Xbox CEO Asha Sharma Following Earnings Report: 'We Know We Have Work to Do' - News
by William D'Angelo , posted on 01 May 2026 / 2,109 Views
New Xbox CEO Asha Sharma in a post on social media following Microsoft's latest earnings report knows the team at Xbox still has work to do to despite having made progress since taking over.
"Xbox earnings today," said Sharma. "While we have made progress expanding the business and our margins, player and revenue growth has not yet met our ambition. We know we have work to do to earn every player today and into the future."
Xbox gaming revenue for the quarter ending March 31, 2026 dropped 6.6 percent to $5.34 billion. Xbox content & services revenue decreased five percent, while Xbox hardware revenue fell 33 percent.
Microsoft's forecast for the quarter ending June 30, 2026 expects Xbox content & services to decline in the low teens percent (-11% to -13%) against a prior year that benefitted from strong content performance, as well as the recent price changes in Xbox Game Pass. Xbox hardware is expected to decline.
Microsoft CEO Satya Nadella in an earnings call with investors stated the Xbox team is "recommitting to our core fans and players and shaping the future of play. Last week's Game Pass changes are one example of how we are staying responsive to customer feedback."
A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012 and taking over the hardware estimates in 2017. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel. You can follow the author on Bluesky.
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Ditch the Xbox console, and go full third party, yes we all know what will inevitably be your future.
They should honestly spin off ABK and Bethesda into independent companies.
They're heading in that direction. The next console isn't really a console it's a PC.
Yeah, like they are clearly going toward a Game Pass only future, which is great then the three companies will each be doing different things: subscription service, home console, and hybrid handheld.
I'm pretty damn surprised they've announced working on a successor console. Right now seems like the perfect time to work to secure deals with Sony and Nintendo to get Game Pass on those current / future consoles and then they open up MS games to way more people and drop the overheads of having to develop and produce hardware that sells poorly and only holds back the business.
I don't get why they are beating the dead horse that is the xbox HW brand.
Can't wait to see MS PR when helix sells even worst than series X in its life time XD
I'm curious what decisions they are going to make to improve these numbers. But as far as I can tell, XB hardware is a lost cause. I fail to see why any significant portion of the population would buy into Helix right now (of course we need more info on it etc) with PS and Switch (and PC) being far more attractive options.
Exclusives sell systems, I know its a wild and foreign concept to you, you should try it!
last shot!
