240°

Why Did Microsoft Enter The Video Game Space?

Why is Microsoft in the video game space? This question was originally answered on Quora by John Byrd.

FallenAngel19842524d ago

To spread the influence of Windows into more living rooms because they felt threatened by the rise of PlayStation

Sitdown2523d ago

Well you got it half right...

NecrumOddBoy2523d ago

I think they jumped into it because they had the financial desire to monopolize the Video Game World the same way they were doing with software across the PC. Microsoft came in with a lot of great ideas and Promises during the first console which I think is one of the best consoles ever made with some of the best games, the original Xbox did have. But with the 360 it was clear that they had malicious intention for only monopolization industry and how they did not at all care about creativity or the concept of artistic expression. Microsoft forced paid online services and timed exclusive content and really degraded the industry and I personally think Microsoft at its peak or is one of the worst things to happen to gaming. I think the Xbox franchise is really hindered by Microsoft as a whole. Their way to corporate

2523d ago
Rude-ro2523d ago

More to it than “PlayStation”.
Sony was an electronics innovative force that could have threatened and locked out “windows” or how computing can work while also being threatened by other and upcoming software businesses.
They saw the trend and started or tried to attack every version of electronics that had to do with computing and the consumer digital realm.
They were also attacking pc software pirating due to just how bad it was and they did that by approaching it in segments of what home PCs were used for.
Microsoft’s heart and soul is their marketing advertising stronghold. Every screen is a billboard to them and they spend billions is research to control that realm because it is endless in profits.
Cloud computing is just an evelution of this and taking away the necessity to depend on a hardware war to keep control. Get the business world dependent on certain software, and boom.. now Microsoft controls the hardware, removes piracy, increases profit, full control of marketing and advertising that, just like the age old saying... control the media, control the world.

meka26112523d ago Show
Rude-ro2523d ago

@meka2611

Ha! No. Windows sucks period, but it was not about “their PCs” it was about how and where they were going with it and who could end up closing Microsoft’s os out per any other software company that decided to try.
And you are right, Microsoft achieved their goal with the ps3 and the cell processor and any partnerships per software developers by commercially attacking Sony in all directions with major ramifications to their hardware manufacturing.

And no, Microsoft wanted nothing to do with gaming in the sense of “money”.. it was protecting their monopoly on the digital world, cut piracy because gaming was huge chunk of it.
But their overall goal is to control and dominate the consumers screens... play ball, and Microsoft will play friendly.

meka26112523d ago Show
Ulf2523d ago (Edited 2523d ago )

Exactly this. Consoles, and the web as an interface for MS Office replacements, are a threat to Microsoft's bread and butter.

They are in the console space as a defensive posture -- they will not be caught with their pants down, like they were with mobile.

Anyone who thinks they will sell the Xbox division is nuts.. and doesn't grasp Microsoft's actual business, or it's threats, at all.

meka26112523d ago

Again that's just dumb, microsoft dominates the pc market, they have been doing it and will continue to do so. And even if windows goes away, which it won't, their software is used everywhere, from direct x to office, to other programs they make.

rainslacker2523d ago

I think they'd drop the hardware if they could get a major player to use their OS, and give them some sort of revenue on the licensing side. MS intention was to have their OS be used by more people, and to prevent Sony, and potentially others from taking over in the consumer space.

However, given how far they've come in the console space, I think it'd take a major player on the level of Sony accepting MS OS to make it happen. Plus, they'd have to consider how much they'd lose on things like XBL....which is something that could be made up with a service like Game Pass, if in this hypothetical, Sony would allow it on their system.

nitus102523d ago

That is one of the many reasons I don't run a Microsoft operating system on my laptop or desktop.

I run Fedora 28 (the latest release) which is a very good distribution, however, I would not recommend this for the novice unless they have some familiarity with filesystem setups (It's actually pretty easy but some people don't like to learn). At least the OS I use does not by default phone home.

