Microsoft announced a leadership change in its gaming division on Friday, with Microsoft Gaming Chief Executive Officer Phil Spencer leaving the company and Xbox President Sarah Bond also departing, as the company installs Asha Sharma to run the business and signals a stronger focus on AI in games.
Leadership Changes At Microsoft Gaming
Spencer will be replaced by Asha Sharma, a former executive at Instacart and Meta. Sharma’s most recent role was president of Microsoft’s CoreAI product. The company did not announce a successor for Bond in the same statement.
The appointments place Microsoft’s gaming business under an executive whose recent work has centered on AI, a shift that follows earlier efforts by the company to blend AI and games.
AI And Gaming Experiments
Microsoft has already tested several approaches that combine AI and game development. Those efforts include work on an AI gaming companion and the release of an AI-generated level for “Quake II,” which the company described as buggy.
The leadership change comes as Microsoft continues to explore how AI tools might fit into game creation, distribution, and player experiences.
Sharma’s Internal Memo And Priorities
In an internal memo published by The Verge, Sharma wrote that Microsoft “will invent new business models and new ways to play,” and said that “monetization and AI” will both “evolve and influence this future.” She also said the company “will not chase short-term efficiency or flood our ecosystem with soulless AI slop.”
“Games are and always will be art, crafted by humans, and created with the most innovative technology provided by us,” Sharma wrote in the memo.
Sharma outlined three commitments in the message. Along with the statement about AI and monetization, she said the company will focus on building “great games beloved by players” and will prioritize Xbox.
Featured image credits: Wikimedia Commons
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