Microsoft CEO reaffirms commitment to Xbox — on page 4 of a 6-page memo

He took a while in his windup, but Microsoft chief executive Satya Nadella reaffirmed his commitment to the Xbox game division as core to Microsoft’s business.

In a message to all employees, Nadella thanked Microsoft staffers for their contributions and laid out the company’s strategic priorities. On page four of his six-page memo, he addressed Xbox, which some wags have suggested would be better off as a standalone business, spun out of Microsoft. But as long as Xbox is profitable and makes Microsoft look cool to the masses, you can bet that it will keep the business. It may not get all of Nadella’s love and attention, but it remains Microsoft’s most successful diversification beyond Windows and Office.

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Dean Takahashi

Dean Takahashi is editorial director for GamesBeat. He has been a tech journalist since 1988, and he has covered games as a beat since 1996. He was lead writer for GamesBeat at VentureBeat from 2008 to April 2025. Prior to that, he wrote for the San Jose Mercury News, the Red Herring, the Wall Street Journal, the Los Angeles Times, and the Dallas Times-Herald. He is the author of two books, "Opening the Xbox" and "The Xbox 360 Uncloaked." He organizes the annual GamesBeat Next, GamesBeat Summit and GamesBeat Insider Series: Hollywood and Games conferences and is a frequent speaker at gaming and tech events. He lives in the San Francisco Bay Area.