Laura Fryer, one of the founding members of Microsoft Game Studios, has expressed strong dissatisfaction with Microsoft’s current console strategy. According to her, “Xbox hardware is dead.”
A veteran of the video game industry, Fryer played a key role in developing the Xbox ecosystem. She joined Microsoft Game Studios in 1995 as a producer and contributed to the launch of major titles. In 2000, she became part of the founding team for the Xbox project and later led the Xbox Advanced Technology Group. She also served as executive producer for well-known exclusives such as Gears of War 1 and 2 and Zoo Tycoon. In 2012, she became the general manager of Epic Games’ Seattle studio. Today, she is also a content creator on YouTube, where she openly discusses challenges in the industry.
Concerns Over Microsoft’s Gradual Exit from Hardware
In her latest video (thanks VGC), Fryer focused on Xbox’s future, suggesting that Microsoft is preparing for a slow exit from the hardware market. The first signs, she believes, are already visible through third-party devices branded as Xbox products, such as the ASUS ROG Xbox Ally and Meta Quest S3 Xbox Edition.
“Obviously, as one of the founding members of the Xbox team, I’m not pleased with where things are today. I don’t love watching all of the value that I helped create slowly get eroded away,” Fryer said in the video. “I’m sad because from my perspective, it looks like Xbox has no desire or literally can’t ship hardware anymore. So this [ROG Ally] partnership is about a slow exit from the hardware business completely.”
According to Fryer, Microsoft’s strategy now aims to move away from proprietary hardware and focus more on growing its Game Pass service.
Game Pass Takes Center Stage as Hardware Fades
“Personally, I think Xbox hardware is dead. The plan appears to be to just drive everybody to Game Pass. And let’s be clear, it has a lot of value. I’m thinking that might be why they decided to charge $80 for Outer Worlds 2… And here’s the thing, maybe it will work.”
Overall, Fryer seems skeptical of Xbox’s current direction, though she noted that many of her concerns could be addressed next year with the announcements planned for Xbox’s 25th anniversary.
“Xbox has a deep portfolio. The remake of Oblivion was obviously a huge success, and they can continue to outsource that work to external companies and make a lot of money releasing their older games. Older games from an era when Xbox knew how to build them.”
He concluded by saying, “But what is the long-term plan? Where are the new hits? What will make people care about Xbox 25 years from now? I was excited to see Clockwork Revolution in the showcase, but will something like that be enough? Do they have more? Next year marks the 25th anniversary of Xbox, and I’m sure they’ll have some big announcements and plans to celebrate the milestone. Maybe next year will be the year. Maybe it will be the year the fog clears and we all see the beauty in these latest announcements. I guess we’ll just have to wait and see.”
