Is Xbox Chief Phil Spencer Retiring? Microsoft Responds To Rumor

Xbox, Microsoft’s gaming division, has been hit hard with layoffs and studio closures. It comes at a time when the company’s strategy, which shifts some of the focus away from its first-party hardware to one where anything can be an Xbox, is under doubt by fans. That doubt now extends to whether current CEO Phil Spencer will continue to be at the helm for the long term.

Well known Call of Duty leaker, @TheGhostOfHope, kicked off the rumor that Spencer will be stepping down in the near future. They posted on social media platform X that “Phil Spencer will be retiring from his role as CEO of Microsoft Gaming after the launch of the next generation Xbox,” which is expected to launch sometime in 2027. Sarah Bond, currently president at Xbox, would take over as CEO following Spencer’s departure, according to the post.


Well, not so fast. Microsoft has been quick to shoot down the rumor after it gained traction in the news cycle (and social media). The company released a short statement to The Verge saying, “Phil is not retiring anytime soon.” Additionally, Frank Shaw, communications chief at Microsoft, weighed in on the situation with a reply he posted on X, saying that the rumor is “made up.”

It’s not all that surprising that these kinds of rumors are starting to appear. While Spencer has done an admirable job of righting the ship after the disastrous Xbox One era, recent decisions have weakened enthusiasm for the Xbox brand. It’s gotten to the point where hardcore Xbox fans are weary of continuing to invest in the platform.

It will be interesting to see how the next few years will shake out for Xbox. It wouldn’t be out of the realm of possibility that it goes the way of Sega and just becomes a third-party publisher, leading the “big three” to become the “big two” in PlayStation and Nintendo.