Phil Spencer has announced he is stepping down from his role as Microsoft Gaming CEO after 38 years. His successor will be Asha Sharma, the current President of Microsoft’s CoreAI Product.
Phil Spencer says:
It’s rare in life to know when a chapter is closing, but after 38 years at Microsoft, that moment has arrived for me. I’ve made the decision to retire and begin the next chapter of my life. It’s a milestone that’s given me a chance to reflect on the incredible journey I’ve been fortunate enough to share with so many of you.
I’m excited for [Asha Sharma] as she steps into the CEO role. She’s joining an incredible group of people; teams full of talent, heart, and a deep commitment to the players they serve. Watching her lean in with curiosity and a real desire to strengthen the foundation we've built gives me confidence that our Xbox communities will be well supported in the years ahead.
Thinking back to my start as an intern in 1988, I never could have imagined the path ahead. I’ve been lucky to work with so many passionate creators, partners, colleagues, and players across the industry; people who challenged me, taught me, and made this work full of joy and wonder.
Thank you to everyone who’s been part of this chapter. This community has meant more to me than I can say.
From here, I’ll keep doing what’s always mattered so much to me: cheering on the teams pushing this industry forward and playing alongside this incredible community. I'll see you online.
There are some concerns about the announcement, since Asha Sharma has zero experience in Gaming and she is an executive for AI, a controversial tech in this day and age in the creative business. In a new statement from Asha, she mentions that they have no interest in making AI slop in games made under Microsoft:
Asha Sharma says:
We are witnessing the reinvention of play.To meet the moment, we will invent new business models and new ways to play by leaning into what we already have: iconic teams, characters, and worlds that people love. But we will not treat those worlds as static IP to milk and monetize. We will build a shared platform and tools that empower developers and players to create and share their own stories.
As monetization and AI evolve and influence this future, we will not chase short-term efficiency or flood our ecosystem with soulless AI slop. Games are and always will be art, crafted by humans, and created with the most innovative technology provided by us.
The next 25 years belong to the teams who dare to build something surprising, something no one else is willing to try, and have the patience to see it through. We have done this before, and I am here to help us do it again. I want to return to the renegade spirit that built Xbox in the first place. It will require us to relentlessly question everything, revisit processes, protect what works, and be brave enough to change what does not.
What does this mean for the game IPs under Microsoft and those recently acquired by them, including the Spyro the Dragon franchise? Hopefully something good. In light of the changing of command, there will be no shaky layoffs for Xbox-owned studios. At least that’s something.
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