MICROSOFT
Xbox is run by an AI exec now
Phil Spencer is stepping down after 12 years leading Xbox and nearly 40 years at Microsoft.
He’s being replaced by Asha Sharma, who previously led Microsoft’s AI enterprise teams and held roles at Instacart and Meta.
In her first memo, Sharma outlines three clear priorities: strong games, a broader Xbox platform, and adapting to industry changes.
On games, the focus stays on quality. Microsoft plans to invest in well-known franchises while supporting new ideas.
Sharma also stresses that games will remain human-made, with AI used carefully rather than replacing creative work.
What this means:
Xbox will keep expanding across devices, not just consoles
AI will support development but not replace it
Microsoft is balancing existing franchises with new ideas
Games still come first
On platform strategy, Xbox will continue expanding beyond consoles.
While there is renewed attention on hardware, the wider goal is to make Xbox accessible across PC, mobile, and cloud.
On the future of gaming, Sharma notes that AI and new monetisation models will shape how games are built and played, but without shifting away from player-focused experiences.
Matt Booty, now Chief Content Officer, confirmed there are no major changes to studio structure and highlighted a steady pipeline of upcoming titles.
The move reflects wider changes in gaming, where platforms are expanding and AI is starting to influence development.
Xbox is on life support. - MV