This week, Microsoft took a huge ax to its Xbox business. The company announced that it would be laying off 1,600 workers now, 1,600 more over the next fiscal year, and that it would be shedding four studios. Xbox CEO Asha Sharma hasn’t been shy about why she’s making such dramatic cuts, saying in a memo that the business is “not healthy.” Speaking to Fortune, she said that “we simply spread ourselves too thin.”

Given the scale of the changes and Xbox’s currently vague strategy of focusing only on big games, it’s unclear just what the future of the platform is. As Microsoft invests much of its resources into everything AI, a struggling cons …

Read the full story at The Verge.