What Companies Does Xbox Own?

What companies does Xbox own? This is a common question for fans of gaming and tech enthusiasts alike. Xbox is more than just a console; it’s a powerful brand within the world of video games, supported by a growing list of studios and subsidiaries. Its parent company, Microsoft, has invested billions to strengthen Xbox’s game development capacity and global reach.

Xbox Company Profile

Xbox is a video gaming brand created and owned by Microsoft. It represents more than just a line of gaming consoles—it’s a global platform that includes hardware, software, cloud services, and digital game distribution. As of 2025, Xbox is one of the most influential brands in the gaming industry, with a strong portfolio of game development studios and services like Xbox Game Pass and Xbox Cloud Gaming.

Xbox operates as part of Microsoft Gaming, which functions under the broader umbrella of Microsoft Corporation. The brand focuses on console gaming, cloud-based gaming experiences, and first-party game development.

Founders and Origins

Xbox was not founded by an individual entrepreneur but was developed internally at Microsoft by a group of forward-thinking employees. The idea emerged in the late 1990s when Microsoft engineers, including Seamus Blackley, Kevin Bachus, Otto Berkes, and Ted Hase, proposed creating a console to compete with Sony’s PlayStation. This group became known as the “Original Xbox Team.”

Microsoft officially launched the Xbox brand in 2001, making it the company’s first step into the gaming console market. Bill Gates, then-CEO of Microsoft, played a key role in supporting and funding the Xbox project.

Key Company Details

• Parent Company: Microsoft Corporation
• Brand Name: Xbox
• Launched: November 15, 2001
• Headquarters: Redmond, Washington, USA
• CEO of Microsoft Gaming: Phil Spencer
• Key Divisions: Xbox Hardware, Xbox Game Studios, Xbox Game Pass, Xbox Cloud Gaming.

Major Milestones in Xbox History

2001 – Launch of Original Xbox

Microsoft entered the console market with the original Xbox. The console introduced Halo: Combat Evolved, which became a flagship franchise.

2002 – Launch of Xbox Live

Xbox Live revolutionized online console gaming. It allowed players to connect, compete, and communicate online.

2005 – Xbox 360 Release

The Xbox 360 launched with a strong focus on digital content and online services. It quickly became a commercial success and established Xbox as a serious competitor to PlayStation.

2010 – Kinect Introduced

Xbox introduced Kinect, a motion-sensing device that became one of the fastest-selling consumer electronics products at the time.

2013 – Xbox One Launch

Xbox One focused on home entertainment, integrating TV, apps, and gaming. Though its launch was controversial, it later gained popularity with the addition of backward compatibility and Game Pass.

2017 – Xbox Game Pass Launched

Microsoft launched Xbox Game Pass, a subscription service offering access to hundreds of games. It became central to Xbox’s long-term strategy.

2020 – Xbox Series X|S Launch

The Series X and Series S consoles launched with faster hardware and support for ray tracing, SSD storage, and quick resume features.

2021 – Acquisition of ZeniMax Media

Microsoft acquired ZeniMax Media for $7.5 billion, adding Bethesda and several other major studios to Xbox Game Studios.

2023 – Acquisition of Activision Blizzard

In the biggest deal in gaming history, Microsoft acquired Activision Blizzard for $68.7 billion, giving Xbox control of franchises like Call of Duty, World of Warcraft, and Candy Crush.

2024–2025 – Cloud Gaming Expansion

Xbox continued to expand Xbox Cloud Gaming (formerly xCloud), making it possible for players to stream games on phones, tablets, and web browsers without needing a console.

List of Companies Owned by Xbox

As of 2025, Xbox owns and operates one of the most diverse and powerful portfolios of game studios and publishing labels in the industry. These companies are directly managed by Xbox under Microsoft Gaming, which functions as the brand’s operating arm.

