Overview

• Microsoft told Windows Central it is "actively investing" in future Xbox consoles and first‑party devices designed and built by Xbox.
• Windows Central, citing trusted sources, reported that next‑gen hardware plans remain in place for now and that Xbox Series X|S production continues.
• The fresh wave of speculation stemmed from NeoGAF leaker SneakersSO claiming next‑gen plans were "up in the air" and predicting a pivot to software and cloud, with The Verge’s Tom Warren saying the leaker "knows a lot."
• Recent pressures fueling doubt include a 50% Xbox Game Pass Ultimate price increase and Bloomberg reporting that putting Call of Duty on Game Pass reduced potential sales by more than $300 million.
• Retail shifts were cited in the rumor, including claims that Costco removed Xbox consoles from sale, and the leaker also predicted another major round of layoffs in early 2026.