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Xbox Chief Asha Sharma Pursues Radical Transparency to Turn Business Around

Wall Street Journal US Business •
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Xbox's new head Asha Sharma, appointed in February, is pursuing radical transparency to transform Microsoft's struggling gaming business. The 38-year-old executive, who succeeded Phil Spencer, regularly shares uncomfortable facts: Xbox revenue of around $23 billion is declining, profit margins are just 3 per cent, and Game Pass remains well short of expectations. Sharma's mantra is "Clarity is kindness." She joined Xbox with experience from Meta Platforms, Instacart, and Microsoft's AI tools division.

In July, Sharma announced the largest restructuring in Xbox's 25-year history, cutting around 3,200 jobs (20% of the workforce) and spinning off four studios. She explained the business had become too dispersed. Reactions are divided: some call her both an "executioner" and "saviour," while studio leaders like Todd Howard of Bethesda praise her clear communication.

Sharma is focusing on major franchises including Halo and The Elder Scrolls, expanding user-generated content in Minecraft, and attracting talent like Hideo Kojima. Born to immigrants from New Zealand in Wisconsin, she advanced rapidly from Microsoft intern to COO at Porch, VP at Meta, and COO at Instacart during its pandemic IPO. Despite her intense work approach, she seeks more comfort than clarity as a mother of young children.