Xbox has new leadership, and they’re making one thing clear right out of the gate. Your console isn’t going anywhere. Asha Sharma took over as CEO on February 23, 2026, with Matt Booty stepping into the Chief Content Officer role as Phil Spencer heads toward retirement. In an interview with Windows Central, the pair addressed the speculation that has followed Xbox through months of declining sales and multi-platform releases.
Sharma knows fans have questions. The decision to put former exclusives on PlayStation left some wondering if Microsoft was quietly exiting the hardware business. She addressed that directly, acknowledging the real money and countless hours players have sunk into the ecosystem over the past 25 years. Her message was simple. The “return to Xbox” she keeps talking about starts with the box itself.
A first-party pledge, not a publisher pivot
Matt Booty shot down the theory that Microsoft wants to become just another software vendor on competing platforms. He stressed that the studio system is built specifically to work alongside the hardware team, influencing early designs and optimizing games for devices like the Xbox handheld gaming PCs.
Booty described the organization as a federation of studios capable of supporting both experimental passion projects and annual blockbusters. That structure exists to protect creative risk taking. Sharma reinforced the point, arguing that success comes from serving your core audience, not chasing trends. First-party development isn’t getting sidelined, and smaller creative bets still have a home here.
Drawing the line on AI and protecting creative culture
Sharma’s background leading Microsoft’s CoreAI group raised eyebrows. Would she push artificial intelligence into every game? She addressed that concern directly, drawing a hard line between helpful tools and thoughtless content. Her promise was blunt, no slop, no derivative work, and no careless automation. She wants clear boundaries on what the company won’t do.
Booty backed her up, noting there are no top down directives forcing AI onto developers. Teams can use whatever technology helps, whether that means streamlining bug testing or optimizing code. But the creative work, the writing, the art, the design, stays with people. Booty pointed out that new tools usually create demand for more specialists, not fewer. The goal is raising the quality bar, not automating the soul out of your games.
Building the next 25 years of Xbox
Sharma knows promises are cheap. She admitted the business has hit rough patches and that fans have legitimate concerns. Her answer was straightforward, the work ahead is about proof over promise. She asked for room to learn, to visit studios like Bethesda and Activision, and to understand the data behind recent moves before making dramatic shifts.
But she also offered a timeline. Hardware announcements tied to the return to Xbox are coming soon. She made it personal too, saying she’s fully committed and that this team has navigated tough transitions before. The goal now is strengthening the business not just for the next quarter, but for the next 25 years.