Despite Xbox's claims that it's not backing out of the console space, a number of worrying clues have led many gamers to believe that the next generation of hardware has been cancelled for the green side of the games industry.
It's not been a great year, generation, or frankly even decade for Xbox, as PlayStation has remained relatively uncontested in the console wars ever since the PlayStation 4 and Xbox One were released back in 2013.
Despite having the upper hand during the seventh generation of home consoles, Xbox has fallen by the wayside with dwindling sales numbers and comparatively disappointing first party releases.
It has regained some ground thanks to the launch of Game Pass – a game subscription service that gives access to new Xbox releases on the day they launch – but a number of worrying clues in the last year especially have led many to wonder if this could be it for Microsoft in the console space.
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Layoffs and cancellations earlier this year were the first big sign of trouble that people appeared to recognize, as hundreds of staff were made redundant alongside the scrapping of Perfect Dark and other unannounced games mid-development.
This, followed by the recent outrage after Game Pass price increases were announced, were only accentuated when rumors appears to spread on gaming forums about decisions Xbox might be making behind the scenes.
As reported by ComicBook.com, a leaker known as SneakersSO on NeoGaf claimed that plans for the next Xbox console were "up in the air," with steps to get it released soon apparently not being met.
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The leaker also claimed that Xbox would likely become a third-party software publisher as a result of this, which we have already seen a hint towards with the launch of Xbox exclusives on PlayStation consoles.
Xbox has officially denied these rumors, however, releasing an official statement to Windows Central that pushes back against the claims that it's not releasing a console in the next generation.
"We are actively investing in our future first-party consoles and devices designed, engineered, and built by Xbox. For further details, the community can revisit our agreement announcement with AMD," the statement reads.
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This also comes after Xbox revealed a long-awaited handheld console for the first time ever, which is set to launch later this month, so it would be somewhat surprising if it made the decision to back out entirely.
What could be the case though is that the next Xbox operates differently to most other consoles, as rumors have suggested that it will act more like a PC with multiple storefronts and the option to even play games from Steam.