Phil Spencer had already put it in the ditch by the time she took over. “Everything is an Xbox” was a joke of a strategy, spending $70 billion on a company with a weak slate in the Activision purchase

I'm not sure thats all on Phil. He was told they needed 30% profit margins or else. He was grasping and trying to make that happen when they only had 12% (market average was something like 10). This really feels like Phil was setup to take a fall and Asha is swooping in to either be a hero or sell it all off so Microsoft can focus on AI.