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Microsoft: Xbox One is the "Highest-Engagement Console" in the Market; Explains Strategy for Gaming

Microsoft explains its strategy for driving growth in the Xbox business, mentioning a "vibrant platform" in which the fans believe.

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PhoenixUp114d ago

Man Satya Nadella is treating this increase in revenue like Microsoft is on top of the hardware market.

“According to Nadella, the Xbox One is the “highest-engagement console in the marketplace.” Any time a new game releases, whether it’s first or third-party, “the fact that Xbox is where the best engagement is driven benefits” Microsoft. As a platform owner, that’s a “great growth area” for the company.”

Yet every multiplatform game always sells better on PS4. Even a title like Cuphead sold more on PC than it did on XO.

“The last element, which Nadella thinks is new and is already paying its dividends on the Azure growth side is that Microsoft has taken all the knowledge of what it means to build first-party games”

We always hear that Microsoft knows what it’s doing when it comes to providing high quality first party support yet we have yet to see anything substantial come from such claims. They’re gloating about Sea of Thieves for heavens sake.

Abriael114d ago

And yet, the platform is making them money, and a lot of it, and they're consistently growing. They must be doing something right.

DarkVoyager114d ago (Edited 114d ago )

“And yet, the platform is making them money, and a lot of it, and they're consistently growing. They must be doing something right.“

Making money doesn’t mean you’re doing everything right. I’d take Sony’s exclusives over Microsoft’s any day of the week.

Abriael114d ago

@DarkVoyager: in fact I said "something." Something and Everything are different things.

JaguarEvolved114d ago

Xbox doesn't have any exclusive games because you can play them all on pc. Xbox one is the worst console

DarkVoyager114d ago

“in fact I said "something." Something and Everything are different things.“

I wouldn’t say they’re doing something right considering the growth was from 3rd party.

gamerzero114d ago (Edited 114d ago )

"Any time a new game releases, whether it’s first or third-party, “the fact that Xbox is where the best engagement is driven benefits”

This is just a lie.. is he trying to say Monster Hunter World which was third-party yet sold nearly 90% of it's units on PS4 had higher engagement on xbox...

Or how about Far Cry 5 which has sold more than 2x as many units on PS4 as xbox.

Typical Microsoft though just laying and misleading to downplay the fact they are lowing this generation.

dreue113d ago Show
tontontam0113d ago

"And yet, the platform is making them money, and a lot of it, and they're consistently growing. They must be doing something right. "

if this is true I can safely assume that other platforms is making "WAY MORE" money than xbox, and is consistently growing "more RAPIDLY" than xbox.

well we can see that ms is happy with the profits, which means no plans on new exclusives games.

Elda113d ago

Justin Beiber & Taylor Swift sell a lot of music & their music is played every half hour on the radio doesn't mean their music is good. It's usually the artist that don't get that every half hour of radio play that make the good music.

bluefox755113d ago

Yeah, that's great if you're a shareholder, does nothing for gamers.

UltraNova113d ago

EA could very well have the " highest player engagement" of them all, which equals to most money made(in all kinds of twisted ways) in the games industry (or close 2nd at least), does that make it worthwhile or even a good thing to self promote considering they are the most hated entity in the biz?

What does "highest engagement console" mean in MS speak? How could the xbox be the highest in anything when it comes to the PS4 and Switch?
Highest amount of BC titles? Maybe highest 3rd party to exclusive ratio??
Or Highest frequency interval(bare with me) between AAA exclusives???

I wish MS treated us with more respect...but what did I expect.

Retroman113d ago (Edited 113d ago )

@ Abriael

Like what??? everything they done became a Disaster. MS lied at every E3 what have they done right???? we ps4 gamers like to know. They can't beat Nintendo in sales.
Don't come up with BS lies for answer give us Solid Facts.

ps360s113d ago

If you or a few other Xbox owners think this way then you guys must be very happy with what Xbox is offering

I am not happy as now I own an Xbox one S and Xbox X without any real great exclusives to play on my investment

Guess from the top people in MS, we shall wait and wait for every E3 lol

trooper_113d ago

What are they doing with the money? Making money and not doing something constructive with it are two different things.

113d ago
ocelot07113d ago

Yes doing right for Microsoft. Not for the customers or potential customers.

