The Information Machine
Following·Day 2·first covered 13 Oct 2026·4 sources

Xbox Forms Xbox Labs to Explore AI-Powered Game Decompilation

The gist

A major platform holder is formally organizing around AI decompilation, a capability that simultaneously enables new creative uses and poses IP risks across the entire software industry. The same tools that let modders remix games can be applied to any proprietary software.

The full picture

Xbox CEO Asha Sharma has formed Xbox Labs, a small team of game makers, engineers, and scientists led by CTO Scott Van Vliet, to turn emerging AI-driven game creation ideas into player and developer experiences. The group was prompted by a wave of AI-powered mods and ports, including Mario running inside Elden Ring and Call of Duty running in a web browser, created by modders using Claude's Opus 5.5 model. Xbox Labs will build in the open and measure success by whether more people are playing and creating. The underlying technology, AI-assisted decompilation, also applies beyond games to any software, raising concerns about proprietary code theft and unauthorized open-sourcing of paid applications. Game preservation advocates see the same capability as a way for players to retain access to software after servers shut down or companies abandon titles.

How it developed
14 October 2026

Coverage details AI decompilation enabling game preservation and browser ports via WebAssembly, alongside IP theft risks

13 October 2026

Xbox CEO Asha Sharma forms Xbox Labs, led by CTO Scott Van Vliet, in response to AI-powered game mashups and ports

Sources
Semafor Technology
The daily email

Want this in your inbox?

I send one email each morning with the stories that moved. If you would rather just read here, that works too.

Subscribe free