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Microsoft denies Xbox hardware shift, cites AMD partnership

Published 6 October 2025

Over the weekend, an online poster claimed Microsoft was moving away from building Xbox consoles and would focus on software and cloud services, prompting widespread discussion and a company rebuttal. Microsoft said it remains committed to hardware development, stating in a company statement that it is "actively investing in our future firstparty consoles and devices designed, engineered and built by Xbox" and pointing to its multiyear partnership with chipmaker AMD.

The rumor originated from a long‑running forum poster who has previously shared information about the platform holder's plans. The post said internal plans for a next‑generation Xbox had become uncertain after recent layoffs and disappointing results tied to putting a major franchise on subscription service Game Pass, and suggested the Xbox business could shift to software publishing, cloud streaming and releasing games across other devices. The post also alleged retailers had begun removing Xbox hardware, a claim Microsoft has not confirmed.

Microsoft's public response reiterates the June announcement of a strategic partnership with AMD to co‑engineer silicon for a portfolio of devices, including future first‑party...

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