The only downside of a Linux distribution is that if you are an avid gamer you are fairly limited as to what games you can play hence if you want the latest PC games then you are stuck with a Microsoft operating system. Other than games I can pretty much do anything or at least find a workaround and except for some specialty software which will cost no matter which OS you use. My total cost software cost to date is $0 and I don't pirate.

Of course, if your work provides a PC for you then you don't have much of a choice of the operating system. 🙄

Fist4achin2523d ago

It was an expansion to go from operating sytems and software into a form of entertainment media that has grown to beat hollywood. Videogames have in my opinion beat the majority of movies coming out of hollywood by a long shot. It made sense and gosh did xbox start off great. I dont think they have steered their ship well into the 3rd generation though. They have so much in their treasure chest to pull from and i dont see what is the matter.

+ Show (2) more repliesLast reply 2523d ago
PhoenixUp2524d ago

“Anyway, after that point, Microsoft had:

A reasonably successful game console (it lost money, but it didn’t lose that much money, relatively speaking)”

Losing $4 billion isn’t that much?

2523d ago
Mr_cheese2523d ago

I'm glad they did, the competition has been week needed and because of them we have the online options we do today.

PlayStation through and through but you should always give credit and recognise where others stand iut plus the original box was class!

Cmv382523d ago

We had online options with the dreamcast. Outside of a harddrive in a console...to my knowledge, xbox was the first.... they haven't brought much else to the video games market. They do attempt to push console power relative to the PC market. That's a plus.

rainslacker2523d ago

PS2 was designed to take hard drive, it just didn't ship standard with the system, thus ultimately, got practically no support. Hard drives in consoles were inevitable anyhow. Hardly a innovative step on MS part IMO. MS biggest contribution to console gaming was creating an ecosystem that went beyond the console, and redefining the principals of online connectivity through a centralized matchmaking and social service.

annoyedgamer2523d ago (Edited 2523d ago )

Alot of guys in here won't admit it but the Xbox 360 forced Sony to get their act together in the early days of the PS3.

nitus102523d ago

Is that why Microsoft backed the HD-DVD?

By backing HD-DVD even though they never integrated a player into their XBox360 (they had an external one) Microsoft muddies the waters in the format wars. Yes, the original PS3 was expensive but it was still the cheapest Bluray player at the time and it had inbuilt WiFi, optical 7.1 channel stereo as well as a user swappable hard drive.

Let's not go into the Immersion versus Sony lawsuit https://en.wikipedia.org/wi... of which Microsoft had a hand in.

nowitzki20042523d ago

That is not true lol. 360 had a whole year head start.. thats the only reason they were ahead.

darthv722522d ago

@nitus, did you not know that MS actually backed 'both' BD and HDDVD...? It was Toshiba that offered to make the drive for MS to use an an add-on and they were in talks with another mfg for a BD drive as well but that fell through.

In the end, it is their plug-in they were really supporting that was viable in both formats. Remember... Sony is about hardware (thus their push for DVD and eventually BD) while MS is about software (supporting both HDDVD and BD with their encoding/decoding plug-in).

They got their hand in practically everyone's cookie jar. Even linux

Mr_cheese2522d ago

Shame there is so much negativity on N4G lately, especially when points are valid.

Xbox did push online services with Live and because of that we got PSN.

There is no denying that there wasn't online functionality before for consoles but Xbox executed it in a way that couldn't go unnoticed and had to be matched/ built upon.

It's like smartphones before iPhone. iPhone did what had already been done with touchscreen but they presented it in a much better product and because of that success the mobile industry changed.

Competition is good.

Show all comments (37)
80°

Inside the ‘Dragon Age’ Debacle That Gutted EA’s BioWare Studio

The latest game in BioWare’s fantasy role-playing series went through ten years of development turmoil

In early November, on the eve of the crucial holiday shopping season, staffers at the video-game studio BioWare were feeling optimistic. After an excruciating development cycle, they had finally released their latest game, Dragon Age: The Veilguard, and the early reception was largely positive. The role-playing game was topping sales charts on Steam, and solid, if not spectacular, reviews were rolling in.

