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Xbox faces "no directive" from Microsoft to use AI, Matt Booty insists, despite new CEO's background: "We're committed to art made by people"

News
By Scott McCrae published 25 February 2026

Microsoft Gaming CEO Asha Sharma says "we need to draw lines on what we won't do"

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New Xbox CEO Asha Sharma and COO Matt Booty have commented on AI usage on the platform, saying there's no mandate to include it in development.

Given Microsoft CEO Satya Nadella's obsession with AI, the appointment of Sharma – previously the lead of Microsoft's CoreAI – raised a few eyebrows. Sharma quickly got out in front of things by releasing a statement to Microsoft employees saying, "We will not chase short-term efficiency" or "soulless AI slop." Following that, the duo of Sharma and Booty has spoken about Xbox's plans for AI use going forward.

Speaking to WindowsCentral, Booty said, "We've got no pressure from Microsoft, there are no directives on AI coming down. Our teams are free to use any technologies that might be beneficial, whether it's helping write code or check for bugs — things more in the production pipeline." He adds, we're committed to art made by people. Technology is only in support of that."

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Sharma explained, "I think that with any new technology, it brings possibilities as a tool, but even more important, especially now – we need to draw lines on what we won't do." She adds, "I will not flood our ecosystem with slop. We won't have careless output, we won't have derivative work. I deeply believe in the words that I shared previously there."

Booty emphasized the goal is for AI to be used in a support capacity at Xbox, saying, "What I hear throughout our studios: it is the people, our artists, our coders, the writers – they're doing the creative work."

As long as Xbox sticks to that, I'm sure its fans will be happy, but given Microsoft as a whole seems all-in on the AI hype, I'm still staying cautious.

Xbox co-founder says Phil Spencer exhausted himself trying "to do the right thing" and he feels "worst" for Sarah Bond.

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Scott McCrae
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Scott has been freelancing for over three years across a number of different gaming publications, first appearing on GamesRadar+ in 2024. He has also written for the likes of PC Gamer, Eurogamer, VG247, Play, TechRadar, and others. He's typically rambling about Metal Gear Solid, God Hand, or any other PS2-era titles that rarely (if ever) get sequels.

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