Microsoft Gaming is undergoing a leadership transition, with Phil Spencer set to step down as CEO after nearly four decades with the company and 12 years leading the gaming division. The move marks a significant shift for the Xbox maker as it navigates an increasingly competitive landscape in the gaming industry, where cloud gaming and subscription services like Game Pass are becoming central to growth.
Spencer will continue in an advisory role through the end of the year. Asha Sharma, currently president of product development for Microsoft’s CoreAI division, will succeed him as the new general manager and executive vice president of Microsoft Gaming.
Prior to joining Microsoft in 2024, Sharma held leadership positions at Instacart as chief operating officer and at Meta as vice president of product. The leadership changes also include the departure of Xbox President Sarah Bond, who will pursue a new opportunity, and the promotion of Matt Booty to head of content at Microsoft Gaming.
“I experience two things at once: humility and urgency,” Sharma said in a message to the Xbox team following the announcement of her appointment. “This marks an exciting new chapter for Microsoft Gaming, and I want to be the first to welcome her to this extraordinary team. Working with her over the last few months has instilled immense confidence.”
Sharma added, “She brings authentic curiosity, tremendous clarity, and a deep commitment to understanding gamers, creators, and the decisions that shape the future.”
Spencer emphasized a smooth transition, stating, “I will be staying in an advisory role throughout the summer to ensure a seamless handover.” He also acknowledged Bond’s contributions, noting she “played a critical role during a pivotal time for Xbox, defining the platform’s strategy, building Game Pass and cloud gaming, supporting the launch of new hardware, and guiding some of the most memorable moments in Xbox history.”
