In a significant restructuring effort, Xbox has launched a dedicated entertainment division named XP, short for "Experience Points." This new arm is tasked with bridging the gap between Xbox's vast library of intellectual property and the burgeoning world of film, television, consumer products, partnerships, and live events. The initiative signals a clear intent to elevate Xbox franchises beyond the console, making them household names across various media.
Leading this ambitious venture is Kayleen Walters, stepping into the role of President of XP. Walters brings a wealth of experience, having previously served as President of Mojang, the studio behind the global phenomenon Minecraft, and executive producer of A Minecraft Movie. Her background also includes 13 years at Lucasfilm, where she helped guide the Star Wars franchise across multiple platforms. As Xbox CEO Asha Sharma noted in an internal memo, "Kayleen has spent her career building entertainment franchises."
XP is not a production house itself, but rather a strategic hub designed to connect Xbox's valuable IPs with the right creative partners and production companies. The goal is to replicate and expand upon the runaway success of A Minecraft Movie, which was reportedly a top-earning film, and its upcoming sequel, Minecraft Squared. Walters articulated the division's core philosophy in an email to her team, stating, "XP was created from a simple but powerful belief: the world’s most beloved gaming franchises have an opportunity to reach people far beyond the game itself."
The division will focus on four key areas: Xbox Pictures for film and television adaptations, Xbox Products for licensing and merchandise, Xbox Partnerships for brand collaborations, and Xbox Places for events, theme parks, and location-based experiences. This holistic approach aims to immerse fans deeper into their favorite gaming worlds.
Xbox's roster of iconic franchises offers fertile ground for adaptation, including heavyweights like Call of Duty, Fallout, Warcraft, Gears of War, Candy Crush, Diablo, Forza, The Elder Scrolls, and Halo. While Fallout has already proven a critical and commercial hit as an Amazon Prime Video series (with a third season on the way), and Halo had a less successful run as a Paramount series, XP sees vast untapped potential. Upcoming projects already hint at this strategy, with a Call of Duty movie in the works from Taylor Sheridan and Peter Berg, a Diablo animated series announced for Netflix, and even Hideo Kojima's new project, PHYSINT, exploring film and TV opportunities from its inception.
This expansion comes amidst a period of significant restructuring for Xbox, including layoffs and studio closures. The creation of XP, alongside the appointment of Maria Angelidou-Smith as the new CEO of Mojang, underscores Xbox's commitment to evolving its business model and diversifying its revenue streams. As Walters emphasized, the division recognizes that "Fans don’t just play our franchises. They watch them, wear them, attend them, celebrate them, and connect with them in countless ways," and XP aims to facilitate those connections.