‘A remarkable leader’: Asha Sharma pays tribute to Phil Spencer as she replaces him as Microsoft Gaming CEO

Microsoft’s new head of gaming Asha Sharma has paid tribute to her outgoing predecessor Phil Spencer.

As revealed in a surprise announcement last week, Spencer retired as Microsoft Gaming CEO on Monday, with Sharma – who previously served as president of Microsoft’s CoreAI product – stepping in to replace him.

The major management shakeup also included the resignation of Xbox president Sarah Bond – who some had assumed was being prepared to replace Spencer – and the promotion of Xbox Game Studios head Matt Booty to chief content officer, working alongside Sharma.

Now, in a statement on X, Sharma has paid tribute to Spencer, alongside a photo of Spencer, Sharma and Booty at Microsoft’s office.

“Today Matt and I had the chance to recognize [Phil],” she wrote. “Over the past couple of months, we’ve talked nearly every day about everything from hardware and strategy to creators and culture… and plenty about our kids and dogs, too.

“Those conversations gave me a front row seat to what so many of you have known for decades. Phil is a remarkable leader, but even more than that, he’s a deeply remarkable human being.

“When he took over Xbox in 2014, it was a pivotal moment. He pushed for backward compatibility because players asked for it. He helped bring Xbox One X to life. He created Game Pass. And through it all, he re-centered our decisions around players and creators.

“A lot of careers get summed up by milestones. Phil’s impact shows up in stories. In the creators who felt safe taking risks, in the teams who did the best work of their lives because someone believed in them, and in players across generations who felt like Xbox was theirs.

“I’ll always remember this day. I’m proud to be part of Team Xbox. Now our journey begins.”

In her first statement as Microsoft Gaming CEO last week, Sharma stated that Xbox has to make three commitments to ensure future success – “great games”, the “return of Xbox” and the “future of play”.

“To meet the moment, we will invent new business models and new ways to play by leaning into what we already have: iconic teams, characters, and worlds that people love,” she said.

“But we will not treat those worlds as static IP to milk and monetize. We will build a shared platform and tools that empower developers and players to create and share their own stories.

“As monetization and AI evolve and influence this future, we 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.”