The COO position was a first for Xbox, created as part of the company's big "reset" with end-to-end profit-and-loss responsibility across content, hardware, platform and services. It arrived alongside what was described as the most significant Xbox restructuring in history, which included 3,200 layoffs. During that shake-up, Double Fine, Undead Labs and Compulsion Games went independent following negotiations, Ninja Theory is now likely to close after two acquisition deals fell through, and Arkane Lyon remains in limbo, reportedly with only until November to find a buyer.

Chiang reported directly to Sharma, and her immediate responsibilities are now being split between other Xbox leaders while Sharma says "we'll share more on COO leadership as plans are finalized". That wording suggests the role itself is not disappearing, but no reason was given for Chiang's exit. Microsoft declined to discuss the circumstances, with Xbox communications vice president Kari Perez saying: "We don't discuss individual personnel matters." The Verge, which saw the memo, notes that its brevity and the immediate handover of duties make it seem like the departure was not a resignation, and that Chiang is leaving amid rumours of further Xbox layoffs this month and in November and January.