HyperMoused2d ago

Its easy they called the die hard fans people in their nerd caves who will buy anything and then went woke to reach modern audiences....insulting the nerds in their caves along the way showing utter contempt for their fan base. very hapy it failed and any company who insults their fan base and treat their customers with contempt and insults, in future, i also hope fail.

neutralgamer19922d ago

It’s disappointing but not surprising to see what's happening with Dragon Age: The Veilguard and the broader situation at BioWare. The layoffs are tragic — no one wants to see talented developers lose their jobs. But when studios repeatedly create games that alienate their own fanbase, outcomes like this become unfortunately predictable.

There’s a pattern we’re seeing far too often: beloved franchises are revived, only to be reshaped into something almost unrecognizable. Changes are made that no one asked for, often at the expense of what originally made these games special. Then, when long-time fans express concern or lose interest, they’re told, “This game might not be for you.” But when those same fans heed that advice and don’t buy the game, suddenly they're labeled as toxic, sexist, bigoted, or worse.

Let’s be clear: the overwhelming majority of gamers have no issue with diversity, LGBTQ+ representation, or strong female leads. In fact, some of the most iconic characters in gaming — like Aloy, Ellie, or FemShep — are proof that inclusivity and excellent storytelling can and do go hand in hand. The issue arises when diversity feels performative, forced, or disconnected from the narrative — when characters or themes are inserted not to serve the story, but to satisfy a corporate DEI checklist. Audiences can tell the difference.

When studios chase approval from a vocal minority that often doesn’t even buy games — while simultaneously dismissing loyal fans who actually do — they risk not just the success of individual titles, but the health of their entire studio. Telling your core customers “don’t buy it if you don’t like it” is not a viable business strategy. Because guess what? Many of us won’t. And when the game fails commercially, blaming those very fans for not supporting it is both unfair and self-defeating.

Gamers aren’t asking for less diversity or less progress. We’re asking for better writing, thoughtful character development, and a respect for the franchises we’ve supported for decades. When you give people great games that speak to them — whether they’re old fans or new players — they will show up. But if you keep making games for people who don’t play them, don’t be surprised when those who do stop showing up

Armaggedon2d ago

I thought the writing and character development were fine. Sometimes things just dont resonate with people.

90°

Report: Just Cause 5 Was in Development at Sumo Digital, But Got Cancelled

Recent evidence we discovered indicates that the next game in the Just Cause series may have been canceled, potentially two years ago.

RaidenBlack4d ago

NOooooooooooooooooooooo....... ..............

mkis0073d ago

Well if it went back to being more like 3 I would have liked it. 4 was crap.

280°

Bend Studio Reportedly Lays Off 30 Percent of Staff Following Live-Service Project Cancellation

Sony's Bend Studio lays off 30 percent of its workforce following the cancellation of its live-service project.

Read Full Story >>
twistedvoxel.com
Jin_Sakai4d ago

And to think we could’ve been playing Days Gone 2 by now.

RaidenBlack4d ago

I would even pay 80 bucks for an UE5 based more immersive Days Gone 2 .... or even a new Syphon Filter.
But nah .... rather lay off staff & re-remasters Days Gone i.e Days Gone Reloaded.

Cacabunga3d ago (Edited 3d ago )

Stubborn Sony not wanting to listen to fans is paying the price of its arrogance. They could have let these studios grow and do what they do best and let others like Bungie maybe make gaas for those who want it.

