Asha Sharma became Microsoft Gaming CEO in February 2026 after Phil Spencer retired, bringing experience from Microsoft, Meta, Instacart and Porch Group.
She is overseeing a major Xbox restructuring that includes plans to cut about 3,200 jobs and reduce game output.
Sharma is pursuing a more focused Xbox strategy while emphasising direct communication about the company's problems and opportunities.
Asha Sharma, an Indian-origin technology executive, is the new CEO of Microsoft's gaming business, taking charge of Xbox after longtime chief Phil Spencer retired. Sharma, who has held senior roles at Microsoft, Meta, Instacart and Porch Group, brings a background in artificial intelligence, product development and technology operations to one of the world's biggest gaming businesses. Her appointment marks a major leadership change for Xbox as Microsoft looks to reshape its gaming strategy across consoles, PC, mobile, cloud gaming and Game Pass.
Who Is Asha Sharma?
Sharma, 38, was born Racine, Wisconsin, in 1989, according to India Today. She has a Bachelor's degree in business from the Carlson School of Management at the University of Minnesota.
Sharma started her career at Microsoft in 2011. She later became COO at Porch Group. She also worked at Meta as a vice-president of product and engineering. She joined Instacart as COO in 2021 and was there during its 2023 public listing.
She returned to Microsoft in 2024 as president of CoreAI Product, working on AI products and services. She became Microsoft Gaming CEO in February 2026.
Sharma had no videogame experience when Microsoft put her in charge of cleaning up Xbox. Instead of sugarcoating, she repeats uncomfortable facts in meetings and memos: revenue is falling, margins are tiny, and Game Pass has missed targets. She tells staff that great companies share wins but also need to get better at sharing “hard things and clear realities,” and she lives by the line: “Clarity is kindness.”
In late 2025, Satya Nadella asked her to consider taking over Xbox; she accepted because she believed she could add unique value on strategy and execution, even if game development itself was already strong.
Why Is Asha Sharma Restructuring Xbox?
Phil Spencer retired as CEO of Microsoft Gaming in February 2026. He was a beloved industry figure who played games in meetings, while Sharma is more intense and direct, as per Wall Street Journal.
In July, 3,200 layoffs were announced, which comprises of about 20% staff and a reduction in the number of games, noting that not all cuts have been completed and anxiety remains high for some employees. At the same time, some staff and studio heads say they appreciate her clarity about what’s broken and where the opportunities lie.
Strategically, after a decade of acquisitions and expansion under Spencer, Sharma is cutting output and focusing on franchises like “Elder Scrolls” and “Halo,” pushing Minecraft toward more user-generated content to rival Roblox, courting indie developers, and expanding film/TV licensing. She made tangible product changes like removing a hated AI assistant and simplifying disc-to-digital conversions. To stay close to players, she personally handles customer-support tickets a few hours a month, as per Wall Street Journal.
