Xbox "euthanized" by Microsoft?

Just a few months before the 25th anniversary of the Xbox console, things are looking grim at Microsoft Gaming. Its passionate president, Phil Spencer (pictured), recently retired, and his most likely replacement—Sarah Bond—has resigned. The Xbox division is now headed by Asha Sharma, formerly in charge of AI products at Microsoft. Seamus Blackley, co-creator of the Xbox launched in 2001, spoke to GamesBeat. He believes Microsoft wants to literally "euthanize" the console to make more room for the AI business. His proof? The arrival of a leader from the AI team at the head of Microsoft Gaming, despite her lack of video game experience. "They don't say it, but that's exactly what's happening," Blackley explained. I expect the new CEO, Asha Sharma, to act as a kind of palliative care physician, gently guiding Xbox through its final days. According to Blackley, Microsoft CEO Satya Nadella believes that AI will permeate video games, just as it will permeate everything else, meaning the end of traditional gaming, of which Microsoft is a cornerstone. It would have been surprising if they had appointed someone to a senior position who was genuinely passionate about gaming, about this idea of a creator-driven industry, because that would directly conflict with everything else Microsoft does, Blackley explains. Microsoft is now a company focused on helping its customers by enabling them to use AI to control everything. This contradicts the auteur model inherent in all art, and especially in video games. It should be noted that these remarks are consistent with the analysis of another Xbox co-creator, who expressed similar pessimism regarding the summer of 2025.