Xbox launches new film and television division following mass layoffs earlier this year
Expanding beyond traditional gaming.

Image by Getty/Bloomberg
- Xbox launched XP to expand into film, TV, products, events, and partnerships.
- Kayleen Walters, former Mojang Studios president, will lead the new division.
- The move follows Xbox layoffs and has drawn mixed reactions from users.
Key Takeaways by nexos.ai, reviewed by Cybernews staff.
Xbox is expanding its range in the entertainment industry by starting a new division, but many users seem to want the company to focus on gaming.
Xbox has introduced XP, a new division dedicated to “film, television, consumer products, strategic partnerships, and live experiences.”
The new department will focus on 4 investment areas related to movies, products, places, and partnerships.
The company hinted that it will bring its “worlds and characters” to audiences via film and television, expand its franchise through products, and organize events to “bring communities together.”
The Xbox XP division will also deal with sponsorships and brand partnerships.
The new division will be led by Kayleen Walters, who previously was the president at Mojang Studios, the creator of Minecraft.
“Our franchises can mean more to people than the time they spend playing them,” Xbox CEO Asha Sharma said, adding that “Kayleen knows how to build those experiences with the industry without losing what made people care about the franchise in the first place.”
The announcement of the new division follows layoffs and restructuring at Xbox earlier this year.
Users react
The news about the XP division sparked an online debate, reflecting mixed opinions.
“Why does Xbox / Microsoft make it so damn complicated. Make good games. Have excellent hardware at a reasonable price,” wrote one user.
“[C]hoose to keep many of your most popular titles exclusive, at least timed. Create a brand that people want to buy into.”
“Let's get the consoles successful before we start making theme parks,” added another Redditor.
Say hi to Xbox's new division: 'XP' will boost Xbox games off-platform — from movies, to TV, to merchandising, and even theme parks
by u/ThinWhiteDuke00 in xbox
“Xbox getting back into movies and TV after killing the Movies & TV app is the most ironic thing ever,” shared another user, hinting at the company’s decision to remove its store, which was used to buy and rent movies and TV shows via Xbox console.
The company shut down the app in 2025.
Some users were more positive about the new division.
“To be fair, compared to PlayStation and Nintendo, Xbox is a joke in pop culture [...], and this kind of initiative can really help with that,” shared one user. “Yes, I'd rather all budget go into keeping jobs and make amazing games, but I think it's a great sign that they want the brand to live.”
“I know people will rag on this, but it makes total sense. Xbox owns an enormous amount of IP that spans decades. Keeping them relevant through other forms of entertainment is healthy for their future,” added another Redditor.
It’s been reported that the company has already seen great success in some projects unrelated to gaming. One of such examples is A Minecraft Movie, which earned $163 million in the US.
What’s going on in the Xbox gaming department?
It was recently reported that Xbox may also have exclusive streaming rights to Grand Theft Auto 6.
However, Xbox’s Chief Strategy Officer Matthew Ball put a stop to these speculations, sharing that the game “will not be streaming exclusively or to PC.”
As the game date approaches, this news seems quite important to gamers, some of whom were recently hit by upcoming changes to Xbox Game Pass.
The company announced that, starting in November, it will limit Xbox cloud gaming to 15, 10, or 5 hours per month, depending on the plan.
This comes after Microsoft increased the price of its gaming consoles for the third time since last year.
The company also made changes affecting those who use a TV to play their games by removing Samsung Smart TVs produced in 2020.