Jared Palmer, the VP of engineering at Xbox, is leaving the company just over two months after his appointment was officially announced. Palmer shared the news via social media today, confirming he is moving to the AI company Cognition to lead their engineering efforts.

Palmer’s departure comes during a period of significant structural shifts within the gaming division. Appointed on May 5, 2026, by Xbox CEO Asha Sharma, his tenure was brief. In his announcement, Palmer expressed gratitude for his time at the company, noting, "I'm grateful to Asha Sharma and everyone at Xbox for an amazing year."

Quick Facts

  • Appointment Date: May 5, 2026
  • New Role: Head of Engineering at Cognition
  • Previous Background: Microsoft's CoreAI

Leadership Changes at Xbox

Palmer’s hiring was part of a wider C-suite restructuring directed by Sharma, who took over with the stated goal of building a platform that is "affordable, personal, and open." This initiative involved bringing in several new leaders around the same time, including David Schloss, who currently serves as the head of Xbox subscription and cloud work.

Unlike Palmer, other key figures appointed under Sharma—including Schloss, Jonathan McKay, Tim Allen, and Evan Chaki—remain with the company. The broader reorganization has been accompanied by ongoing staff reductions at Xbox, a trend that has prompted industry concern regarding the future of studio stability and the viability of the Xbox Game Pass subscription model.