Below is a list of the major companies owned by Xbox as of August 2025:

Mojang Studios

Mojang is best known for creating Minecraft, the best-selling video game of all time. Microsoft acquired Mojang in 2014 for $2.5 billion. Since then, Mojang has remained largely independent in its operations but is part of the Xbox family. It manages all versions of Minecraft, its spin-offs like Minecraft Dungeons, and ongoing updates to the Minecraft universe.

• Founded: 2009
• Acquired by Xbox: 2014
• Key Titles: Minecraft, Minecraft Legends, Minecraft Dungeons.

343 Industries

343 Industries was formed by Microsoft to take over development of the Halo franchise after Bungie’s departure. It is a core Xbox Game Studio, fully owned and managed by Xbox. The studio continues to develop and expand the Halo universe through mainline games, multiplayer modes, and live service content.

• Founded: 2007
• Created by Xbox
• Key Titles: Halo 4, Halo 5: Guardians, Halo Infinite.

The Coalition

The Coalition is responsible for the Gears of War series, which was acquired from Epic Games. It was previously known as Black Tusk Studios but rebranded after Xbox handed it the Gears IP. It operates as a wholly owned Xbox studio.

• Founded: 2010 (as Black Tusk)
• Became The Coalition: 2015
• Key Titles: Gears of War 4, Gears 5, new Gears project in development.

Rare

Rare is one of Xbox’s oldest first-party studios, acquired in 2002. It is known for a mix of classic and modern games, with recent success from the live-service pirate adventure Sea of Thieves. Rare also supports legacy IPs and is developing new titles like Everwild.

• Founded: 1985
• Acquired by Xbox: 2002
• Key Titles: Sea of Thieves, Banjo-Kazooie, Everwild.

Obsidian Entertainment

Obsidian is an RPG-focused studio acquired by Xbox in 2018. Known for narrative depth and player choice, the studio has been key in expanding Xbox’s role-playing game catalog. It remains an independent developer under the Xbox Game Studios label.

• Founded: 2003
• Acquired by Xbox: 2018
• Key Titles: Pillars of Eternity, The Outer Worlds, Avowed.

Ninja Theory

Ninja Theory specializes in emotionally immersive and experimental action games. Xbox acquired the studio in 2018 to strengthen its lineup of story-driven titles. It remains under Xbox’s control and is building high-quality, artistically ambitious projects.

• Founded: 2000
• Acquired by Xbox: 2018
• Key Titles: Hellblade: Senua’s Sacrifice, Senua’s Saga: Hellblade II, Project Mara.

Playground Games

Playground Games is best known for the Forza Horizon series. Xbox acquired the studio in 2018. Playground now leads the development of the rebooted Fable series in addition to racing games. It plays a dual role in Xbox’s racing and fantasy game output.

• Founded: 2010
• Acquired by Xbox: 2018
• Key Titles: Forza Horizon 5, Fable (in development).

Compulsion Games

Compulsion Games is a Canadian studio acquired in 2018. Known for its unique art style and storytelling, the studio is currently developing a new, unannounced single-player game expected to be Xbox-exclusive.

• Founded: 2009
• Acquired by Xbox: 2018
• Key Titles: We Happy Few, new project in development.

Undead Labs

Undead Labs created the State of Decay franchise and was acquired in 2018. The studio focuses on open-world zombie survival games and continues to operate under Xbox’s management.

• Founded: 2009
• Acquired by Xbox: 2018
• Key Titles: State of Decay, State of Decay 2, State of Decay 3.

inXile Entertainment

inXile specializes in tactical RPGs and was acquired in 2018. It is a veteran studio led by industry pioneer Brian Fargo and contributes deep, old-school RPG experiences to the Xbox platform.

• Founded: 2002
• Acquired by Xbox: 2018
• Key Titles: Wasteland 3, new steampunk RPG in development.

Double Fine Productions

Founded by Tim Schafer, Double Fine is known for quirky, imaginative games. Xbox acquired it in 2019, adding a creative studio with a legacy of cult classics. The team continues to develop unique narrative titles for Xbox platforms.

