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Microsoft Rebuffs Report of Xbox Hardware Exit, Cites Ongoing Next‑Gen Console Investment

A company statement to Windows Central references its June AMD partnership covering future consoles.

Overview

  • The latest rumor originated on NeoGAF from leaker SneakersSO, claiming Xbox hardware plans went from concrete to uncertain and describing a shift to software and cloud.
  • Microsoft said it is "actively investing" in future first‑party consoles and devices, pointing to its multi‑year AMD silicon agreement.
  • Windows Central, citing unnamed sources, reported that Xbox's next‑gen hardware plans remain intact for now and that Series X|S production continues.
  • Skepticism intensified after a 50% Xbox Game Pass Ultimate price increase and reports that retailers such as Costco removed Xbox consoles from sale.
  • The NeoGAF post also forecast large layoffs in early 2026, a prediction that has not been corroborated by Microsoft.