# For every good decision Microsoft makes, they seem to eventually inadvertently step on a rake.

*semiconductor · news · 2026-05-04 · Windows Central*

## Key points

- Microsoft set an unprecedented 30% profit margin goal for Xbox post-Activision acquisition, impacting strategy.
- Xbox's ongoing hardware shortage was intentionally engineered by Microsoft to meet margin targets, not due to weak demand.
- Xbox considered dropping backward compatibility and shifting focus toward software to meet profit goals.
- Short-term profit chasing forced Xbox to release games on competing platforms, undermining hardware exclusivity.
- Current AI-driven memory shortages mean Xbox will have no new hardware stock available for GTA 6’s release.

**Companies:** Microsoft
**Countries:** United States

[Read the full story on Windows Central](https://www.windowscentral.com/gaming/xbox/to-save-xbox-asha-sharma-doesnt-have-to-defeat-playstation-or-steam-she-has-to-defeat-microsoft-itself)

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Canonical: https://newsio.io/n/e16e4a3d-0b01-4359-9f0a-f6688aff1db0/for-every-good-decision-microsoft-makes-they-seem-to-eventually-inadvertently-st
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