Next-Gen Xbox Is No Longer a Sure Thing, Insider Claims

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A recent report from a trusted source suggests that a next-generation Xbox isn’t guaranteed. Although Microsoft is thought to have been working on a successor to the Series X/S for several years, the company is now reportedly re-evaluating important parts of its gaming business, including the less-than-expected performance of Xbox hardware.

These claims come from NeoGAF user SneakersSO, who has a small but consistent track record of Microsoft scoops. They were the first to break the story of Xbox games going multi-platform in late 2023, more than two months before the move was officially announced. The Verge’s Tom Warren, a journalist with a reputation for reliable Microsoft coverage, even acknowledged SneakersSO during the October 5 episode of the XboxEra podcast (ep. no. 283), saying the leaker “knows a lot of what goes on internally.”

Microsoft Reportedly Paused Next-Gen Xbox Console Prep

SneakersSO, a known insider, posted on the NeoGAF forums on October 4th with more information about recent events at Microsoft. They confirmed the report that Microsoft spent $300 million on securing Call of Duty for Xbox Game Pass, stating this caused considerable worry within the company. Although some employees were initially told a new Xbox console could arrive as soon as 2026, that’s now less certain, and confidence in the project is reportedly declining. This is partly because Microsoft has recently put a pause on development work for its next-generation Xbox console, according to the same source.

More Xbox Game Pass Price Hikes Are Reportedly on the Cards

I’m hearing from someone on the inside that Microsoft is really changing its plans for Xbox. They’re moving away from making a lot of dedicated Xbox consoles and focusing more on games and services instead. Apparently, the big idea is that the future of Xbox is all about publishing games. They’re going to really push their most popular franchises and turn Game Pass into the main way people access Xbox Cloud Gaming – basically, a subscription to get you in the door. And, get this, that price increase to Xbox Game Pass back in October 2025 might not be the last one. SneakersSO is saying Microsoft will keep raising the price as they go.

The newly released ROG Xbox Ally handhelds could suggest Microsoft’s future plans for gaming hardware-licensing its brand to manufacturers (OEMs) rather than focusing on building its own systems. However, this approach would still require at least one manufacturer to heavily invest in the Xbox brand, especially considering its current public perception seems to be weakening.

The future of Xbox is software publishing.

Documents revealed during Microsoft’s legal dispute with the FTC regarding the purchase of Activision Blizzard suggest that work on the next Xbox, succeeding the Series X/S, started in the early 2020s. Subsequent reports indicated a shift in strategy: the new Xbox console is now being designed as a PC housed in a case that looks like a traditional TV console, aiming to simplify development for game creators.

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2025-10-05 19:07