
Microsoft’s latest entry into the console industry is rife with examples of a company that wanted to usher in a fully digital gaming ecosystem. A single look at the Xbox One’s operating system today is enough to see that Microsoft’s last-minute policy reversal was a half-baked emergency maneuver to undo the PR damage to Redmond’s image in the weeks following E3 last June. What if it had stuck to its guns?

Microsoft announced its financial results for Q3 of fiscal year 2026, including an update on its gaming Xbox business and more.
Not looking good. Hopefully Asha Sharma is able to turn Phil’s disaster around.
To me it's still quite remarkable how they can cash-in 5.3bn in revenue in a single quarter, since their hardware is basically dead.

Xbox boss Asha Sharma has discussed how component shortages will impact the company's plans for Project Helix.
This kind of proves this is an after thought product, most products like this are in r&d 5 years before they start mass producing. So they typically have the cost of components and things worked out long before assembly starts.
This is an assumption still, but I wouldn’t be surprised if project helix is similar to Scalebound,perfect dark and sod3. They had an idea but no actual execution other than concept stage. Being impacted by the ram shortage likely would also put this device 3-4 years out.
I’m not even sure MS has that endurance with Xbox yet
Helix is going to be stupidly expensive
Instead of leaning into smarter upscaling techniques they're brute forcing hardware that will cost them dearly and it remains to be seen if it's genuinely going to provide a meaningful differential
I know in the oc.doace people like to brag about not using frame gen or dlss to get to high on a game but for the majority of players they happily use those technologies without a second thought
That's going to be ps6 vs Helix
It's called systematic inflationary. Yes we get it Microsoft, keep raising in the name ofall kinds of stuffs
Honestly if there was thing I learned from this generation is that new consoles arnt day one anymore.
I can wait 1-3 years.

In an exclusive interview with Game File, new(ish) Xbox boss Asha Sharma and Xbox chief content officer Matt Booty explain their vision for Microsoft’s gaming division
A good start would be to release games to go with the console. My Xbox Series X has gathered dust virtually from launch. My advice would be to ditch a next console and release games on PC, PlayStation and Switch. Another idea would be a hybrid console based on Xbox Series X tech and go the same route as Nintendo. Another idea would be to pull out of gaming altogether. Plenty of options there.
The author seems confused lol
Buy all your Xbox games digital then, Adriaan. Make a sandwich or 5 while it downloads and installs. Good luck with that.
I've saved a lot of money buying retail copies of my games. Deals that you can only dream of on the PS Store and Xbox Market place.
“The primary and most oft-cited rebuttal against a fully digital console is the notion of choice.”
Of the too many factors that make Steam and PC arguably the best version of digital distribution is that my games, old or new, are accessible on any computer with capable hardware. As I write this, I believe consumers would rejoice if enhanced 1080p versions of Halo Reach, Gran Theft Auto V, Modern Warfare 2, Borderlands 2, Splinter Cell: Blacklist, Bayonetta, Saints Row IV or (place favorite here) were available to repurchase digitally with a very significant discount similar to a Steam Summer/Holiday Sale.
I dislike letting go of last gen software because of new hardware. I'd personally love to play the games I just listed without having too keep my previous console(s). That's what's PC has.
“It’s almost comical how the gaming community at large was starting to wrap its head around the benefits of Microsoft’s original vision when the announcement came that they were going to change it. A new platform with a chance to improve on the foundation that Steam has so delicately established over the years; a unique opportunity to redefine how we consume content from our gaming box under the TV.”
Unfortunately, I 100% disagree. A faction in the community wants Microsoft to remain in their good graces. If this was “a new platform with a chance to improve on the foundation that Steam has so delicately established over the years”, then their executives and Major Nelson would have demonstrated this, in my opinion.
No demonstration of mod support, for at least first party games, for a digital console that Steam enjoys. Mod Support attracts more gamers, thus more gamers to distribute good DLC too. No demonstration of genuinely good deals for a digital console that Steam enjoys. Steam isn't the only distributor of Steam Keys too. No demonstration of community discussion(s) for a digital console that Steam enjoys and I enjoy this feature more than I care to admit, lol. Steam offers options such as Mouse/Keyboard or gamepad support. They all matter and accumulate into the best experience.
This Was Never the Xbox One Future After E3.
1) Even if it looked like Steam you would never get any discounted prices close to it
2) How do you imagine disc less digital only device with 500GB non replaceable, even less usable space hard drive ???
I can't imagine when I saw last time a better price on XBL on a game I wanted to buy ( wanted to buy not some impulse holidays 10 days countdown) their digital titles are always up to $20 and even more upmarked
Was with them DRM or not I really enjoy the tears from people that had no intention of buying it anyway yet get on the highest horse in town to shout their displeasure go play something.
If Nintendo ends up being the sole company that still does physical... I'm heading there.. I can't live in a digital world.. I have shelves to fill damn it! I KNOW Nintendo will stay that way because we all know their stubborn attitude... blessing in disguise.