Xbox CEO Asha Sharma was appointed to a Federal Reserve task force examining AI and jobs, an assignment that has drawn public attention due to her concurrent oversight of a 3,200-person workforce reduction.

Microsoft's restructuring of the Xbox division has resulted in the loss of roughly half the staff at id Software, raising questions about future projects.

Microsoft is reducing its Xbox workforce by 20% and divesting several studios to address profit margin challenges and simplify organizational complexity.