An example process includes while displaying, on a display, an extended reality (XR) environment: receiving a user input; sampling, with a microphone, a user speech input; in accordance with a determination that the user input satisfies a criterion for initiating a digital assistant, initiating the digital assistant, including: displaying, within the XR environment, a digital assistant indicator at a first location of the XR environment; and while displaying the digital assistant indicator at the first location, providing, by the digital assistant, a response to the user speech input; after providing the response, ceasing to display the digital assistant indicator at the first location; and in accordance with ceasing to display the digital assistant indicator at the first location, displaying the digital assistant indicator at a second location of the XR environment, the second location corresponding to a physical location of an external electronic device implementing a second digital assistant.