While Microsoft is laying off every fifth employee in its gaming division, the company, in partnership with IKEA, is announcing furniture for gamers—a stick-shaped stool and a cross-shaped pillow. The presentation is scheduled for August 26 at Gamescom, but the corporation faces more questions than ever.
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The industry is on edge: layoffs, closures, and… furniture
The gaming market has been in turmoil for the past six weeks. Microsoft announced 3,200 job cuts by the end of fiscal year 2027—approximately 20% of the Xbox workforce. The first wave has already affected 1,600 people. Double Fine and Compulsion Games have returned to independence, Ninja Theory and Undead Labs are seeking new owners, and the fate of Arkane Lyon (creators of Marvel’s Blade) hangs in the balance. Xbox’s new CEO, Esha Sharma, admitted that “in a typical year, the company lost 64 cents for every dollar invested.” Fans have sent a list of demands, but to no avail. And now—a stool shaped like an analog stick. Seriously?
Sony is also adding fuel to the fire.
While Microsoft is closing studios and designing pillows, Sony has taken a different approach. Starting in January 2028, all new PlayStation games will be released digitally only—physical discs will disappear from shelves, leaving only activation codes. Furthermore, the company is gradually shutting down the PS Store on PS3 and PS Vita, shutting it down completely in July 2027.
At the same time, Sony Electronics is actively promoting the LX3 turntable, advertising records as “a way to enjoy music the way it was created.” Gamers quickly grasped the irony: physical media is elite and coveted for music, but for games, it’s becoming enemy number one. This is because digital sales can earn up to $14 (~1120 rubles) in additional profit per copy. So Sony is killing the physical world while simultaneously selling vinyl nostalgia. The precision in such decisions is, to put it mildly, lacking.
IKEA and Xbox: What is known about the collaboration?
Against this backdrop, the Swedish furniture giant IKEA has officially confirmed its partnership with Microsoft’s gaming division. A teaser posted on Instagram already hinted at two items: a stool shaped like an analog stick and a bright green cushion stylized as a D-pad. The design appears to be inspired by the Xbox Elite 3 controller, photos of which just recently surfaced online. The full collection presentation is scheduled for August 26 at Gamescom in Cologne.
IKEA is no stranger to gaming. The company already has over 30 products across six product lines (UPPSPEL, MATCHSPEL, and other Scandinavian names)—adjustable tables, armchairs, figurine display cases, and headphone stands. They previously collaborated with ASUS ROG, and in the spring, IKEA Japan ran a promotion with Pokémon. This is their first time working with a console manufacturer. The reshuffling of their partnership portfolio is obvious, but why now?
Money or reputation?
On the one hand, the furniture market for gamers is vast and rapidly growing. On the other, the announcement looks like an attempt to distract from Xbox’s internal problems. The timing is a clue: exactly six weeks after the announcement of mass layoffs. Pursuing customer loyalty through designer chairs and cushions may prove pointless if players perceive it as cynical PR.
What’s next? Will the IKEA x Xbox line succeed in becoming a truly useful and affordable gaming product, or is it just another marketing ploy amid internal chaos? We’ll find out on August 26th. But it’s already clear: the industry is outdoing itself in absurdity. One corporation is destroying physical media by selling vinyl, another is laying off people so they can show off their stool. Longing for news? More to come.
