One of the key figures behind the original Xbox has echoed growing concerns surrounding the company’s recent leadership shake-up.

The primary creator of the original Xbox, Seamus Blackley, has claimed that Microsoft Gaming and Xbox is being “sunsetted” following its recent leadership shake-up–including the departure of long-time executive Phil Spencer and the appointment of a new head whose background lies primarily in AI.

In an interview with GamesBeat, Blackley expressed his belief that the changes signal a transition away from traditional gaming, suggesting that Xbox as we know it may be approaching its end.

Xbox’s major changes met with dread, former employee deems it dying

Last weekend, Xbox announced a significant shake-up to its leadership, with Microsoft Gaming CEO Phil Spencer stepping down after a career at Microsoft that began in 1988. A major figure in console gaming, Spencer played a key role in the launch of the original Xbox in 2001.

Another prominent executive, Xbox president Sarah Bond, also unexpectedly resigned, despite many assuming she would be the natural successor to the CEO role at Microsoft Gaming.

Instead, Asha Sharma–formerly President of Microsoft’s CoreAI product division–has stepped in as Xbox’s new head. Meanwhile, Xbox Game Studios chief Matt Booty has been appointed Chief Content Officer and will work closely alongside Sharma.

Asha Sharma has been appointed as Microsoft Gaming’s new CEO (Image: Microsoft)

This new direction has raised concerns within the community, particularly given Sharma’s lack of a public background in the gaming industry and her strong association with AI–a topic that has divided opinion since its emergence. A quick look at any leading social media post about the Xbox changes, and you’ll quickly see the community’s mixed feelings regarding the new CEO selection.

Seamus Blackley: “Xbox (…) is being sunsetted”

Adding fuel to the debate, Seamus Blackley, one of the original designers behind the Xbox, has publicly described the leadership change as a transition towards the end.

Blackley stated, “Xbox, like a lot of businesses that aren’t the core AI business, is being sunsetted. They don’t say that, but that’s what’s happening. I expect that the new CEO, Asha Sharma, her job is going to be as a palliative care doctor who slides Xbox gently into the night.”

He continued, “Imagine asking somebody if it made sense to put a major motion picture studio into the hands of somebody who didn’t like movies, or a major record label into the hands of somebody who’d never seen a live show. Why would you do that? You only do that if you’re looking at the problem in a more abstract way. 

The natural consequence of the focus on AI is that AI abstracts every problem from the minds of the executives who believe in it. We’re abstracting the problem of games as well. There’s a core belief–and you can see it in what Satya said–that AI will subsume games like it will subsume everything.”

Blackley appears firmly convinced that Microsoft is steering Xbox in this direction, suggesting the company is aiming to “recontextualise the way we think about technology”.

However, Microsoft’s own messaging contradicts this notion, with the company promising a “return of Xbox” rather than its exit.

In an email to Microsoft staff, Sharma addressed concerns surrounding AI’s influence over gaming early on: “As monetisation and AI evolve and influence this future, we will not chase short-term efficiency or flood our ecosystem with soulless AI slop. Games are, and always will be, art, crafted by humans and created with the most innovative technology we provide.”

For now, Xbox still has numerous upcoming titles in development and has even promised a new generation console. Ultimately, only time will tell where Xbox is truly headed.