Xbox Game Studios head and chief of staff step down as 'Xbox reset' looms

**TL;DR:** Xbox Game Studios head and chief of staff step down as 'Xbox reset' looms

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Xbox Games Studios head Craig Duncan has stepped down after just over a year-and-a-half in the role, reports The Game Business . Duncan led Sea of Thieves developer Rare for nearly 13 years before being promoted to head of Xbox Game Studios in 2024, which put the rest of Microsoft's studios under his stewardship, including Double Fine, Halo Studios, inXile, Obsidian, Playground Games, and The Coalition. Xbox Game Studios chief of staff Louise O'Connor has also resigned, according to the publication.

O'Connor also hails from Rare, which she joined all the way back in 1999 as an animator. O'Connor was promoted to Xbox Game Studios chief of staff in August last year. " In an open letter last week, Sharma and Booty said that Xbox's studio acquisitions have left it "over extended," and Bloomberg reported that "significant" layoffs are being planned. Word on the street is that award-winning studio Compulsion Games is on the chopping block , and Bloomberg reports that Double Fine, Ninja Theory, and others are also at

Source: PC Gamer

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Last updated: June 16, 2026.

Additional context: early-cycle stories often look bigger in headlines than in day-to-day impact. The useful move is to identify the smallest set of facts that would change your decision, then wait for those facts to land.

Additional context: early-cycle stories often look bigger in headlines than in day-to-day impact. The useful move is to identify the smallest set of facts that would change your decision, then wait for those facts to land.