Asha Sharma to lead Xbox after Phil Spencer retirement: Here's what you need to know

Xbox leadership is changing on February 23, 2026

Quite shocking events have happened in the gaming industry this week. First, it was the closure of Bluepoint Games from Sony, and now Phil Spencer is retiring as CEO of Microsoft Gaming on February 23, 2026.

This is nearly four decades, including 12 years leading the gaming division. Under Spencer, there were major shifts in the Xbox policy, such as with the growth of Game Pass, in-house studio acquisitions, and multi-platform publishing houses.

Microsoft CEO Satya Nadella has also thanked Spencer for his leadership and long-standing contribution to the Xbox and gaming department. Let’s check out more details in this article.

Asha Sharma to take over as the new Microsoft Gaming CEO

The current president of CoreAI at Microsoft, Asha Sharma, is going to be the new head of the Microsoft Gaming department, starting from February 23, 2026.

In the reported internal memo, Asha has emphasized the three pillars for Xbox’s future: delivering great games, recommitting to core console fans, and innovating new ways to play across devices.

She has also talked about the importance of empowering studios, investing in iconic franchises and supporting bold & creative ideas rather than going for short-term monetization.

It is important to note that Sharma allegedly pledged a new emphasis on the Xbox console ecosystem, although the brand is still expanded to PC, mobile, and cloud-based platforms.

Also Read: Todd Howard shares The Elder Scrolls 6 update: Classic Bethesda style, engine & more

Other leadership changes

Meanwhile, the Xbox president, Sarah Bond, has also resigned and Matt Booty is said to be stepping into a new role as Chief Content Officer. He will oversee the company’s game development pipeline.

Despite major iconic franchise games like Fable, Forza Horizon 6, Halo, and Gears of War, E-Day is going to be released in 2026, and hardware sales for Xbox have declined significantly.

Additionally, Xbox has faced criticism for studio closures, project cancellations, and Game Pass price increases. It would be interesting to see how the new changes in Xbox will affect and how well Asha Sharma will do as the new head of the gaming department.

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