Phil Spencer is retiring from Microsoft after joining the software company 38 years ago, and will be replaced by Instacart's former COO.

By Jaspreet Singh Feb 20 (Reuters) - Microsoft said on Friday gaming head Phil Spencer is retiring after 38 years at the software maker, in a major leadership shake-up. The company named insider Asha Sharma as the executive vice president and CEO of the gaming division.

Microsoft Gaming CEO Phil Spencer is retiring from the company and Xbox president Sarah Bond is leaving in a massive shakeup for the gaming giant. Spencer had been with Microsoft since 1988, starting as an intern and rising through the ranks to become the overall head of gaming within Microsoft. IGN was first to report the news.

Microsoft Gaming CEO Phil Spencer, who has been at Microsoft since he joined as an intern in 1988 and with Xbox since the software giant launched its first console in 2001, is retiring, sources familiar with the matter who are not authorized to speak publicly confirmed to IGN.

Microsoft names former AI products head Asha Sharma as its gaming chief, and she has sparked heated debate over her professional journey and AI's role in the gaming ecosystem.