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Over the years, numerous people have suggested Xbox might be better suited as a standalone company rather than being a division of Microsoft, and now another person has shared that view.
Rhys Elliott of Alinea Analytics wrote that the “most logical long-term move” for Microsoft would be to spin off Xbox. He said Xbox has “some of the most valuable IP in the business” under its belt, including Xbox franchises and titles from subsidiaries like Activision and Bethesda.
Elliott–an industry analyst known for his insightful and opinionated takes–pointed out that gaming, as a business, has lower profit margins than some of Microsoft’s other business areas, and a standalone version of Xbox could be “free from the burden of matching the ROI of Azure or the ubiquity of Windows.”
“It could return to its roots as a scrappier, game-focused competitor,” Elliott said.
He added that Microsoft Gaming’s new CEO, Asha Sharma, might be the right person to help steer Xbox through such a move to help “truly reclaim its 25-year legacy.”
“[Xbox] needs to stop being a footnote for Satya Nadella and become something of its own,” he said. “It’s big enough. The best pathway forward, in my eyes, is to set Xbox free. Not by
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