# Microsoft CEO says Xbox has “the best IP” and “talented studios around the world,” is confident it’ll “return” to growth after its worst quarter in years amid mass layoffs

- URL: https://talkfuse.com/story/microsoft-ceo-says-xbox-has-the-best-ip-and-talented-studios-around-the-world-is-confident-itll-return-to-growth-after-its-worst-quarter-in-years-amid-mass-layoffs/
- Published: 2026-07-30T10:16:44+00:00
- Updated: 2026-07-30T11:20:23+00:00
- Original publisher: GamesRadar+
- Original article: https://www.gamesradar.com/games/microsoft-ceo-says-xbox-has-the-best-ip-and-talented-studios-around-the-world-is-confident-itll-return-to-growth-after-its-worst-quarter-in-years-amid-mass-layoffs/
- Topics: Art, Business, Companies, Culture, Entertainment, Gaming

## Key points

- Nadella expects Xbox to return to growth.
- Xbox content and services revenue fell 10%.
- Lay-offs and restructuring underline pressure on the business.

## Summary

Microsoft CEO Satya Nadella said Xbox has “the best IP in the industry” and studios worldwide, expressing confidence that the gaming business will return to growth after a difficult period. His remarks matter because they follow a major restructuring and job cuts, while Xbox’s latest results lag behind Microsoft’s otherwise strong performance.

Xbox content and services revenue, including Game Pass, fell 10% in the latest quarter, continuing a run of declining gaming results and weak hardware sales. Microsoft recently announced thousands of Xbox job cuts and plans to divest several studios as it seeks to improve the division’s profitability and refocus its strategy.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.