Microsoft Gaming gets a new CEO as Phil Spencer Announces Retirement and Sarah Bond Leaves Xbox

skins for the Xbox FSE should be Nr. 54839756 on their task list :woman_shrugging:

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The only B.S. is the ‘trust’ you somehow think I should have in this gaming company after every stunt they’ve pulled, including this one. That’s the confrontational vibe I’m getting from you here. I sat there and watched Booty, Spencer and Bond perform a cringeworthy ‘we’re just releasing 4 games on other systems’ video special 2 years ago so the fact they’ve been in constant pr mode for a very long time isn’t up for debate. They always wanted to have their cake and eat it too: keep the hardcore onboard and chase $$$ short term elsewhere.

I really don’t get how right here, right now, after they just ‘retired’ Spencer and put an unknown (who’s only credential is AI for Christ’s sake) in charge of the brand should somehow equate to me and others reading your wall of text and thinking ‘yup, these guys are following a plan and they know what they’re doing! Oorah”.

Just no.

By the way, the customer is king (pun unintended) so they can every every desire to chase 2 billion players but since they’re struggling to expand Gamepass beyond the 30 million range right now and the Series consoles have tanked harder than any Xbox console in history over the past 24 months (sales are practically inconsequential now), I think it’s safe to say it hasn’t worked. There’s no long-term promised land here. No hallelujah we’ve arrived in the future. There’s just the market rejecting the brand. Repeatedly. And no, I won’t cheer a multiplatform future for Xbox because becoming just another third party is not something to cheer for. Why would I? Xbox was an experience. Booting up Halo on PlayStation is not even a novelty, it’s just pointless.

And being multiplatform didn’t end well for EA or Ubisoft either so nothing is a safe bet anymore in this industry. Meanwhile Nintendo is doing well. So go figure.

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There’s literally video of Phil Spencer saying over the years that they want you playing the games you want to play where you want to play them. He has said on multiple occasions that you don’t need an Xbox to play their games.

Everything right now fits under what he said years ago. I would agree that they tried to maintain both the hardcore Xbox console players and build up the cloud-based subscription service with Game Pass on literally everything.

Do I believe that he wished to port Xbox games to PlayStation? No. I think that was the fallback after Playstation said no to Game Pass and Game Pass not meeting its aggressive growth targets.

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What can they actually do to address those artificial concerns? Xbox is literally bigger and more stable than ever. It’s the ONLY console platform that has respected libraries with backwards compatibility, free cloud saves, and Xbox Play Anywhere. People are terrified of Microsoft turning off the lights when Xbox is doing better financially than ever and the platform now exists beyond the console. People act like the Series consoles were a complete flop when even controversial estimates put total console sales aggressively average at over 30 million in five years. The WiiU didn’t even do half that in the same time and people were less concerned about Nintendo. Which you know why weren’t they because Nintendo 100% didn’t respect libraries because they never do. You can buy their games all over again and lose your progress and that’s it.

Microsoft and Xbox have publicly stated over and over again that they aren’t going anywhere and the next Gen Xbox is on the horizon. We can see them expanding things like Xbox Play Anywhere and making it so gamers can play the games they own on the cloud. Libraries aren’t just safe, they’ve been expanding in how you can play your games and growing in value. Whether gamers believe Xbox is up to them. It is business and a business can lie, but also… why are people uniquely worried about Xbox? Hardware sales aren’t actually terrible (they’re just mediocre; the big issue is the same for PS and that’s that there’s not really any growth compared to last Gen) and even if they are Xbox Cloud Gaming which is majorly going runs on Xbox infrastructure and even if it didn’t Xbox Play Anywhere is now even putting some backlog games on PC and even if none of that were true, video game consoles don’t have a history of protecting libraries as is. Up until the last minute people were unsure if Nintendo would have backwards compatibility and a way to transfer saves because both those things are RARE for Nintendo. No other console even has free cloud saves. Dedicated backwards compatibility is also iffy outside Xbox.

I don’t care for what she said, but otherwise I don’t think it matters much. She can’t do anything that Xbox hasn’t already done to alleviate fears of the brand entirely dissolving (for whatever reason people think that’s even on the table).

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Incorrect. Credentials are beyond only AI.

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The Series sales aren’t a linear graph. They fell off a cliff. This is literally a point where they’re not selling consoles beyond a puny number. Xbox isn’t ‘everywhere’ because people just don’t care. Something that’s been lost here is consumer habits and yes, people like ‘investing’ in a product. Like Apple does so well. Xbox meanwhile has done so little to curate their own base and this is the result. The Series consoles sold well enough until roughly 2023 when the collapse started. And that collapse is still ongoing.

