Leadership changes at Xbox under Asha Sharma
Intelligence Summary
- Asha Sharma announces major Xbox leadership changes and the end of Copilot initiatives.
Leadership changes at Xbox under Asha Sharma
In February 2026, Asha Sharma was appointed CEO of Xbox, and since taking over she has made a number of major changes within the organization. The shifts are a response to declining sales and a continued drop in revenue that Microsoft has seen in its gaming division.
Overview of the leadership changes
Asha Sharma has announced that several new leaders are joining Xbox, mostly from the AI sector. These changes are meant to broaden the team’s technical expertise and reinvigorate the organization. The focus is on speeding up processes and improving the connection with the community.
Some notable new additions to the team include:
Jared Palmer - Former vice president at CoreAI; he is taking on a technology role and will focus on product development and infrastructure.
Tim Allen - Another CoreAI veteran who will lead design at Xbox.
Jonathan McKay - Head of growth, formerly at OpenAI, and responsible for growth at Xbox.
Evan Chaki - Leading an engineering team focused on simplifying development processes.
David Schloss - New executive overseeing the subscriptions and cloud divisions.
The impact of the leadership overhaul
The changes are not just cosmetic; they stem from Sharma’s desire to improve the Xbox organization. In an internal memo shared with staff, she emphasized the need to evolve and restore the team’s way of working. During her first few months, she also shut down several existing marketing strategies, such as the “This is an Xbox” campaign, and shifted focus to the development of the next-generation hardware known as Project Helix.
Sharma has also made it clear that Xbox needs to focus on delivering impactful services faster, which requires the team to become less inward-facing and more community-focused. That could help improve the user experience and deliver more value to players.
The end of the Copilot initiatives
As part of Xbox’s new direction, Sharma also announced that the company is ending development of the Copilot feature on consoles, as well as winding it down on mobile devices. Copilot was intended to be an AI assistant for gamers, but it did not align with Xbox’s new goals. Sharma confirmed that the company will concentrate on features that truly fit its new vision.
Timeline
2026-02-23: Asha Sharma is appointed CEO of Xbox.
2026-05-05: Sharma announces a major leadership reshuffle, including the addition of new team members with AI backgrounds.
2026-05-06: Microsoft stops development of the Copilot feature on consoles and mobile devices.
The future of Xbox under new leadership
With the changes being implemented under Asha Sharma’s leadership, it remains unclear exactly how Xbox will evolve in the coming years. Bringing in team members with strong AI experience could help the company stay ahead of the competition. The new focus on community connection and user feedback could lead to a more dynamic, customer-focused approach across the Xbox ecosystem.
With Project Helix on the horizon, there is still hope that Xbox can recover from its recent challenges and secure a stronger position in the gaming market. Fans are looking forward to more news as Xbox prepares for its future.
Sources
Tweet van @asha_sharTweet van @asha_sharUPDATE: Xbox boss Asha Sharma has confirmed that Microsoft has stopped development of Copilot on console.
Tweet van @asha_sharTweet van @asha_sharWhile the quartet of additions to Xbox from CoreAI will likely raise eyebrows — as Sharma's own move did earlier this year — the changes are believed to be positioned internally as simply about bringing in the best talent, with experience working in Microsoft's AI division seen as just another part of the company.