WW 991: Strategically Repositioned Productivity Surface - Gaming Layoffs Signal a New XBOX Era

WW 991: Strategically Repositioned Productivity Surface - Gaming Layoffs Signal a New XBOX Era

Author: TWiT July 8, 2026 Duration: 2:19:36

Microsoft's latest round of layoffs and game studio shakeups reveal deep cracks in the XBOX business, as years of unprofitability and missed expectations force the company into tough decisions. Are industry icons like Game Pass and big-name studios on borrowed time? Also, Paul's made major progress on the Windows 11 Field Guide updates! Plus, a desktop and mobile web browser that now blocks YouTube ads by default.

Layoffs

  • Microsoft announces 4800 layoffs, 3200 at XBOX
  • Analysis: What Sharma said and didn't say. Many interesting details revealed here. Many questions unanswered
  • Great outcomes for four studios, id Software reportedly laid off half its staff
  • Interesting alternative analysis: The Game Pass thesis, XBOX can't do everything

Windows

  • Four new builds yesterday, one major new feature: Cloud restore
  • Microsoft Edge is adding support for Google account sign-ins
  • Opera One adds clipboard attack prevention
  • Google and Samsung have announced new hardware launches, both with new foldables on the way - Apple's first foldable expected in January

AI

  • Microsoft is reportedly transitioning to its in-house MAI models where possible
  • Latest Corey Doctorow book takes on the future of AI and is surprisingly middle-of-the-road. Unlike his last book, he explains how he handles this and has some ideas for doing so yourself

XBOX and gaming

  • Gears of War Reloaded, more head to Game Pass
  • The oldest rumor in XBOX history is back, with Microsoft working (again, or as always) on a disc-to-digital program in the wake of the Sony PS5+ physical media announcement
  • Nintendo to end OG Switch sales, make Switch 2 changes in the EU
  • You can play Half-Life 2 in a web browser now

Tips and picks

  • Tip of the week: All Mint Mobile Plans Are Now Just $15 Per Month
  • App pick of the week: DuckDuckGo browser
  • RunAs Radio this week: Implementing Azure Policies with Barbara Forbes
  • Brown liquor pick of the week: Shenk's Homestead Sour Mash Whiskey

Hosts: Leo Laporte, Paul Thurrott, and Richard Campbell

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Check out Paul's blog at thurrott.com

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For anyone following the vast and often intricate ecosystem of Microsoft, Windows Weekly (Video) offers a consistently insightful look behind the curtain. Hosted by Leo Laporte of TWiT, the conversation is driven by veteran Microsoft insiders Paul Thurrott and Richard Campbell, whose combined expertise provides context that goes far beyond surface-level news. While the name suggests a focus on the operating system, this podcast truly serves as a comprehensive analysis of the entire company, from its consumer-facing products like Xbox and Surface to its massive enterprise cloud services and ambitious AI initiatives. Each episode feels like a detailed briefing, unpacking the strategies, successes, and stumbles of the tech giant. The video format adds a valuable layer, allowing you to see the hosts' reactions and follow along with screen shares when they delve into technical previews or software updates. You'll hear informed speculation, historical perspective, and critical debate about Microsoft's direction, making it an essential resource for IT professionals, developers, and dedicated enthusiasts who want to understand not just what is happening, but why. This is the kind of deep dive that turns complex topics into engaging discussion, offering the only Microsoft analysis you'll likely need. For those who prefer an uninterrupted experience, ad-free audio and video feeds are available through Club TWiT.
Author: Language: en-us Episodes: 33

Windows Weekly (Video)
Podcast Episodes
WW 978: Pre-Peated - "Copilot Is for Entertainment Purposes Only" [not-audio_url] [/not-audio_url]

Duration: 2:19:19
Julia Liuson is leaving Microsoft. Liuson joined Microsoft in 1992, the same year as CEO Satya Nadella (she worked on Access at first). She helped build the first version of Visual Studio and was the first female corpora…
WW 976: Full Thurrottle - Microsoft's Plan To Save Windows in 2026 [not-audio_url] [/not-audio_url]

Duration: 2:16:31
In 2015, Satya Nadella said that he wanted users to love Windows. But Microsoft has only enshittified Windows more aggressively since then. Paul wrote a book. And now Microsoft says it's changed, baby, and it's serious t…
WW 974: DIY Crocs - Project Helix Details From GDC 2026 [not-audio_url] [/not-audio_url]

Duration: 2:46:57
From bug-busting AI that's transforming Firefox to personal coding breakthroughs, the team breaks down how practical applications are cutting through skepticism and reshaping developer workflows. Plus, hear why lighter P…