Chocoburger113d ago

@Abriael, Microsoft has done nothing right (outside of backwards compatibility which I like) since the reveal of the Xbox One back in 2013. This is nothing more than Nadella fluffing up some PR talk to make Xbox look good even though its been a sinking ship for years.

Gaming_1st113d ago

@Abriael

Well the fact of the matter is, MS is finally turning a profit after losing billions on Xbox division. The Xbox division is still in the negative overall. And one of the sole reasons the share holders have been trying to get MS to sell the Xbox division.

And IMO, MS hasn't done much right lately and i mean in like the last decade. They did great with the original Xbox, and have went down hill since.

Muzikguy113d ago

@Abriael

Do you honestly believe that? They’re ONLY making more money through subscriptions and service fees. I’d take games over that ANY day.

StormSnooper113d ago (Edited 113d ago )

Ofcourse they are making more money, each day more consoles are sold so it’s only natural that more money is made, it’s inevitable no matter how badly a console is doing it will still make more money as the generation continues. Using that fact to argue that it’s doing good, can be misleading. (I’m not saying MS is doing badly btw, I’m just saying this assessment is weird)

himdeel113d ago

So is engagement like when I pick up a controller to watch Netflix? But not play games. If it is then I get what he's touting.

Wait no I don't, am I suppose to play games on my console or get engaged to it?!

fewDankMemes113d ago

I feel like not a single person knows what "engagement" means. It means their userbase is engaging in more games. I.e. one user is buying 3-4 third party games which is more "engaging" than one user buying 1-2 third party games somewhere else, which would make sense given there's not a lot of exclusives. It means that their statistics show that people that buy these games play these games for longer hours, pay for more MTs if it's a game that supports them, again, which is higher "engagement". It means users are utilizing and purchasing more of their services. It does not mean sales for units alone.

Engagement domination across the nation!

StormSnooper113d ago (Edited 113d ago )

I think they want you to think you know what “engagement” is, but in reality there is no checks and balance on what it really means because they don’t clarify. Knowing Microsoft and their history with using undefined subjective terminology, there is probably a caveat they are leaving out.

Personally I think it means they sell more 3rd party per unit, meaning one Xbox sells more 3rd party than one PS4, but that’s not really saying much because PS4 sales are divided between more games AND there are more PS4s in the wild both of which tends to bring down the average. But, if you look at the total sales of games PS4 owners buy way more games, and that is a proven fact based on publishers reports.

Aenea113d ago (Edited 113d ago )

Sure, the drug cartels are making money as well, they must be doing something right too, huh?

:)

I know, I know, point is, they are indeed profitable and that's what companies are about, but don't tell me what they are doing is the greatest thing ever for gamers. Don't people want to see more first party titles? Afterall they claim to have to have the knowledge to make them but their output lately is rather on the low side...

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@gamerzero

They are talking about attachment rates tho, you know, percentages, if it sold 2x as much on PS4 but PS4 has 2.5 times the amount of users out there percentage wise the "engagement" is higher on Xbox...

It is a rather weird metric to talk about tho...

quenomamen113d ago

Yea got into the video game business to sell half of what their competitors sell, no really this what they planned all along.

113d ago
NXFather113d ago

Bro. I'm the one buying all those 1X's. But if they don't bring it with them first party games then I will pull the plug.

nucky64113d ago

what money? and how are they making it? just google "is MS making money on xbox consoles/gaming divison and see what you find.
I'm far from an expert on this; but, it doesn't take an expert to know the #1 reason consoles make money is games...... and MS is not producing consistently good games. services are great - but without GAMES, a GAME console is not making money. so abriael, if they're making a lot of money (as you seem to know) , tell me how they're doing it.

+ Show (25) more repliesLast reply 113d ago
PhoenixUp114d ago

Well of course the Xbox brand is making them money. They wouldn’t have continued staying in the industry after the original Xbox lost them $4 billion if they didn’t think the huge investment could eventually turn profitable for them, which it did.

However the direction they’re taking the brand can still come into scrutiny. What is “right” is a heavily subjective term. Yeah they’re financially doing well, but so is Konami and that company did an about face turn on its loyal fans and longtime famous developers and you’ll hardly see anybody consider Konami as doing something “right.” Of course Microsoft isn’t doing anything as reprehensible as them, but the point still stands.

Septic114d ago

Is Konami doing financially well?