• Founded: 2000
• Acquired by Xbox: 2019
• Key Titles: Psychonauts 2, future original IPs in progress.

Bethesda (ZeniMax Media)

In 2021, Xbox acquired ZeniMax Media and its full family of studios. This was a massive expansion of Xbox Game Studios and included several subsidiaries:

Bethesda Game Studios

Creators of The Elder Scrolls and Fallout. Known for expansive open-world RPGs.

id Software

Legendary for its work on DOOM and Quake. Known for high-speed FPS games.

Arkane Studios

Developers of Dishonored, Prey, and Redfall. Focuses on immersive sims.

MachineGames

Creators of modern Wolfenstein games. Currently working on an Indiana Jones title.

Tango Gameworks

Based in Japan, known for The Evil Within and Hi-Fi Rush. A rare Xbox presence in the Japanese market.

Roundhouse Studios

Formed from the remnants of Human Head Studios. Works on unannounced support projects.

Alpha Dog Games

A mobile game developer under Bethesda’s mobile division.

ZeniMax Online Studios

Creators of The Elder Scrolls Online, one of the most successful MMORPGs in the world.

Activision Publishing

Xbox acquired Activision Blizzard in 2023. Activision Publishing oversees the Call of Duty franchise and manages studios that work on related properties.

Key Studios Under Activision:

• Infinity Ward
• Treyarch
• Sledgehammer Games
• Raven Software
• Beenox
• High Moon Studios
• Toys for Bob.

These teams are now under Xbox and contribute to Call of Duty, Crash Bandicoot, and other titles.

Blizzard Entertainment

Blizzard is one of the most iconic game developers, now under Xbox following the Activision Blizzard acquisition.

• Key Franchises: World of Warcraft, Overwatch, StarCraft, Diablo, Hearthstone
• Ongoing Games: Overwatch 2, WoW expansions, Diablo IV.

King

King is a major mobile game company based in Europe. It is best known for Candy Crush Saga and operates autonomously under Xbox’s mobile gaming strategy.

• Founded: 2003
• Acquired as part of Activision Blizzard: 2023
• Key Titles: Candy Crush Saga, Farm Heroes Saga.

Xbox Game Studios Publishing

This internal label helps fund and support third-party developers creating games exclusive to Xbox platforms. It does not own these studios but manages their partnerships and publishing arrangements. Xbox Game Studios Publishing has worked with developers like Asobo Studio (Microsoft Flight Simulator) and Stoic Studio (Towerborne).

Who Owns Xbox?

Xbox is a division of Microsoft Corporation, one of the world’s largest publicly traded companies. While Xbox itself is not a separate legal entity, it operates under the Microsoft Gaming division. This division was formalized in 2022 and is led by Phil Spencer. As a part of Microsoft, Xbox is indirectly owned by Microsoft’s shareholders.

Here are the key ownership details:

• Xbox is fully owned by Microsoft Corporation.
• Microsoft is a publicly traded company (Ticker: MSFT).
• Ownership is distributed among thousands of institutional and retail investors.
• No single person or entity holds majority control, making Microsoft broadly owned and professionally managed.
• Day-to-day control and strategic decisions are made by Microsoft’s board and executive leadership, not its shareholders.

Parent Company: Microsoft Corporation

Microsoft Corporation is the parent company of Xbox. It is a publicly traded multinational technology company listed on the NASDAQ under the ticker symbol MSFT. Microsoft owns Xbox in full and includes it within its broader More Personal Computing and Gaming segments.

Xbox was created and funded by Microsoft, and remains fully integrated into its organizational and financial structure. The division is not separately listed, and all profits, losses, and decisions flow through Microsoft.

Creation and Internal Development

The concept began in the late 1990s when engineers inside the company proposed building a Windows-based gaming console to compete with Sony’s PlayStation.

The original Xbox console was launched in 2001, marking Microsoft’s official entry into the console gaming market. Over the years, Xbox evolved from a single console into a full gaming platform, encompassing console hardware, digital distribution, cloud gaming, game development, and subscription services.

