Xbox Axes Copilot on Consoles, Winds Down Copilot Mobile Development

In a recent post on X, Xbox CEO, Asha Sharma, announced that Copilot on console will officially exit active development, while Copilot on mobile will also be wound down. Copilot for Gaming was previously announced in March 2025, with the feature first making its way to mobile and later announcements predicting that Copilot would be coming to Xbox Series consoles sometime in 2026. Copilot was slated to land on Xbox consoles in the form of an AI that effectively watches you game by taking screenshots and monitoring inputs and then providing suggestions and recommendations based on that data. Judging by the wording in the announcement, this appears to be another move by Xbox Gaming CEO, Asha Sharma, to earn back the trust of gamers in what she calls “a return to Xbox.” It’s unclear what this means for the rest of the Xbox Gaming software suite, especially when it comes to devices like the ASUS ROG Xbox Ally and its Xbox Game Bar, but it seems likely at this point that those integrations may also eventually be removed.

The full post by Sharma reads:

Xbox needs to move faster, deepen our connection with the community, and address friction for both players and developers.

Today, we promoted leaders who helped build Xbox, while also bringing in new voices to help push us forward. This balance is important as we get the business back on track.

As part of this shift, you’ll see us begin to retire features that don’t align with where we’re headed. We will begin winding down Copilot on mobile and will stop development of Copilot on console.

Previously, Xbox Gaming, under Sharma, has started re-evaluating how it approaches exclusive games and Game Pass, dropped the price of Game Pass, and axed the maligned “This is an Xbox” ad campaign. This latest move has largely been positively received by the online gaming community, although the same was true when Microsoft announced that it would be walking back many of its Copilot integrations, so that is to be expected. Overall, it seems as though Microsoft has started to realize that it has strong competition in the gaming space now, especially in the handheld gaming space, where SteamOS is largely regarded as the superior choice.