AspiringProGenji114d ago

they are thanks to pachinco machines apparently

Mr Pumblechook113d ago (Edited 113d ago )

Here's that PR speak again: 'Highest engagement in the market.'
This sounds great but then you have to remember it's an accolade Microsoft award themselves with a criteria decided by themselves.

fiveby9113d ago

I guess we'll see how much of that revenue MS re-invests in making better 1st party exclusives. I'm not holding my breath though. As for MS using corporate speak, that's fine by me. They are speaking to investors and the like with such statements. But many in the gaming community know that the X1 is a shadow of it's former glory in X360 era. What I see with this era for MS is tons of lost opportunities. They grew revenue but probably left so much more sitting on the table this gen.

+ Show (1) more replyLast reply 113d ago
showtimefolks113d ago

Let them keep twisting words to fit their agendas nothing new. Did yall miss the word exclusive their their conference last year

rpvenom113d ago (Edited 113d ago )

Okay hold up.. engagement.. engagement.. so if I own an xbox in 2018.. and all that is released that's "supposedly" worth getting is sea of thieves.. because there's no other games.. as a statistic.. that is engagement right?

"look xbox fans, we released a game finally... "

Me at gamestop.. uhh so what's new exclusive this year for xbox? Only sea of thieves..

Okay I guess I'll get that...

Microsoft: HIGHEST ENGAGEMENT WOOHOOO FOR EVERY 1st party GAME RELEASED ON XBOX!!

blackblades113d ago

Did they say how much they sold?

showtimefolks113d ago

No they only do that when they win a month against ps4. Rest of the year it's about xblive users and engagement

gamer7804113d ago

no, he's not talking like that, he's talking engagement which can be measured in different ways. He's also saying that this gaming segment has potential for high growth additionally with azure for game devs. Absolutely nowhere did he say they are top in sales for games or hardware.

Darkspade113d ago

Isn't cuphead a play anywhere game? So saying it sold better on PC doesn't matter. It's easier to find PC deals on games than Xbox One. So many would buy the PC version for the xbox version

letsa_go113d ago

Next they are going to announce they had the highest-marriage console!

Muzikguy113d ago

Wow. I thought MS was done with stretching the truth. Apparently not

113d ago
Muzikguy113d ago

@MakoD

That’s right. I keep forgetting about that

StormSnooper113d ago

It reads like an advertisement for Microsoft. Some of the praise is really not justified.

113d ago Replies(4)
rainslacker113d ago

Engagement is a measure of percentage of people who buy games per consoles sold. It's great they have good engagement, it means people are buying games, but as a console's user base increases, it's engagement numbers go down. Its always been like this.

The good thing about high engagement numbers though is that it means it will continue to get support, because user base alone isn't the singular factor in measuring how well a game will sell. Even though the PS4 has a lower engagement percentage, for instance, it still sells more software.

Christopher113d ago (Edited 113d ago )

It seems they are only measuring online activity of titles compared to userbase, though, which is seeing yourself up for failure and misleading stats. The larger a userbase the smaller percentage that will track in online activity. Either that or saying a higher percentage of their userbase buys more games which again is comparing percentages and not flat numbers.

They're using percentages to hide lower actual numbers.

+ Show (9) more repliesLast reply 113d ago
DarkVoyager114d ago (Edited 114d ago )

“Microsoft: Xbox One is the "Highest-Engagement Console" in the Market; Explains Strategy for Gaming”

Highest engadgment console? What a way to spin things. It’s a financial report so of course they’d say something like this.

“If you still don’t have an Xbox One X you can purchase one on Amazon. If you prefer something cheaper and simpler, you can grab an Xbox One S.“

Or you could just get a PS4 Pro and enjoy better games.

xsta1ker114d ago

thats subjective and your opinion on what's a better game just like a plastic fanboy thinks his opinion is fact
sorry to burst your bubble it's not.

i don't understand why these people can't just say i prefer this consoles exclusives over the other...

instead of trying to blow smoke up everyones you know what.

DarkVoyager114d ago

“thats subjective and your opinion on what's a better game just like a plastic fanboy thinks his opinion is fact
sorry to burst your bubble it's not.”

Pretty sure reviews and metacritic prove Sony exclusives are better and believe it or not people like single player games.

xsta1ker114d ago

ok again this is subjective your letting your biase control your reasoning...

can't you just say you prefer sony's exclusives.
just because a metacritic scores a game higher than
another dose not mean everyone would go out and buy this game
it's all subjective rpg's single player racing open sandbox shooters multiplayer see what i mean.

