I expect it will happen eventually even if its forced by investors,
Microsoft founder Bill Gates would support CEO Satya Nadella if he wanted to spinoff the company's Xbox division, Gates said in a recent interview with Fox Business Network.
In response to questions about separating Bing and the Xbox division, and acknowledging that Microsoft has spun off products like Expedia and Slate, Gates said that separating Microsoft's Xbox gaming division from gaming as a whole at Microsoft isn't necessarily an "obvious" move.
"Well, we're taking PC gaming — Windows gaming — and Xbox gaming and bringing those a lot closer together," Gates said. "The power of the PC graphics chips means you can do great games there. So I'm sure Satya and the team will look at that, and, you know, it's up to them. But we're going to have an overall gaming strategy, so it's not as obvious as you might think."
Interviewer Liz Claman then asked Gates if he would support Nadella if he wanted to spin off the Xbox division.
"Absolutely," he said. [/QUOTE]