Executives Phil Spencer And Sarah Bond Leave Xbox; Company Enters New Era
by Sage Ashford
In one of the biggest surprises this generation, Microsoft Gaming CEO Phil Spencer and Xbox President Sarah Bond, have both left the company. In their place, Microsoft CoreAI President Asha Sharma will be taking over as the new Microsoft Gaming CEO, while former Xbox Game Studios head Matt Booty will become the new Chief Content Officer.
This represents a massive change for Xbox, which is currently in the middle of celebrating the company’s 25th anniversary. Still, Spencer decided to retire as of February 23rd. On social media, he released a statement discussing his decision to step down and retire:
“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.”
The statement continued:
“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.”
Though Spencer began at Microsoft in 1988, he began working with Xbox in 2001, and took over as Head of Xbox in 2014 — following Don Mattrick‘s stint running the organization and shepherding the disastrous Xbox One launch — helping the company bounce back throughout the 2010s. Still, most people will likely associate him with the launch of their Xbox Game Pass service and the spree of acquisitions the company went on starting late last decade. The final big purchase: Activision-Blizzard for a whopping $69.2 billion, granting Xbox ownership over properties like Call of Duty, Overwatch, and Diablo.
Perhaps the bigger surprise is Bond’s departure, as it was long-believed she would replace Spencer. She released her own statement on LinkedIn.
As for the new Xbox head, Sharma is already at work assuring gamers it will be business as usual for Xbox, promising to keep a focus on great games, the Xbox console a priority, and — interestingly enough — avoiding a focus on “soulless AI slop”.
Of course, every new executive comes in promising nothing will change. It’s only in the months and years after we get to see what the actual plans are, which often do not line up with whatever occured previously. While Sharma promised no “AI slop”, it’s a fact that Microsoft is forcing every aspect of their business to incorporate AI as much as possible into their processes. Despite the pushback AI is receiving in the games industry, it is unlikely Microsoft won’t attempt to push the technology into games nonetheless. Only time will tell, but this continues to be one of the most volatile eras in gaming history.
