United Kingdom, June 15 -- Satya Nadella has insisted Xbox must evolve into a financially sustainable business as Microsoft navigates a challenging period for its gaming division.

Speaking during an interview with Hard Fork, the Microsoft chief executive said the company had spent decades investing heavily in gaming and now needed to ensure those investments delivered long-term returns.

Nadella said: "No one can accuse Microsoft of not having invested for the last 25 years.

"Now, we have to turn this into a sustainable business that delivers what is fundamentally one of the best sources of entertainment, still."

His comments come as Xbox faces mounting questions over its future direction, including its exclusivity strategy, subscripti...