Microsoft's Xbox division announced significant advancements in gaming hardware, promising the 'largest technical leap' in a hardware generation. The new Xbox hardware is expected in Q4, with more console and controller options. Additionally, Xbox plans to incorporate Activision Blizzard games into Game Pass, starting with Diablo 4. Xbox also confirmed the release of four titles on other platforms, speculated to be Hi-Fi Rush, Pentiment, Sea of Thieves, and Grounded. Phil Spencer emphasized the diminishing role of exclusive games and Xbox's strategy to publish more games on PlayStation and Nintendo platforms.