Xbox CEO praises Hideo Kojima before layoffs, former studio head says heartbroken

📅 2026-09-26

Abstract:

Xbox's current situation is not optimistic. Microsoft's gaming department is undergoing a large-scale restructuring and plans to lay off a total of 3,200 positions. In this context, Xbox CEO Asha Sharma's recent trip to Japan was publicly criticized by the former head of a Microsoft-owned studio.

Sharma visited Kojima Studio in Tokyo, not only to inspect the studio operations, but also to meet with Hideo Kojima himself. The release of the relevant itinerary photos coincided with the official announcement that Kojima Studio's game "Physint" will be distributed by Microsoft after Sony terminates its cooperation.

Xbox CEO praises Hideo Kojima before layoffs, former studio head says heartbroken

Considering the current situation of Xbox, this wave of operations is really surprising. A senior industry developer also publicly expressed his dissatisfaction.

Shannon Loftis, the former studio head of World's Edge, the developer who was responsible for the "Age of Empires" series, posted on the social platform Threads: "It's so ironic. Asha Sharma told the Wall Street Journal last week that 'clarity is goodwill', and then turned around and started layoffs. Is the Sword of Damocles considered a kind of clarity? I can't understand it."

She was referring to a Wall Street Journal interview with Sharma that discussed the Xbox chief's management philosophy for dealing with layoffs and internal turmoil. Sharma adheres to the principle of "clarity equals goodwill" and advocates that any bad news should be communicated directly and straightforwardly. There's something to be said for not beating around the bush, but it's hard to feel that kindness when you're told that your job is on the line.

According to reports, Xbox's restructuring and layoffs this week have affected World's Edge studio, and details of the layoffs have been leaked through social media. Loftis, who will leave the studio in 2022, also posted condolences to her former colleagues on LinkedIn, saying the news left her "heartbroken." She said: "I don't know how many people have been affected by today's news, but I am certain that these people are hard-working people who know how to make games and can bring happiness to players."

From her Threads posts, I can feel the full disappointment and anger. Loftis also sarcastically said: "Please Asha, please show more 'cool' photos of you going to Japan to pursue Hideo Kojima. This is the kind of leadership that game developers want."

Sigh. It’s entirely conceivable that developers who have been laid off or had major changes in their positions and teams over the past few months would be disgusted to see Sharma’s high-profile meeting with Hideo Kojima. While aggressively cutting jobs and cutting costs, the management is aggressively promoting cooperation abroad. This contrast is really unacceptable.

But having said that, Sharma’s job is not to improve interpersonal relationships, but to lead Xbox out of its current predicament. Winning Hideo Kojima's project will have an immediate effect, at least in terms of gaining attention. As for whether this can truly bring about substantial business improvements for Microsoft, it will take time to prove.

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