Xbox Boss Addresses Tango Gameworks Closure: "Sometimes I Have to Make Hard Decisions"

Phil Spencer has addressed the closure of multiple Xbox owned studios.

Following yesterday's Xbox Games Showcase, Microsoft Gaming CEO Phil Spencer took the stage at IGN Live to address what was unquestionably a good showing for the Xbox brand. During the interview, Spencer was asked broadly about the studio closures that stunned the industry, but more specifically about Tango Gameworks. Host Ryan McCaffrey asked about what led to that decision, particularly following public comments from Xbox executives like Aaron Greenberg who had shown a lot of happiness with the success of Hi-Fi Rush. While Spencer acknowledged the disappointment from Xbox fans, he also noted the difficult decisions that come with his role at the company. 

Spencer Comments on the Studio Closures

"The closure of any team is hard obviously on the individuals there. Hard on the team. And I try to spend all of my focus -- like you said, I haven't been talking publicly about this -- 'cause right now is the time for us to focus on the team and the individuals. It's obviously a decision that's very hard on them, and I want to make sure, through severance and other things, that we're doing the right thing for the individuals on the team. It's not about my PR, it's not about Xbox PR, it's about those teams," Spencer told IGN. 

"In the end, I've said over and over, I have to run a sustainable business inside the company and grow. And that means sometimes I have to make hard decisions that frankly are not decisions I love, but decisions that somebody needs to go make. We will continue to go forward, we will continue to invest in what we're trying to go do at Xbox, and build the best business that we can, which ensures we can continue to do shows like the one we just did."

The Future of Xbox

The end of Spencer's comments drew cheers from the audience, signaling a lot of happiness with Sunday's Xbox Games Showcase. The closure of Tango Gameworks and other Xbox owned studios has resulted in a lot of uncertainty surrounding Xbox as a brand. Between the closures and Microsoft's multi-platform strategy, there hasn't been a lot of confidence in Xbox over the last few months. That seems to have changed in the immediate aftermath of the showcase, but it remains to be seen whether that will continue. 

The current console generation has been a rocky one for Xbox, but after a tough four years, there are some good signs for the future. Hopefully Spencer will have to make fewer "hard decisions," and fans can start to feel a lot more comfortable with where things are headed. 

Are you still frustrated by the closure of Tango Gameworks? Do you feel more confident about the future following? Share your thoughts with me directly on Twitter at @Marcdachamp, on Bluesky at @Marcdachamp, or on Instagram at @Dachampgaming!