A leadership change at Microsoft’s gaming division has sparked an online backlash, with gamers accusing the company of “Indian nepotism” after the appointment of artificial intelligence executive Asha Sharma as the new head of Xbox.Microsoft has confirmed that Sharma will take over as CEO of its gaming division, replacing retiring Xbox boss Phil Spencer. Xbox president Sarah Bond is also leaving, and Game Studios CEO Matt Booty will become chief content officer, reporting to Sharma. Microsoft CEO Satya Nadella announced the news in a blog post on Friday.Sharma, who most recently served as president of core artificial intelligence products at Microsoft, was selected for his consumer and product expertise. She previously held senior positions at Instacart and Meta, and also served on the boards of The Home Depot and Coupang. Earlier in her career, she worked in Microsoft’s marketing department, leaving in 2013 only to return two years ago in a senior AI leadership role.However, the appointment sparked criticism of X, with some users questioning her lack of direct experience in the gaming industry. “The new head of Xbox, Asha Sharma, is an AI executive with no gaming background,” one user wrote.Another user said her appointment was in line with the trend of Indians “stealing” American jobs in the United States: “Microsoft is literally Indian nepotism right now. This is the entire company. You want to know why they rolled out an update that bricked hundreds of thousands of computers? Why does OneDrive not work but keeps enabling itself? Why are instacart employees working on games? Indian nepotism. This is the entire company now.”Another comment read: “I’m sure I need 6 years of software development experience, a 4.0 GPA from a top college, and 20 side projects to get a minimum wage internship at Microsoft, but the CEO knows nothing about video games.” Another user asked: “Why are all American tech companies now run by Indians?”The criticisms come amid US political debate, particularly among the “MAGA” conservative camp, where Indian-origin executives and the H1-B visa program have come under intense scrutiny. High-profile Indian-origin figures such as FBI Director Kash Patel, Second Lady Usha Vance and former DOGE leader Vivek Ramaswamy have also drawn attention. Some users also took a closer look at Sharma’s career history. A post circulating on The post pointed to her previous roles and questioned the depth of her long-standing leadership experience.Some users defended Microsoft’s decision, arguing that the CEO doesn’t need to design or play video games to run a gaming business and that the hatred for Asha stems from racism against Indians. Microsoft’s gaming division faces a tough decade. After fierce competition with Sony and Nintendo, former CEO Spencer admitted in 2024 that the 2013 Xbox One “lost the worst of the generation.” The company has spent heavily on acquisitions, including $69 billion for Activision Blizzard, to expand beyond consoles into PC and mobile gaming. The company has also laid off more than 2,500 gaming employees and closed multiple studios since 2024.“We are renewing our commitment to our core Xbox fans and players, the people who have invested with us over the past 25 years, and the developers who have built the vast universes and experiences that are embraced by players around the world,” Sharma said in an email to employees. She added: “We will celebrate our roots, which have shaped who we are, with a renewed commitment to Xbox, starting with console.”
