KUALA LUMPUR: The future of Xbox is in doubt, if this week is any indication.
Days after announcing a new entry in the Senua action series, Microsoft announced the closure of the game’s creator, Ninja Theory. Longtime studios like Compulsion Games and Double Fine Productions are also at risk of closure unless they find a buyer outside of Xbox.
Right after its Xbox Showcase during the Summer Game Fest 2026 weekend, Xbox chief executive officer Asha Sharma and chief content officer Matt Booty published a public memo that summed up the grim reality facing the console and its future.
In short, Xbox is losing more money than it is earning. The company has spent more than USD20 billion on the brand alone, money it is unlikely to recoup anytime soon. As a result, it will undergo a “great Xbox reset”, scaling back and refocusing its efforts.
The sad reality is that much of this could have been prevented were it not for previous management decisions and questionable priorities. Projects that were partially completed could have been wrapped up and released instead of being cancelled, such as Project Blackbird from ZeniMax/Bethesda and the Perfect Dark reboot.
Xbox executives could also have been more responsible in managing game developers and studios instead of focusing on profit-and-loss statements and corporate status. The billions spent on Activision Blizzard could have been used to support existing studios, enabling them to produce more exclusive titles.
Xbox Game Pass is a good idea on paper, but throughout its existence it has trained consumers not to spend money on video games, revenue that is essential to sustaining both the business and the wider industry.
There should have been greater oversight and foresight in how Game Pass operates. The company could also have expanded official support and console and game sales into untapped markets such as Southeast Asia, excluding Singapore.
Many still remember the days when Xbox was innovating or at least differentiating itself while recognising that it remained a business that needed to make money. Xbox Live Arcade, Xbox Live online services and ecosystem, backwards compatibility – all of it. Now, it appears to be on life support, with its proverbial doctors preparing for the eventual euthanasia and funeral.
Do not mistake the current regime for an improvement. It is a group singing a dirge while delivering a reality check to its many fervent supporters, fanboys and sycophants posing as journalists.
Short Beats
Undertale: The Determination Symphony Concert will be stopping by Kuala Lumpur, Malaysia on Sept 28. The symphony concert will feature music arrangements from the role-playing game.
Street Fighter 6 will be adding its first Filipino fighting game character Yasmine to the roster on Aug 3. She fights using escrima and is equipped with a karambit.
Atlus has published a deep dive video on Persona 4 Revival, the remake of the 2008 Japanese role-playing game Persona 4. The game will be released on Feb 18, 2027.
Following the permanent closure of Nagoshi Studio, many of its high-profile developers have left the company since May 2026 to join firms such as Capcom and LightSpeed Japan.
Pre-orders for Grand Theft Auto 6 will begin next week on June 25 on digital storefronts and selected retailers worldwide. The game will be released on Nov 19, with its marketing campaign expected to intensify in the coming months.
Epic has revealed that its game engine Unreal Engine 6 will integrate AI models to help developers “reduce tedious work” and potentially “change a lot about how games are made”.
Op-Ed
We talk about the Summer Game Fest 2026 Play Days media-exclusive event and why it is the de facto replacement for E3.
We also played a good number of titles at SGF 2026 Play Days, as we were the sole Malaysian media outlet at the Los Angeles-exclusive event.
Games Out This Week
The Adventures of Elliot: The Millennium Tales is a new action-adventure HD-2D title from Square Enix and Team Asano. The top-down retro-style game follows adventurer Elliot as he travels through different eras of his kingdom to help save the world from impending threats. Out now for PC and consoles.
Recommended Viewing
Content creator OtherFrost talks about the merits of video game reviews and critiques, responding to a recent editorial by game developer Jeff Vogel.