Microsoft Corporation has confirmed a major leadership transition within its Xbox division. Phil Spencer, the long-time head of Xbox, and Sarah Bond, the President of Xbox, are departing their roles, according to an exclusive report by IGN. The change marks a significant shift for one of the video game industry’s most influential hardware and software platforms.
The company announced that Matt Booty, previously the head of content studios, has been promoted. Asha Sharma, a Microsoft executive with a background in artificial intelligence, has been named as the new head of the Xbox business unit. The executive moves are effective immediately.
Background on the Departing Executives
Phil Spencer has been synonymous with the Xbox brand for over a decade. He joined Microsoft in 1988 and rose through the ranks, eventually taking over the Xbox division in 2014. Under his leadership, Xbox launched the Xbox One S and X consoles, the Xbox Series X|S generation, and significantly expanded the Xbox Game Pass subscription service.
Sarah Bond was a more recent but pivotal figure, having been promoted to President of Xbox in late 2023. She was instrumental in the platform’s business development, developer relations, and the broader strategy of bringing Xbox games to multiple platforms. Her work was central to recent initiatives regarding the future of Xbox hardware and ecosystem expansion.
Immediate Leadership Appointments
Matt Booty, now in a heightened leadership position, has overseen Microsoft’s vast portfolio of game studios since 2018. This includes major acquisitions like Bethesda Softworks parent company ZeniMax Media and Activision Blizzard. His new role consolidates oversight of content and platform strategy.
Asha Sharma’s appointment signals a potential new direction. Her experience is primarily in AI and consumer applications, having held roles at companies like Nextdoor and serving as a corporate vice president at Microsoft. Her leadership is expected to integrate advanced technologies more deeply into the Xbox platform and services.
Context and Industry Reaction
The leadership change occurs at a critical juncture for Xbox. The brand has recently executed a strategy of releasing some former exclusives on rival platforms like PlayStation and Nintendo Switch. It is also in the process of integrating the massive portfolio of Activision Blizzard franchises following the historic acquisition completed in 2023.
Industry analysts note that such a sweeping change at the top often precedes a strategic pivot. The gaming community and business observers are closely watching for signals about the future of Xbox hardware, the Game Pass model, and Microsoft’s approach to multi-platform publishing. Official statements from Microsoft have emphasized a commitment to continuity for players and developers during the transition.
Looking Ahead
Microsoft is expected to provide a more detailed roadmap for the Xbox division’s future in the coming weeks. Key areas of focus will include clarifying the next generation of Xbox hardware, the evolution of Xbox Game Pass, and the publishing strategy for titles from its now extensive first-party studio network. The company has stated that existing projects and commitments to partners will proceed as planned under the new leadership structure.
Source: IGN