I’m also very, very curious to see where the Game Pass numbers are now since ultimate had its severe price hike. Looking at how anecdotally a game like Kingdom Come Deliverance II is soon landing on Game Pass Premium tier and not just Ultimate, I’d say a lot of people defaulted to the cheaper option. Is that good business or part of the ‘plan’? Doubtful since that tier (which used to be called Standard last year) never got day one third party major drops like that.

I’m saying it as it is. Not as some people want to imagine. The Xbox brand had the best ecosystem and best controller (by far). It was my place to play since the early 2010’s and I also thought the backlash against the Xbox One was highly performative by bad faith actors in the media who were nothing more than mouthpieces for PlayStation (& to this day it still pisses me off when Digital Foundry fudge comparisons to undermine the Xbox version, like with Silent Hill 2 Remake which really does run better on the Series X).

But really, Xbox is in a very bad place here. I don’t see how you can argue otherwise.

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“Beyond” to the extent she’s a reassuring (or even logical) pick to be head of Xbox? That would be a stretch, especially since if you’d asked anyone here 24 hours ago they would have all said Sarah Bond was next in line.

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How are we measuring doing well? Because in terms of revenue Xbox and Playstation both dwarf Nintendo. In terms of margins Nintendo has those dreaded 30% margins that are supposedly killing Xbox now. I think it’s very interesting to bring up the market rejecting Xbox and choosing Nintendo because do you think Xbox would be seeing success following Nintendo strategy? No they’d be laughed out of the room. We know that because they were laughed out of the room when they tried selling an $80 game. We’ve seen exclusive games like Forza Horizon 5 see endless praise and then get snubbed for awards.

Nintendo isn’t growing in terms of users anymore than anyone else. The market still can’t escape a 2 decade old peak. What we’re seeing is Nintendo successfully use their clout to increase prices for their customers while also control for costs, and at the same time Nintendo is actually the smallest gaming business. We’re making conclusions off of perceptions and feelings and largely basing everything on console hardware sales here, but Xbox has made it clear that they want to be a platform and ecosystem first above all else. ABK did massively accelerate those plans as did probably the general stagnation in the industry and rising costs. We’ll see how they continue to succeed in doing that, but we’ve known what Xbox is doing for a while now.

The way I read the leadership change, especially with Bond’s memo and that she’ll be staying as an advisor for a while, is that Phil and Sarah have finished their era of Xbox. They’ve had their milestones and the platform is setup to do what they set out for it to. Now we’ll enter into a new era and someone brand new will define it. We don’t know what that means, but they’ve reiterated again that the next gen Xbox is coming and that Xbox overall isn’t magically disappearing overnight. We’ll hopefully get more information soon, but I don’t expect to actually see any major long term strategy changes until maybe 2027. Most likely everything is already set in stone and the Dominos will continue to fall. Unless there is some serious upheveal, it’ll probably be until like 2028 or 2029 that we see what the new CEOs Xbox actually is.

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Not what I said. I don’t go off the hinges to say things without it being based in reality. You don’t need to make up lies to support your views. You should try it.

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If I recall correctly, both are staying on in Advisory Roles until August.

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It’s a surprise yes, and if we start to see evidence that they’re pivoting away from a hybrid next gen or from Game Pass or something else we can worry then.

But at the moment it’s just a leadership change - given the people most vocally doom and gloom right now are also the people saying Phil and Sarah were shit, surely they’d be happy they’re changing things up?

The fact is we have to give it time - the new head might be less nostalgic and more likely to crack the whip to get delivery, or may just carry on their legacy while also being popular enough with the board and the other departments to get further investment and even better collaboration for the hybrid Xbox.

Only with time and actions will we see the path they’re taking - words are often hollow, and while this is a shock it’s no reason to completely doom and gloom.

Some people seem less sad about Phil and Sarah leaving (I hate change so was always going to shake me a bit) and more just using this as another bar to hit Xbox with - and aren’t really discussing things in good faith…

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That is a good idea to be honest, give time to properly help the new ceo to ajust and all that jazz.

Good argument there, can’t deny that. I admit i don’t like change but sometimes its needed especially if someone is getting on with the years and feel like they need to leave and all that.