Microsoft Gaming Division

In 2022, Microsoft restructured its gaming operations under the Microsoft Gaming division. This umbrella entity now oversees Xbox, Xbox Game Studios, Activision Blizzard, and ZeniMax Media.

• Phil Spencer was appointed CEO of Microsoft Gaming.
• The division focuses on multi-platform growth, including PC, console, and mobile.
• It also leads Microsoft’s investments in cloud gaming and Game Pass.

Xbox operates within this division, alongside its owned studios and brands.

Key Acquisitions by Xbox (Under Microsoft)

Though Xbox itself was created internally, Microsoft has made numerous major acquisitions on behalf of the Xbox brand. These acquisitions expanded Xbox’s portfolio and global influence in the gaming industry:

Mojang (2014)

Microsoft acquired Mojang Studios, creators of Minecraft, for $2.5 billion. This was the first major acquisition made to grow Xbox’s gaming ecosystem.

ZeniMax Media (2021)

Microsoft bought ZeniMax Media, the parent company of Bethesda Softworks, for $7.5 billion. This added renowned studios like Bethesda Game Studios, id Software, and Arkane to Xbox Game Studios.

Activision Blizzard (2023)

In one of the largest deals in tech history, Microsoft completed the $68.7 billion acquisition of Activision Blizzard, bringing Call of Duty, World of Warcraft, and Candy Crush into the Xbox portfolio.

All of these acquisitions were made by Microsoft but placed under the Xbox brand for development and publishing.

Legal and Financial Ownership

• Xbox is 100% owned by Microsoft Corporation.
• Microsoft is itself owned by shareholders, including major investment firms like Vanguard, BlackRock, and former executives like Steve Ballmer.
• Xbox does not issue its own stock or report separate financials; its performance is included in Microsoft’s quarterly and annual reports.

Control and Strategic Direction

Strategic control over Xbox lies with Microsoft’s executive leadership, especially within the Microsoft Gaming division. Phil Spencer, as CEO of Microsoft Gaming, leads the operational direction of Xbox.

He reports to Satya Nadella, the CEO and Chairman of Microsoft. All key decisions—such as game studio acquisitions, Game Pass pricing, console development, and platform expansion—are approved by Microsoft’s board and executive committee.

Who is the CEO of Xbox?

Phil Spencer is the current CEO of Xbox (via Microsoft Gaming) as of August 2025, with a clearly defined leadership team working under him to execute Xbox’s strategy and operations.

Phil Spencer – CEO of Microsoft Gaming

Phil Spencer is the CEO of Microsoft Gaming, the division responsible for Xbox, Xbox Game Studios, Bethesda, and Activision Blizzard. He oversees everything related to Xbox’s strategy, studios, services, and platform vision.

Career Path

Spencer started as a Microsoft intern in 1988. He joined the Xbox team in 2001. He advanced through various leadership roles—eventually becoming head of Xbox in 2014. In 2022, he was promoted to CEO of Microsoft Gaming, giving him responsibility over all Microsoft gaming operations.

Vision and Strategy

Spencer has championed initiatives like Xbox Game Pass, Xbox Cloud Gaming (xCloud), backward compatibility, and cross-platform play. Under his leadership, Microsoft acquired major studios such as Mojang, Bethesda, and Activision Blizzard to grow Xbox’s content library and global reach.

He has emphasized platform-wide access—making Xbox games playable across consoles, PC, mobile, handheld devices, and even VR headsets.

Retirement Rumors Addressed

In mid‑2025, rumors circulated that Spencer would retire after the next‑generation console release, with Sarah Bond poised to succeed him. Microsoft officially denied these claims, stating that “Phil is not retiring anytime soon”.

President of Xbox – Sarah Bond

Sarah Bond serves as the President of Xbox, reporting to Spencer. She oversees platform engineering, hardware and devices, business operations, partnerships, and player/creator experiences. Bond was promoted to this role in late 2023.