Markusb33113d ago

I think ms marketing release is subjective as they are rating themselves in no contrast to anyone else in the market. They don't release console numbers but instead hours played on xb live or netflix. It's clever but they are just boasting numbers without comparing to Sony or nintendo. Did you see most nintendo games on npd did well over 1 million, spatoon is doing incredible numbers.

113d ago
bluefox755113d ago (Edited 113d ago )

Right, it is a subjective opinion. What's not a subjective opinion is that sales, reviewer, and user scores reflect that far more people prefer ps4 and it's games. That's objectively true.

Kribwalker113d ago

so dark voyager, under that thought Nintendo has the best exclusives, because Reviews and metacritic say so, since nintendo has the 2 highest rated exclusives this gen.

Kokyu113d ago

While it maybr subjective and opinion, the industry as well as hardware sells and software sells say other wise frankly.

MarineLineman113d ago

It’s funny how with Xbox fans, better has suddenly become “subjective” this gen. Last gen, Metacritic and sales were the gospel for you guys. Because PS3 didn’t have as many games in the 90+ meta, or didn’t sell as well, that made it the worse console. Funny how the metrics are always changing. PS4 has kicked Xbone’s ass in every concievable way; the only benefit is a slight power boost if you’re willing to spend $500 on top of whatever you own, and able to accept that most games don’t even make remotely decent use of it.

Gaming_1st113d ago

@xsta1ker, @Haurus

You use the term opinion and subjective. But objectively <---key word,Sony has higher rated games, more exclusives and a lot more console sales. Those are facts and not opinions or subjective to opinion.

And btw, it's not "your letting" it's "you're letting". No reason for the second your either.

kayoss113d ago

How can you prefer Xbox One X exclusives if there arent any?

S2Killinit113d ago (Edited 113d ago )

At this point even hardcore xbox fans cant deny that when it comes to games Microsoft drops the ball.

Im sorry but if you cant agree that some games are better than others regardless of opinions, then i dont know what to say to you. Everything is an “opinion” but the general consensus usually points to facts, thats why we have them.

hit17388113d ago

Not really it's a fact not a opinion anymore. Ps4 has the best exclusives followed by Nintendo.

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ASBO-5114d ago

Yeah no. Sorry M$ but the answer's no.
For real tho man this is getting sad, never thought I'd see the day when I felt pity for the xbone but here it is

114d ago Replies(8)
bigmalky114d ago (Edited 114d ago )

Hmmm, more marketing speak that is basically a lie.

The lowest user base, less first party productivity, two consoles in the lead... Are they really telling us that in it's entirety, Xbox is the brand where players are happiest, play longer in hours per head, and enjoy the best gaming choice there is of all three consoles in the industry? Engagement means sales, customer satisfaction and productivity. Seeing as Sony and Nintendo are selling more, satisfaction is high with both delivering AAA exclusives along with the same third party games, and are producing more exclusives than Microsoft... It's a load of hogwash.

These suits will say anything to keep clueless shareholders in their pockets.

SuperSaiyanGod41113d ago (Edited 113d ago )

People keep saying well they are making money so they are doing something right. True for the time being but let's say Microsoft gets comfortable with this which it seems like them and their fanbase are. They may just stick to this formula and really don't care about single player games because hey aslong as they are making money who gives a crap about single player right?

I'm hoping it doesn't end up like this but if they continue this, look for their next console to be last place again. Who in their right mind would want the next Xbox especially after the worse generation they are having now when it comes to games.

Kokyu113d ago

Well when your engagement was say 5% for 2 yrs and then it jumps to say 25% on paper that seems to be a hugh deal. The hours played is nonsense because everyone who games on a Wins machine or an Xbone use the same live account across all windows stuff. Its clever but intelligent people realize whats going on. Its no less PR speak certainly but as you said its what they are paid for

Vasto114d ago

This is just a sample of whats coming.

Mr Lahey113d ago

The mainstream game service model were it's ALL about the profit? I hope you're wrong. I have no need for that as a gamer. MS is ruining the industry ffs.

Vasto113d ago ShowReplies(4)
Vasto113d ago ShowReplies(1)
Vasto113d ago Show
rainslacker113d ago

Now if ms will just do some engaging themselves and make some good games, instead if just hoping others do all the work for them so they can bring in more money with less work.

+ Show (3) more repliesLast reply 111d ago