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Xbox's Turbulent Week: Layoffs, Price Hikes, and a Backwards Compatibility Push

Microsoft is juggling a global fan tour created by a now-fired employee, steep European console price increases, and a leaked plan to bring Xbox 360 games to PC.

Xbox's Turbulent Week: Layoffs, Price Hikes, and a Backwards Compatibility Push
Image: eurogamer.net

Xbox FanFest Tour Continues Despite Creator's Departure

Microsoft has announced dates for the Xbox FanFest world tour — a series of ticketed fan events across seven cities — even after firing Chris Munson, the 15-year Xbox veteran who pitched and created the show. Munson confirmed his layoff on LinkedIn in July. The tour already ran in Los Angeles during the Xbox Games Showcase and will head to Cologne's Gamescom on August 26, Tokyo Game Show on September 17, London on September 26, Mexico City and Sydney on October 17, and Toronto on November 6, with Seattle dates still to come.

FanFest Format Remains Vague

Tickets to the Xbox FanFest events are distributed through city-specific sweepstakes, none of which were open at the time of the announcement. Microsoft describes the tour as celebrating "the games, players, and moments that have shaped Xbox over the past 25 years," but has not detailed specific activities. Reports from the Los Angeles event note that Xbox leaders Asha Sharma and Matt Booty attended and that guests received Xbox Series X consoles in the original Xbox green colourway — a new edition announced during Summer Game Fest. The event was separate from the Xbox game demo area at the showcase.

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Layoffs and Price Hikes Shadow the Tour

The FanFest announcement comes after Microsoft cut 1,600 jobs from its Xbox division and earmarked a further 1,600 for layoffs over the following year. Separately, European Xbox prices have risen sharply: an Xbox Series S now costs £430 and an Xbox Series X costs £670 in the region. The Series S is now almost the exact launch price of the Series X.

Leaked Document Outlines Xbox 360 Games on PC

A Microsoft document sent to developers and seen by The Verge indicates that studios will be able to opt into bringing their previously released Xbox 360 games to PC. Developers would set the price and decide whether their titles join Xbox Game Pass. The rollout is expected to be gradual between 2027 and 2028, likely using the official Xbox 360 emulator Microsoft recently shipped for original Xbox titles.

Project Helix Drives Backwards Compatibility Push

The 360-on-PC initiative is tied to building a library of older Xbox games playable across "Xbox PCs," handhelds, and Microsoft's upcoming Project Helix console, which reports describe as more PC-like than its predecessors. The strategy appears to run counter to current Xbox leadership's recent emphasis on multiplatform distribution and Game Pass availability on non-Xbox hardware.

Disc-to-Digital Program for Console Owners

The leaked Microsoft document also details a disc-to-digital programme that would give owners of Xbox One and Xbox Series X disc games a digital licence usable across various Xbox devices. While the programme primarily targets console players, it signals a broader industry shift toward discless game ownership, mirroring trends already established in the PC space.

Source material: eurogamer.net — this piece is based on that published source material.

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