Microsoft has announced a new Xbox division called XP, described in a blog post by Chief Strategy Officer Matthew Ball. The unit is tasked with bringing Xbox's worlds and characters to new audiences through film, television, and other linear storytelling, while also serving existing fans with product launches, live events, and attractions. XP will also pursue partnerships with creators and brands, supporting Microsoft's stated goal of becoming the world's number one entertainment company and entertaining one billion people daily.

XP will be led by Kayleen Walters, who spent 13 years at Lucasfilm before joining Microsoft and eventually becoming president of Mojang. Walters served as an executive producer on the box-office hit A Minecraft Movie and is attached as a producer on its sequel. A Minecraft theme park is set to open in the UK next year, and its promotion will likely fall under XP's remit.

The transmedia push follows mixed results in game adaptations. The live-action Halo series did not meet expectations, while Prime Video's Fallout was a notable success, and a Call of Duty movie has long seemed likely after Microsoft's Activision acquisition. According to The Hollywood Reporter, additional plans include adaptations of Gears of War, Candy Crush, Diablo, Forza, and The Elder Scrolls. Xbox also said it will collaborate with Kojima Productions on TV and film projects after acquiring publishing rights for the upcoming game Physint.