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Is the Xbox Dead? Founding Member Slams Microsoft's Gaming Strategy

'It looks like they're abandoning pretty much everything that made the Xbox brand great in the first place,' says Laura Fryer, a former executive producer at Microsoft Game Studios.

June 30, 2025
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Xbox marketing (Credit: Microsoft)

A former Microsoft gaming executive is slamming the company’s push to bring Xbox games to every device, dismissing it as a marketing stunt that covers up a flawed strategy.

“I’m not pleased with where things are today,” Laura Fryer, a founding member of the Xbox project, says in a new video. “I don’t love watching all the value that I helped create slowly get eroded away," she says, adding, "Personally, I think Xbox hardware is dead."

Fryer published the 12-minute video over the weekend. It comes as Microsoft has pivoted away from the traditional Xbox console and played up GamePass, the company’s Netflix-like game streaming service that works on the console and a growing number of devices, including smart TVs, phones, PC handhelds, and even VR headsets

Microsoft also created a "play anywhere" campaign for Xbox. However, Fryer argues that "It's style with no substance. Unfortunately, I don’t think marketing is going to be enough."

Xbox handheld
ROG Xbox Ally (Credit: Microsoft)

In particular, Fryer focused on Microsoft’s recent announcement to sell an Xbox-branded version of the Asus Rog Ally X handheld. "I don’t see any reason why anyone would buy this piece of hardware," she says.

That’s because the ROG Xbox Ally runs on Microsoft Windows 11, which is not exactly a major selling point since all kinds of PCs and other rival handhelds run the same operating system. 

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Fryer concedes she has a bias, saying she hates Windows and favors linux. But she adds the other major problem with the ROG Xbox Ally is the overarching message that Xbox games can be played on all kinds of devices. In addition, Microsoft has been phasing out at least some game exclusives for the Xbox platform. “So why would I buy the ROG Ally?” she asks in the clip. 

“I’m sad because from my perspective it looks like Xbox has no desire or literally can’t ship hardware anymore. So this partnership is about a slow exit from the hardware business, completely,” she claims.

Microsoft didn’t immediately respond to a request for comment. But the company will most likely disagree. Earlier this month, Redmond teased next-generation Xbox hardware that will be built in partnership with chip maker AMD. Still, Microsoft hinted that future Xbox hardware will not only expand to a portable handheld, but also open access to third-party game stores. 

In her video, Fryer says Microsoft’s "play anywhere" strategy risks undermining any reason for consumers to buy an Xbox over a Windows PC or Valve’s linux-powered Steam Deck. "It's one year from the 25th anniversary of the Xbox, and it looks like they're abandoning pretty much everything that made the Xbox brand great in the first place,” she added. 

Fryer may have a particular axe to grind since she was an executive producer for the Gears of Wars franchise, which used to be an Xbox exclusive. Last month, Microsoft announced it was bringing a Gears of Wars remaster to the PlayStation. 

In the same video, Fryer also worried about the future of the Xbox, pointing to the decline in game quality. “But what is the long-term plan? Where are the new hits? What will make people care about the Xbox 25 years from now?” she asked.

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