Xbox CEO Asha Sharma says the company’s deal with Hideo Kojima for PhysInt was well under $400 million.
Deal details revealed
Sharma confirmed to the New York Times that the agreement priced below what Xbox spends on a standard AAA title. The contract covers film and television rights, clearing up circulating allegations that the budget topped $400 million.
In the NYT interview, Sharma displayed a brief moment of silence, laughed, and then noted she was pleased Kojima chose Xbox. She added that “competition and collaboration can coexist,” hinting that future Khrori projects remain possible.
Industry sources weigh in
Bloomberg’s Jason Schrier, who earlier reported Sony abandoned the project over cost concerns, reiterated that the actual spend is “significantly less than $400 million.”
At the Tokyo Games Show 2026, Kojima Productions confirmed profitability, easing lingering doubts over the project’s financials.
Strategic implications
The confirmed cost means hiring Kojima was not a bank‑breaking move for Microsoft, leaving room for a potentially high‑revenue flagship. With a star‑studded cast and the game’s stealth‑action premise, the lower budget also boosts confidence in a strong commercial outcome.
While Sony’s denial of a hefty price tag removed a major snare, Xbox’s subtle confidence suggests a new partnership model may spring from this deal, setting a precedent for future cross‑studio collaborations.
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