Microsoft CEO Satya Nadella is “looking forward,” to the next Xbox — “We want to do innovative work on the system side, on both console and PC.”

Xbox isn’t going anywhere. For now at least.

Microsoft’s gaming division has had a difficult few months. Competition from other forms of entertainment, tariffs from the Trump administration, mass layoffs, and a sprint of contradictory strategy changes has stressed the Xbox brand. Sony‘s PS5 has thoroughly smashed the Xbox in global sales, forcing Xbox to put its flagship franchise, Halo, onto its arch-nemesis’ platform.