Xbox launches XP division to expand franchises into movies, merchandise and theme parks

Microsoft’s Xbox division announced XP on Thursday, a new division focused on deepening connections with players.

XP will expand how players engage with Xbox franchises through live events, brand collaborations, film and television, the company announced.

“Our ambition at Xbox is to be the number one entertainment company in the world,” Matthew Ball, Xbox’s Chief Strategy Officer, wrote. “This means growing our games into enduring franchises that entertain, inspire and connect people across every generation and across the globe. That opportunity is why we’re creating XP.”

Xbox’s 4 subdivisions to focus on movies, merchandise, partnerships and experiences

The division will bring together capabilities previously spread across several Xbox teams, with a shared mission of expanding its franchises’ reach, strengthening connections with existing and new fans, and unlocking opportunities for those fan communities to grow.

“Great games remain at the center of these franchises and at the heart of Xbox,” Ball stated. “XP will partner with the best creative minds across our studios, along with trusted partners, to build on that foundation and create more ways for people to experience the worlds they love.”

XP, a play on “experience points,” will have four subdivisions: Xbox Pictures, Xbox Products, Xbox Places and Xbox Partnerships.

Xbox Pictures will focus on film and television adaptations; Xbox Products on licensing and merchandise; Xbox Partnerships on sponsorships and brand partnerships; and Xbox Places on in-person events, theme parks and other experiences.

XP leader brings Minecraft, Star Wars experience to new division

XP will be led by Kayleen Walters, who is moving from Mojang, where she helped grow Minecraft’s consumer products business into a multibillion-dollar operation. Walters was the Executive Producer of “A Minecraft Movie,” one of the best-performing releases in the U.S. last year, and will return to produce the sequel.

“Our franchises can mean more to people than the time they spend playing them, and Kayleen knows how to build those experiences with the industry without losing what made people care about the franchise in the first place,” wrote Asha Sharma, CEO of Xbox and Executive Vice President of Microsoft Gaming.

Under Walters’ tenure at Minecraft, the franchise grew from an already record-setting 350 million units sold to more than 425 million, placing its merchandising business among the top 20 in the world.

“Kayleen understands that the strongest franchises grow by remaining true to what and who made them special while creating new ways for fans, creators, partners, and communities to participate,” Ball wrote. “I cannot imagine a better leader for this division, and we are just getting started imagining what it will build.”

Walters also spent 13 years at Lucasfilm helping grow and relaunch “Star Wars” across films, products, and partnerships. Maria Angelidou-Smith will join Xbox as CEO of Mojang and Minecraft.

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