Xbox co-founder doesn't think the brand is dead, but says its struggles are "killing" him

Seamus Blackley, original Xbox co-founder and console designer, clarified his stance on the brand's future under new head Asha Sharma, stressing that he does not think Xbox as a whole is "dead" – though he's certain hard lessons are coming.

"I have been asked 59 times now, due to this [Dean Takahashi of GamesBeat] article, if I believe [Xbox] is dead," Blackley said on Bluesky. "No. I love Xbox as my own flesh and blood. It's the most wonderful thing to me. The distress it's in kills me, haunts me. But progress requires introspection and realism. Learning is pain."

He made clear that he wants the best for Xbox. In a separate reply on Bluesky, Blackley said:

"I love Xbox more than literally anyone. This is killing me. But I know a lot about organizations and business now, and I was being honest, not a PR asshole. Let's talk about it." He also added: "It's literally something I nearly died to bring into existence. Seeing it struggle and being unable to act is hard."

Blackley drew attention earlier with his prediction that Xbox would be "sunsetted" under Sharma, much like many non-AI businesses, as Microsoft pushes toward an AI-first future. He didn't hold back: "They don't say that, but that's what's happening. I expect that the new CEO, Asha Sharma, her job is going to be as a palliative care doctor who slides Xbox gently into the night."

At the same time, he suggested Xbox and its new leadership are heading toward some rude awakenings – and his latest comments seem to build on that. The idea isn't that Xbox disappears entirely, but that the version of it people know will have to change, even if Microsoft quietly sidelines it in favor of AI priorities.