Phil Spencer is leaving Xbox — Microsoft appoints a new Gaming CEO with a focus on major game releases

Longtime Xbox chief Phil Spencer will leave Microsoft on February 23, just months before the 25th anniversary of the Xbox brand. Xbox President Sarah Bond has also resigned.

Asha Sharma, currently head of CoreAI at Microsoft, will become the new CEO of Microsoft Gaming. Matt Booty, head of Xbox Game Studios, has been promoted to Chief Content Officer.

Spencer led Xbox since 2014, launching initiatives such as Xbox Game Pass and overseeing major acquisitions including Activision Blizzard and ZeniMax Media. Under his leadership, Microsoft released Xbox Series X and Xbox Series S.

Sharma outlined three priorities: focus on big games, strengthen the console core, and avoid overreliance on AI-generated content. Spencer will remain as an advisor until summer to ensure a smooth transition.