Other Executives in Microsoft Gaming

Per the 2025 structure:

• Dave McCarthy is Chief Operations Officer, managing technology and player experience.
• Tim Stuart is CFO, responsible for global finance and operations.
• Matt Booty is President of Game Content and Studios—overseeing Xbox Game Studios, Bethesda, and Activision Blizzard.
• Craig Duncan heads Xbox Game Studios, managing first-party development.

Xbox Annual Revenue and Net Worth

Xbox’s performance in 2025 highlighted the success of its service-first strategy. With $21.5 billion in revenue and $55 net worth as of August 2025, the brand has successfully transitioned from a hardware-centric model to a content and services powerhouse.

Xbox Revenue in 2025

In fiscal year 2025, Xbox reached its highest-ever annual revenue. As part of Microsoft Gaming, Xbox brought in approximately $21.5 billion in total revenue for the year ending June 30, 2025.

This marked a record-breaking performance, despite a notable drop in hardware sales. The main driver behind this growth was the company’s focus on content, services, and cloud-based experiences.

Throughout the year, Xbox experienced consistent growth in its digital and subscription-based segments. In Q1 of FY25 (July to September 2024), revenue surged 43% year-over-year, thanks to the inclusion of Activision Blizzard’s properties.

However, hardware sales continued to decline, with a 29% drop during the same period. The second quarter (October to December 2024) saw a slight dip in overall revenue, falling 7% year-over-year, as hardware sales again dropped by 29%. Content and services, however, remained stable with a modest 2% growth.

In Q3 (January to March 2025), Xbox posted a 5% increase in revenue compared to the same quarter last year. Content and services grew by 8%, while hardware continued its downward trend with a 6% decline.

By the fourth quarter (April to June 2025), content and services revenue had grown by 13%, but hardware sales had fallen again, this time by 22%.

Across all quarters, the strongest area for Xbox was its digital ecosystem. Services like Game Pass, recurring in-game purchases, and first-party titles fueled steady income. Xbox Game Pass alone generated nearly $5 billion in revenue in 2025, setting a new milestone for the service.

Content and Services

The most successful segment for Xbox in 2025 was its content and services division. This includes revenue from digital game sales, Xbox Game Pass subscriptions, in-game purchases, and cloud gaming. The content and services segment consistently grew across all quarters, starting with a 61% surge in Q1 and closing with 13% growth in Q4.

Xbox’s growing library of titles from Activision Blizzard, Bethesda, and Xbox Game Studios played a central role in this success. Notable franchises like Call of Duty, Minecraft, and Forza Horizon attracted millions of users globally and drove subscription engagement.

Game Pass remained the centerpiece of Xbox’s growth strategy. With nearly $5 billion in annual revenue, the subscription service continues to evolve into a major pillar of Microsoft’s gaming ecosystem. New first-party releases and day-one availability of popular titles kept users engaged and subscriptions growing.

Hardware Revenue

Despite overall growth, Xbox hardware sales declined significantly in 2025. This includes sales of Xbox Series X, Series S, and related accessories. Hardware revenue dropped 29% in both Q1 and Q2, followed by a 6% drop in Q3 and a 22% decline in Q4. This pattern reflects broader market trends in the gaming console industry, where the focus is shifting from hardware to services and platforms.

The decline was also influenced by Xbox’s increasing emphasis on digital distribution, cloud gaming, and cross-platform accessibility. Microsoft’s strategic pivot toward a hardware-agnostic gaming model—one that prioritizes access over ownership—contributed to reduced hardware dependency.

Xbox Net Worth

As of August 2025, Xbox is estimated to have a net worth well over $55 billion. These estimates vary depending on whether the calculation includes only Xbox’s assets and direct revenues, or the broader value of its franchises, studios, and digital infrastructure.

Regardless of the estimate, Xbox remains one of the most valuable gaming brands in the world.

