MICROSOFT RESTRUCTURES XBOX WITH LEADERSHIP SHAKE-UP

Microsoft's Xbox division is undergoing significant structural changes under newly appointed CEO Asha Sharma. The reorganization includes departures of some veteran staff members, promotions, and the addition of executives with stronger technical backgrounds to bolster the Xbox platform team. Sharma, who previously led Microsoft's CoreAI team, has brought several executives from that division into Xbox roles. The move signals a shift in strategic direction as the company works to address operational efficiency and technical capabilities. The reorganization comes alongside the decision to wind down Xbox Copilot AI development. Microsoft will stop advancing Copilot on console and halt mobile development, marking a retreat from an AI integration strategy announced earlier. In a statement, Sharma outlined priorities for the restructured team: "Xbox needs to move faster, deepen our connection with the community, and address friction for both players and developers." Sharma's tenure has already seen multiple strategic moves. She reduced Game Pass subscription prices, pushed through requested Xbox console features, and consolidated Microsoft Gaming operations back under the Xbox brand. The platform team reorganization represents the most substantial structural change since her appointment. Separately, Microsoft is expanding cross-platform support for classic franchises. Remakes of Myst and Riven, already available on Steam and macOS App Store, are coming to PlayStation, Xbox, and the Microsoft Store—demonstrating a broader commitment to reaching players across multiple platforms. The restructuring reflects Sharma's focus on technical execution and community engagement over experimental features like Copilot integration. Industry observers will monitor whether the new team structure accelerates product development and improves developer relations as intended.