Xbox grapples with layoffs, new Kojima project and Game Pass criticism

Xbox is confronting a turbulent period marked by announced layoffs, studio closures and project cancellations, fueling negative media coverage. New CEO Asha Sharma highlighted the upcoming Hideo Kojima game "OD", describing it as a groundbreaking experience that pushes the platform beyond traditional gaming. Kojima praised Xbox’s support for the project, saying it allows him to pursue ideas previously deemed "crazy".

At the same time, Moon Studios CEO Thomas Mahler, creator of the Ori series, publicly condemned Xbox Game Pass, calling it a "mediocre slop factory" and likening its model to communism. Mahler argued that the service lacks flagship titles that compel subscriptions, citing recent price hikes that allegedly cost millions of users. He emphasized the need for hit games from first‑party studios to sustain the subscription model.

These developments reflect internal challenges at Microsoft’s Xbox division and growing skepticism from industry figures about its subscription strategy.