Microsoft (hereafter “MS”) announced on the 20th that it has appointed Asha Sharma as CEO of Microsoft Gaming. The appointment is part of a large-scale executive restructuring carried out as Xbox marks its 25th anniversary.

Satya Nadella, Chairman and CEO of Microsoft, explained the rationale behind appointing Sharma, saying, “We highly valued the performance she has delivered at Microsoft over the past two years, as well as the platform-building capabilities she demonstrated while serving as COO of Instacart and as a Vice President at Meta.” He added, “Her experience serving billions of users and supporting developer ecosystems will contribute to the growth of Microsoft Gaming.” Sharma will report directly to Nadella.

As part of the organizational reshuffle, Matt Booty has been promoted to Senior Vice President and Chief Content Officer (CCO). Reporting to Sharma, CCO Matt Booty will oversee content strategy across more than 40 studios, including Xbox, Bethesda, Activision Blizzard, and King. Studios under Microsoft Gaming hold major IPs including Halo, The Elder Scrolls, Call of Duty, World of Warcraft, Diablo, Candy Crush, and Fallout.

Phil Spencer, the current CEO of Microsoft Gaming, has decided to leave the company after 38 years. Spencer joined Microsoft as an intern in 1988 and led the gaming division for the past 12 years, expanding the business roughly threefold. He spearheaded the acquisitions of Activision Blizzard, ZeniMax, and Mojang (Minecraft), and broadened the Xbox platform across PC, mobile, and cloud. Spencer will remain in an advisory role through this summer to support the transition.

In her inaugural message, CEO Asha Sharma unveiled three core strategic priorities. The first is empowering studios and investing in iconic IP. “Great games that players love are where everything begins,” she said, emphasizing that the company will “challenge new categories and markets and be willing to take risks.”

The second is restoring the Xbox brand identity. Sharma stated, “Consoles are our foundation, and we will strengthen the bond between developers and players built on that foundation.” She added that, in order to build a gaming environment without boundaries between devices, the company plans to establish a system that allows developers to reach all players across PC, mobile, and cloud with a single development effort.

The third is building a sustainable business model. She outlined a policy of avoiding short-term monetization and artificial uses of AI. “Games are art made by humans, and technology is a tool that supports that art,” Sharma said. “Rather than simply consuming intellectual property (IP) commercially, we will build a shared platform where developers and players create stories together.”

Sarah Bond, a key executive within the organization and President of Xbox, decided to resign during the restructuring process. Bond has played a pivotal role in the growth of the Xbox platform, including the expansion of Game Pass, the development of cloud gaming strategy, and the launch of new hardware.

CCO Matt Booty said, “There are currently no plans for additional restructuring or organizational changes within the studio organization,” adding, “We will focus on supporting the existing leadership and creating the best possible production environment.”

This article was translated from the original that appeared on INVEN.