Xbox chief Phil Spencer is leaving Microsoft
The Verge
February 20, 2026
AI-Generated Deep Dive Summary
Xbox chief Phil Spencer is set to retire from Microsoft after nearly 40 years with the company, marking a significant leadership transition in the gaming industry. In a memo to employees, Microsoft CEO Satya Nadella confirmed Spencer’s departure and revealed that Xbox president Sarah Bond will also leave the company. This shake-up in management has sparked interest among tech enthusiasts, as it signals a new era for Microsoft’s gaming division. Asha Sharma, currently leading CoreAI products at Microsoft, has been appointed as the new CEO of Microsoft Gaming.
Spencer’s retirement follows his decision to step down last year, prompting discussions about succession planning. Known for his pivotal role in shaping Xbox into a global gaming giant, Spencer’s tenure saw the launch of iconic franchises like Halo and Minecraft, solidifying Xbox’s reputation in the industry. His leadership was instrumental in driving Microsoft’s gaming strategy, making his departure a notable shift for the company.
The simultaneous exit of Sarah Bond further underscores the scale of this management transition. Bond, who has played a key role in Xbox’s growth, particularly in areas like content acquisition and partnerships, leaves behind a legacy that will likely influence the direction of Microsoft’s gaming efforts moving forward. Her departure adds to the broader reshuffling within the company’s leadership.
Asha Sharma’s appointment as CEO of Microsoft Gaming marks a fresh perspective for the division. With her background in AI and product strategy, she brings expertise that aligns with Microsoft’s growing focus on integrating artificial intelligence into gaming technologies. This shift could indicate a new strategic direction for Xbox, emphasizing innovation and AI-driven experiences.
For tech enthusiasts and industry watchers, this leadership transition highlights the evolving landscape of gaming within the broader tech ecosystem. Spencer’s retirement after nearly four decades at Microsoft is not only a personal milestone but also a reminder of the changing dynamics in
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Originally published on The Verge on 2/20/2026