Days Gone 2 is obviously what they should focus on next. We’ve had enough remasters and reeditions of the first one

Profchaos3d ago

Sony's not paying the price its workers are.

z2g3d ago

They were listening to the money that games like Fortnite were pulling in. Market research shows service games when successful make more money. It’s a gamble that Sony was too cocky to worry about. Now ppl are losing their jobs in an economy that’s gonna slow down any minute.

gerbintosh3d ago

@Profchaos

The workers let go were probably hired for the live service game and released now because it was cancelled

jznrpg3d ago

People needed to buy the first game! And not at 20$

neutralgamer19923d ago

I understand the argument that if fans truly wanted a sequel to Days Gone, they should've supported it at launch at full price. But that perspective misses a lot of important context.

First of all, Days Gone launched in a broken state. It needed several patches just to become stable and playable. For many gamers, paying $60 for something clearly unfinished just wasn’t justifiable. That wasn’t a lack of support—it was a fair response to a product that didn’t meet expectations out of the gate.

Despite that, over 8 million people eventually bought the game. It built a strong, passionate fanbase—proof that the game had value and potential once it was properly patched. A sequel would’ve had a much stronger foundation: a team that had learned from the first game, a loyal audience, and way more hype around a continued story.

But Days Gone also had to contend with another challenge—it was unfairly judged against other first-party PlayStation exclusives. Critics compared it directly to polished, masterful experiences like Uncharted, The Last of Us, and God of War. And while those comparisons might make sense from a branding perspective, they didn’t reflect the reality of the situation.

Studios like Naughty Dog and Santa Monica Studio had years—sometimes decades—of experience working with big teams and high budgets on flagship titles. Days Gone was Sony Bend Studio’s first major AAA console release in a very long time—their last being Syphon Filter back in the PS1 era. Before that, they were mostly focused on handheld games. Expecting them to match the output of the most elite studios in the industry, right out of the gate, was unrealistic and frankly unfair.

The harsh critical reception didn’t reflect the potential Days Gone actually had, and it probably played a big role in Sony's decision not to greenlight a sequel. Instead, they pushed Bend and other talented studios like Bluepoint toward live service projects—chasing trends instead of trusting the kinds of games their fans consistently show up for. Many of those live service games have since been canceled, likely wasting hundreds of millions of dollars and valuable time that could’ve gone toward meaningful single-player experiences.

So when people say, “You should’ve bought Days Gone at launch if you wanted a sequel,” they’re ignoring the bigger picture. Gamers didn’t reject the game—they waited for it to be worth their time. And once it was, they absolutely showed up. That should’ve been seen as a foundation to build on, not a reason to walk away from the franchise

InUrFoxHole3d ago

@neutralgamer1992
Has a point. I supported this game day 1. There was either and audio sync issue or a cut scene issue that ruined the game for me early on. I dont blame gamers at all for holding off until it meets their standard.

raWfodog3d ago

I seriously wonder who makes these types of decisions. Days Gone was a solid game. It didn't get that much love at first but people eventually saw the diamond in the rough. The ending basically guaranteed a sequel, but someone said "nope, let's pitch a LS game instead". And the yes-men were all "Great idea, sir!!"

+ Show (1) more replyLast reply 3d ago
-Foxtrot4d ago

Urgh. Jim Ryan’s sh***y GaaS plans still ripple across their studios even today.

Such a shame, they should have just been allowed to make Days Gone 2.

Sony need to truly let go of their live service plans once and for all.

OMNlPOTENT3d ago

Agreed. I think the live service era is dead. Even titans like Destiny are starting to fall apart. Sony needs to shift their focus back to their single player games.

ABizzel13d ago (Edited 3d ago )

I don’t think the GaaS overall was a bad idea they’ve seen the success of others, however, forcing all your studios to focus on it was absolutely insane.

Those kind of games are backed by hundreds if not thousands over 1,000 developers working on those games year-round even after release for continuous new content monthly, quarterly, and huge annual or bi-annual updates. It was stupid to expect taking your single-player focused studios and have them become GaaS focused studios when many of them have skipped Multi-player modes the entire last generation (a stepping stone into GaaS).