The high valuation reflects the company’s extensive portfolio of studios, intellectual property, digital platforms, and a loyal global user base. With ownership of blockbuster franchises and a rapidly expanding subscription base, Xbox’s value continues to grow even as traditional hardware sales slow.

Conclusion

Xbox is no longer just a console brand. It’s a global gaming powerhouse that owns some of the most iconic game developers in the industry. From Minecraft to Call of Duty, Xbox now manages a deep library of games that span all genres and platforms. Its acquisitions have positioned it as a leader in cloud gaming, subscription models, and mobile integration. Understanding what companies Xbox owns helps reveal the scale of Microsoft’s gaming empire in 2025.

FAQs

Which company owns Xbox?

Xbox is owned by Microsoft Corporation. It operates under the Microsoft Gaming division, which oversees all Xbox-related hardware, software, and studio operations.

Who is Xbox owned by?

Xbox is owned by Microsoft, one of the world’s largest technology companies. The Xbox brand is part of Microsoft Gaming, led by CEO Phil Spencer as of 2025.

What is the list of Xbox owned studios?

Xbox owns several studios through Xbox Game Studios, ZeniMax Media (Bethesda), and Activision Blizzard. Some major ones include:

• 343 Industries
• Mojang Studios
• The Coalition
• Obsidian Entertainment
• Playground Games
• Bethesda Game Studios
• Arkane Studios
• id Software
• Infinity Ward
• Treyarch
• Sledgehammer Games
• Raven Software
• Blizzard Entertainment
• King.

What are the major game companies owned by Microsoft?

Microsoft owns major gaming companies such as:

• Mojang Studios (creator of Minecraft)
• ZeniMax Media (parent of Bethesda and its subsidiaries)
• Activision Blizzard (publisher of Call of Duty, Diablo, and more)
• King (developer of Candy Crush).

What game studios are owned by Xbox?

Xbox owns studios under Xbox Game Studios, Bethesda/ZeniMax, and Activision Blizzard. This includes dozens of game development teams across North America, Europe, and Asia, including 343 Industries, Ninja Theory, Arkane, Blizzard, and others.

Does Xbox own Activision?

Yes, as of 2023, Xbox (via Microsoft) owns Activision Blizzard. The acquisition was completed to expand Xbox’s portfolio with globally popular titles like Call of Duty, Overwatch, and Diablo.

Does Xbox own Minecraft?

Yes, Minecraft is owned by Xbox through Mojang Studios, which was acquired by Microsoft in 2014. The game is a key part of Xbox’s first-party game offerings.

Does Xbox own EA?

No, Electronic Arts (EA) is not owned by Xbox or Microsoft. EA is an independent video game company known for franchises like FIFA, Madden NFL, Battlefield, and The Sims.

Does Microsoft own Fortnite?

No, Fortnite is owned by Epic Games, not Microsoft or Xbox. Microsoft has partnered with Epic for cross-platform initiatives, but it does not have ownership in Fortnite.

Who owns Mojang?

Mojang Studios is owned by Microsoft. It became part of Xbox Game Studios after Microsoft acquired the company in 2014 for $2.5 billion.

Who owns Blizzard?

Blizzard Entertainment is owned by Microsoft, under the Xbox Gaming division. Microsoft acquired Blizzard as part of its 2023 purchase of Activision Blizzard.

Is Activision linked to Xbox?

Yes, Activision is directly linked to Xbox. After its acquisition by Microsoft, Activision became part of the Xbox ecosystem under Microsoft Gaming.

Is COD owned by Xbox?

Yes, Call of Duty (COD) is now owned by Xbox. The franchise came under Microsoft’s control with the acquisition of Activision Blizzard in 2023.

Who owns the company Activision?

As of August 2025, Activision is owned by Microsoft Corporation and is managed under the Microsoft Gaming division alongside other major game studios.

Is Bethesda owned by Xbox?

Yes, Microsoft owns Bethesda through its acquisition of ZeniMax Media in 2021.