Xbox CEO Asha Sharma Appointed to Federal Reserve Advisory Task Force

The U.S. Federal Reserve has appointed Microsoft Xbox CEO Asha Sharma to co-lead a newly formed advisory panel tasked with analyzing the economic impact of artificial intelligence and emerging technologies on productivity and employment. The announcement, made by Federal Reserve Chairman Kevin Warsh, positions Sharma among a select group of external experts brought in to independently review the central bank’s tools and help inform future monetary policy decisions.

Federal Reserve Launches Monetary Policy Overhaul

The appointment is part of a broader administrative restructure by the Federal Reserve, which has established five independent, external task forces. These panels are designed to assess whether the central bank’s analytical tools and policy approaches need to evolve alongside a shifting modern economy.

Chairman Kevin Warsh emphasized that the U.S. economy has changed significantly over the last generation, stressing the need for rigorous, evidence-based feedback. Each task force will operate independently of internal Fed staff, providing candid findings directly to the Federal Open Market Committee (FOMC).  Xbox Layoffs: CEO Asha Sharma Shares Email Sent to Employees, Confirms Job Cuts and Studio Reset.

Addressing Tech's Impact on Productivity and Jobs

Sharma will serve as a co-lead for the "Productivity and Jobs" task force. She is joined by prominent Silicon Valley venture capitalist Marc Andreessen and Stanford University economics professor Charles I. Jones, who is currently on leave at the AI safety firm Anthropic.

The mandate for Sharma’s team focuses heavily on analyzing "general-purpose technologies," specifically artificial intelligence. The task force is expected to study how AI shifts labor market demands, drives economic efficiency, and alters employment metrics. These insights will play a critical role in how the Fed evaluates economic health when determining interest rates and inflation strategies.

Corporate Strategy and Policy Contrast

Before stepping into her current role as CEO of Xbox in February 2026, Sharma served as the president of Microsoft’s CoreAI product organization, following executive stints at Meta and Instacart. Her background in scaling global digital platforms and deploying machine learning systems is cited as a primary reason for her selection. Xbox Layoffs: Microsoft to Cut 3,200 Jobs and Divest 4 Gaming Studios.

However, the appointment has drawn public and industry scrutiny due to its timing. Just days prior to the Federal Reserve's announcement, Sharma issued an internal memo outlining the largest restructuring in Xbox history. The corporate overhaul includes a planned workforce reduction of approximately 3,200 employees through fiscal year 2027, highlighting a stark contrast between her new public advisory role on job preservation and her current corporate mandate to streamline operations.

(The above story first appeared on LatestLY on Jul 10, 2026 10:12 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).