Neuropsychiatric complications including depression and cognitive decline develop in the years after traumatic brain injury (TBI), negatively affecting quality of life. Microglial and type 1 interferon (IFN‐I) responses are associated with the transition from acute to chronic neuroinflammation after diffuse TBI in mice. Thus, the purpose of this study was to determine if impaired neuronal homeostasis and increased IFN‐I responses intersected after TBI to cause cognitive impairment. Here, the RNA profile of neurons and microglia after TBI (single nucleus RNA‐sequencing) with or without microglia depletion (CSF1R antagonist) was assessed 7 dpi. There was a TBI‐dependent suppression of cortical neuronal homeostasis with reductions in CREB signaling, synaptogenesis, and synaptic migration and increases in RhoGDI and PTEN signaling (Ingenuity Pathway Analysis). Microglial depletion reversed 50% of TBI‐induced gene changes in cortical neurons depending on subtype. Moreover, the microglial RNA signature 7 dpi was associated with increased stimulator of interferon genes (STING) activation and IFN‐I responses. Therefore, we sought to reduce IFN‐I signaling after TBI using STING knockout mice and a STING antagonist, chloroquine (CQ). TBI‐associated cognitive deficits in novel object location and recognition (NOL/NOR) tasks at 7 and 30 dpi were STING dependent. In addition, TBI‐induced STING expression, microglial morphological restructuring, inflammatory (Tnf, Cd68, Ccl2) and IFN‐related (Irf3, Irf7, Ifi27) gene expression in the cortex were attenuated in STINGKO mice. CQ also reversed TBI‐induced cognitive deficits and reduced TBI‐induced inflammatory (Tnf, Cd68, Ccl2) and IFN (Irf7, Sting) cortical gene expression. Collectively, reducing IFN‐I signaling after TBI with STING‐dependent interventions attenuated the prolonged microglial activation and cognitive impairment.