He was after his Fortnite, Apex, etc… and I feel they could have found that by building a singular new studio dedicated to helping developers like Naughty Dog bring Faction 2.0 to life. At most they should have had:

Factions 2.0 GaaS (PlayStation’s Open World Survival)
Destiny 3 (Bungie needs to revamp Destiny)
Horizon GaaS (PlayStation’s Monster Hunter)
A new AAA IP

That’s it. I mean technically Gran Turismo is a GaaS so that could count, and an Open World InFamous meets DC Universe Online could work with custom hero / villain classes.

raWfodog3d ago (Edited 3d ago )

"I don’t think the GaaS overall was a bad idea they’ve seen the success of others, however, forcing all your studios to focus on it was absolutely insane."

What's more interesting is that SIE was not actually 'forcing' their studios to make GaaS games. I have to find the article again but it was explained that these studios knew about Jim's plans for GaaS games and typically pitched those types of games to SIE because they would have a better chance of getting greenlit for production. They were chasing dollars instead of their ideal games.

Edit: I found the article. Take it for what it is, lol

https://wccftech.com/playst...

ABizzel12d ago (Edited 2d ago )

@ra

I don’t think they were forcing all of their studios, however, that initiative didn’t just come out of no where. Jim Ryan’s entire purpose was to make PlayStation more profitable than ever, and a collection of successful GaaS across platforms would have definitely done that. Based on his talk tracks and interviews he is a numbers guy, and he and Herman Hulst ran with this GaaS solution to all the PlayStation teams.

And when your CEO says this is what we’re getting behind and what the company and shareholders want going forward, everyone falls in line and pushes towards it.

Naughty Dog probably wanted Faction 2 with or without influence.

Sony Bend wanted Days Gone 2 and it was shot down, and now more than ever it makes way more sense, since the game, while initial impressions were slightly above average (which at the time wasn’t good enough being compared to God of War, Ghost, TLoUs, etc…), has found a cult following and has ended up selling extremely well across both PS4 and PS5. But instead they were dropped into this GaaS IP that failed and now they’ve wasted years of development when Days Gone 2 could have already been released or releasing.

4d ago
Obscure_Observer4d ago

Sony literally sent Playstation studios into a death trap!

They forced studios into this GaaS bs just cancel their games midway in development and fire thousand of people in the end!

WTF is happening over there? Why those CEOs still got to keep their jobs after billions and billions dollars invested in new studios and games just to so many developers fired and projects canceled in the end?

This is the worst generation of Playstation! Period!

CrimsonWing693d ago

Jim Ryan got fir—err I mean, retired.

anast3d ago

Jimmy followed Phil's advice.

3d ago
raWfodog3d ago (Edited 3d ago )

They didn't actually 'force' their studios, per se, but the initiative was certainly there.

https://wccftech.com/playst...

-Foxtrot3d ago

They didn't have a choice lets be honest, a new boss comes in and lays out all these plans....what are any of them going to do? Pitch a single player game with none of the things that guy is asking for? You're just asking to be given less funding, less notice, less resources and the like. or maybe you're scared incase the guy decides to get rid of you for someone who will actually give him things that he wants.

They didn't get brutally forced but they had no choice but to go with the flow or Jim would find someone who would.

raWfodog3d ago (Edited 3d ago )

@Foxtrot
No, they definitely had a choice but many chose the path of least resistance.

We have plenty of single-player, non-LS games that began development during the LS initiative. Those projects obviously got greenlit for production. These studios just needed to have good ideas for single player games, but most just chose to come up with half-assed LS pitches.

slate914d ago

Can't believe Sony has been shooting themselves in the foot this gen. Abandoning what made them great to chase industry trends

Skyfly473d ago (Edited 3d ago )

Alanah explains the reasons why in this video which goes into more detail: https://www.youtube.com/wat... But its basically down to appeasing their shareholders

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