Asha Sharma faces internal challenges at Xbox after Phil Spencer's departure

In an internal email, Xbox CEO Asha Sharma shared insights on the company's current state and the challenges it faces amid a restructuring process after Phil Spencer's departure.

Since taking on her role, Sharma has visited most of the company's studios to assess project progress and better understand team needs. She also reviewed Xbox Game Pass pricing to offer more options for users.

In a recent memo, Sharma acknowledged that “Game Pass has become too expensive for players,” emphasizing the need for changes. She explained that, in the short term, a better value proposition is necessary, and that long-term, Game Pass will evolve into a more flexible system, which will take time to develop.

Different subscription tiers are being considered to improve benefits and attract more subscribers. Rumors also suggest that Microsoft might remove titles like Call of Duty from Game Pass to cut costs, though removing existing titles seems unlikely. One recent decision was to cancel the “This is an Xbox” marketing campaign, which was unpopular and was withdrawn as part of Sharma’s efforts to reposition the brand.