romero Games' new game. Xbox prices have also gone up twice in 2025 alone (not just for consumers either; dev kits have been bumped up too). This was then followed by a big rework for Xbox Game Pass, which was a solid enough cover for a massive price hike for the subscription.

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