Phil Spencer and Sarah Bond Are Leaving Xbox, and It Feels Like the End of an Era
Xbox is entering a brand-new chapter, but for longtime fans, today’s leadership shake-up lands with a mix of excitement, uncertainty, and real emotion.
Xbox is officially heading into a new era, and it’s a big one.
Phil Spencer, the longtime face of Xbox and Microsoft Gaming, is retiring from Microsoft after nearly four decades with the company. At the same time, Xbox president and COO Sarah Bond is also leaving, marking one of the biggest leadership transitions the brand has seen in years.

For a lot of players, Phil Spencer was Xbox. He helped guide the brand through one of its hardest stretches, pushed Xbox deeper into PC and cloud gaming, and oversaw massive moves like the Mojang, ZeniMax, and Activision Blizzard acquisitions. Microsoft also says he helped nearly triple the size of the gaming business during his run. :contentReference[oaicite:1]{index=1}
That’s why this news feels both exciting and sad at the same time. Exciting because change can bring energy. Sad because Spencer’s leadership has been such a defining part of modern Xbox.
And then there’s Sarah Bond.
Bond became one of the most important executives in Xbox’s recent history, especially as the company pushed harder into platform strategy, cloud gaming, Game Pass growth, and new hardware direction. Phil Spencer credited her as a key force during a “defining period” for Xbox in his internal memo.

Bond said she’ll remain on as a special advisor during the transition, and in her note to employees she made it clear she still believes deeply in where Xbox is headed. She highlighted PC and cloud gaming growth, said the next console is already well underway, and described the platform as becoming more open across devices. :contentReference[oaicite:3]{index=3}
That part is important, because Xbox isn’t just changing leaders — it’s changing shape.
Microsoft has named Asha Sharma as the new CEO of Microsoft Gaming, with Matt Booty moving into an expanded role as EVP and chief content officer. Microsoft’s internal messaging around the transition emphasizes three priorities for the future: great games, a renewed commitment to Xbox, and the future of play.

There’s also a business reality behind this shake-up. Microsoft’s gaming division has been dealing with pressure, including declining gaming revenue in its most recent quarter, while the company continues trying to balance blockbuster acquisitions, platform strategy, and what Xbox means in a world that now stretches across console, PC, cloud, and handheld devices. :contentReference[oaicite:5]{index=5}
So yes, this is a leadership story. But it’s also a direction story.
For fans, it’s okay to feel two things at once:
- Sad that the Phil Spencer / Sarah Bond era is ending
- Curious (and maybe cautiously excited) about what Xbox becomes next
That’s the mood today. Not panic. Not blind hype. Just a real turning point.
Xbox won’t look the same after this. And honestly, it probably shouldn’t. The bigger question now is whether this next chapter can keep what fans loved about the last one — while still building something new.
What Changed at Xbox (Quick Summary)
- Phil Spencer is retiring from Microsoft Gaming after 38 years at Microsoft.
- Sarah Bond is leaving Xbox and will assist with transition as a special advisor.
- Asha Sharma becomes EVP and CEO of Microsoft Gaming.
- Matt Booty is promoted to EVP and Chief Content Officer.
Filed under: Xbox, Microsoft Gaming, Phil Spencer, Sarah Bond, Gaming Industry News