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That’s a weird anecdotal to use to determine game pass subscriber numbers. Kingdom Come Deliverance 2 came out in February 2025. It’s over a year old. When Xbox raised the price of Ultimate they committed to their own games coming to premium after a year. Why would they hold a third party year old game for Ultimate in the first place? How is them doing that a sign that everyone downgraded to premium? If they did, why is that a bad thing? Premium is only $5 less than Ultimate had been and doesn’t have as many benefits. I fundamentally don’t understand the logic.

There’s not an argument to be made here, because we haven’t even defined “bad”. Arguing online is stupid and I’m not going to do that. I will suggest for your concerns that you define “bad” for yourself, because I’m going to say straight up that I don’t see going from owning like 5 studios to owning 40 as bad. I don’t see the fact that the only Xbox Game Studio to close in nearly a decade following aquistions was one that had nothing to show after nearly a decade and was still making design decisions after nearly a decade. I don’t see waning sales later in a console life as bad especially when overall sales have surpassed a healthy number and there’s still Xbox games on One consoles and there’s increasing growth on Cloud and PC which uses the same platform systems. The don’t see the growth of Xbox Play Anywhere or Cloud Gaming as bad. I don’t see the current experience I have playing on Xbox as bad. I don’t see the fact that the series generation has seen the most growth in third party support as bad.

It’s all perception and I think that in gaming especially we get really, REALLY stuck in that. If you’re really fearful it might help to better define why you’re fearful. I’m going to say none of what you says make sense to me why “Xbox is in a really bad place.” now especially if you’re going to tell me that you joined up in the disastrous early 2010s and thought the Xbox One era backlash was performative. Speaking of performative, Xbox Game Pass’s first party promise was exactly that bad then because first party games were so few and far between and of such varying quality. The fear is of developers and publishers leaving but that was never more of an issue than during the Xbox One (well, actually it probably was during the OG Xbox). “bad” is subjective. I really just propose this, what are the other consoles actually doing and what have they done? How do Series Consoles compare to the worst selling consoles of Nintendo? Nintendo literally flopped home hardware every other console. How does library protection hold up on Nintendo and PlayStation? What do game and hardware prices look like at Nintendo and Playstation? How does Xbox’s content release compare to all other publishers and Nintendo and PlayStation? How does Xbox’s creative freedom compare? Compared to the industry how is Xbox layoffs and studio closures?? How bad is hardware actually doing when the generation literally started with shortages, had several dry stints with COVID having delayed development, and now AI shortages? This is the first generation we’ve seen consoles be more expensive as time went on and Sony started that. If anything the Xbox Series sales (and PS for the same reason) are impressive considering all the industry problems. Still the biggest is that consoles just aren’t growing. They need something else. Perception is important for reaching new audiences, but it’s also not reality. I don’t know what your “bad” is but you just can’t tell me that Xbox is in a worse spot than Nintendo was with the WiiU and hardware sales don’t change the fact that the Xbox One was a desert.

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None of the conversations around Xbox are in good faith. It’s so frustrating because what are they even supposed to do? People have the most unrealistic standards for Xbox that don’t exist for Playstation or Nintendo, and even then they want to get mad when Xbox plays into what they said they wanted. The conversation is “GP is too much value and will ruin gaming.” up until they raise the price and restrict day one games and then it’s “Xbox is failing and this is proof. Now they’ve gotten too greedy.” Everyone wants Phil gone and hates Sarah until that actually happens.

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Karma is gonna catch up to pricks like that. It’s only a matter of time, really.

I have a feeling gaming journalism is going to go in a different direction if Xbox decides to blacklist big ones like IGN, which I feel is a very good possibility, since Phil is no longer there to play nice, but we never know. If that happens i think many of these journalist should be fully aware of what that entails.

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And you don’t have to run defense force for the latest CEO pick because it’s an easy opt out of critical thinking. It cuts both ways.

I can play xbox games I bought nearly 20 years ago while other platforms have cut you off at some point during that time.

Xbox and PC are the only platforms that respect your past purchases.

I don’t know why anyone would be concerned for their xbox library compared to other platforms.

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Yeah gotta agree with this. Blades dash wasn’t actually good. Comes off a bit clueless. Like she asked somebody to suggest something she could namecheck for cred with nostalgic fans.

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Yes. Of all the concerns that people cite about the future of the Xbox ecosystem, some of which are legit, this one makes the least sense to me.

Even if Microsoft decides to get out of the hardware business tomorrow, it doesn’t mean that your Xbox account or purchases go away. Feels like a bit of online FUD.

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