Midway through the Xbox One generation, Microsoft launched the Xbox Avatar Editor, essentially a higher quality version of the Mii from the Nintendo Wii. However, due to low engagement, Microsoft is now shutting down the avatar editor.
Microsoft has announced that the Xbox Avatar Editor app will be shut down on January 9, 2025, due to low engagement. This means that users will no longer be able to access or edit their Xbox Avatars, and any purchased cosmetic items for the avatars will be lost. However, Microsoft will refund any money spent on avatar items between November 1, 2023, and January 9, 2025.
The shutdown only affects the newer Xbox Avatars introduced in 2018 for the Xbox One era. The original Xbox 360 Avatars, now called Xbox Original Avatars, will remain unaffected and will continue to work in supported Xbox 360 games1. These original avatars were more integrated into the Xbox 360 ecosystem, with some games allowing players to use their avatars and offering cosmetic rewards1.
Microsoft has stated that players can still personalize their gaming experience with dynamic backgrounds, profile colours, and Xbox Original Avatars on Xbox consoles and PC.
KitGuru Says: Part of the reason for the low engagement could simply be the fact that the Xbox console hasn't grown its marketshare. Those already in the ecosystem likely set up their avatar years ago and left it at that. The fact that there are no games where you can use your avatar as a character, like you could with the Mii on certain Nintendo games, could also play a factor here.