Big news in the gaming world! Microsoft is hitting the pause button on its next-gen Xbox console plans. According to insider info from NeoGAF user SneakersSO, who has a pretty reliable track record, Microsoft has been rethinking its gaming strategy. Originally, there were whispers about a new Xbox arriving as soon as 2026. Now, internal staff confidence is wavering, and the company has scaled back preparations for the console.

So, what’s behind this shift? Well, it looks like Microsoft’s investment in a “Call of Duty” Xbox Game Pass deal didn’t pan out as expected, costing them a staggering $300 million. This financial hit has caused a lot of uncertainty within the company, making them reconsider their console-focused approach. Instead, insiders say Microsoft is likely to push more into software publishing, shifting their focus away from hardware and gearing up for a future with Xbox Cloud Gaming.

What’s Next for Xbox Game Pass?

In other news, Xbox Game Pass price hikes might be on the horizon. If you’re a fan of Game Pass, you might need to budget a little more, as SneakersSO indicates that more price increases are likely coming down the line. Microsoft seems keen on transitioning Game Pass into a primary subscription for Xbox Cloud Gaming, making it easier to access a wider array of games across devices.

Interestingly, Microsoft has recently unveiled the ROG Xbox Ally line of handhelds, which might give us a sneak peek into how they plan to tackle gaming hardware in the future. This approach suggests that instead of developing their own systems, Microsoft might license their brand to other manufacturers. The success of this strategy heavily relies on whether reputable companies are willing to invest in the Xbox brand, especially given its current image challenges.

What About the Future of Gaming?

Previously leaked documents hinted that the development of the next Xbox console was in the works as far back as the early 2020s. Reports indicated that the next-gen console was originally designed with a PC-friendly architecture, making things easier for developers. But now, it seems like the tides are turning.

The consensus seems to be that “the future of Xbox is software publishing.” This shift in focus could change how we experience gaming, with less emphasis on owning a console and more on accessing games from anywhere. As we dive into this new chapter, keep an eye on how Microsoft develops their strategies moving forward!