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Microsoft Shifts to Make More of Its Own Video Game Software

Company will open new game studios or acquire them, Xbox chief Spencer says

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bloomberg.com
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Septic398d ago (Edited 398d ago )

Wow now THIS is what MS should have done ages ago. Lets see what MS can do in this respect. Better late than never

But this is interesting:

"In the longer term, Spencer also says that Microsoft will probably introduce a game streaming service that doesn't require a console "in the next three years". "

RIP Xbox?

christocolus398d ago

They will definitely keep making hardware but it will just be one of the many points of entry into the Xbox Eco system.

4Sh0w397d ago

I think they will do better in investing in 1st party studios and buying talent through 3rd parties in the future but I completely understand any gamers lack of confidence in Microsoft given how they have failed to do so in recent years.

zackeroniii397d ago

until i see quality worthwhile console seller of exclusives coming from microsoft and their studios...then this is just another blatant lie that xboners are gonna eat up.

freshslicepizza397d ago

"That changed focus lets Microsoft play to recent strengths—Xbox software and services revenue grew 21 percent last quarter, while console hardware sales dropped."

Their strategy I guess is starting to pay off. I'm sure Minecraft alone makes hundreds of millions of dollars per year for them. Now that he has proven to the CEO that Xbox can be profitable then I guess now they will get more money to invest in. So we'll see, that's really all we can do now is wait.

397d ago
Platinum_Fan397d ago

It's funny to see all the people who are always saying exclusives aren't important get all excited about exclusives as soon Microsoft says they will finally start making some.

JackBNimble397d ago

To little to late for this generation and for the onex.
Better luck next time.

bouzebbal397d ago (Edited 397d ago )

i would definitely buy an xbox based subscription service to stream the games from TV or any other device.
if that would allow me to get 3rd party games and not only 1st party games then i will be happy.
don't think they are fit to make hardware

cigi397d ago

@JackBNimble you didn't get the memo... there are no console generations from now on.

The whole breaking all games and accessories is just not very consumer friendly. MS has found a way of making old games work - and not just work, but be improved by new generations and this is massive. And something sony is not capable of. Just look at PS4 pro and the issues where they disconnect the second gpu to make it run ps4 games... so games still in the same generation.

Sony has a big problem going forward. They might try to convice you that a ps5 that breaks the old generation is good, but it is not!

UltraNova397d ago

I dont believe him for a second. This may very well be marketing spiel to push XboX awareness and alleviate concerns.

I'll believe it when I see it Phil.

ravinash397d ago (Edited 397d ago )

If they do open new 1st party devs, there will be plenty of talent coming out of the companies EA owns as the workers there either get sick their crap or they've closed the company down.
Expect many Bioware talent to appear in the market over the next few years.

freshslicepizza397d ago

@platinum
"It's funny to see all the people who are always saying exclusives aren't important get all excited about exclusives as soon Microsoft says they will finally start making some."

What's even funnier is seeing all these new accounts/alt accounts popping up everywhere on a weekly basis going after Microsoft. Nobody said exclusives weren't important, the argument was made to those who keep saying excluisves are the main selling point of a console then turn around and say but I spent way more money on my PC to play multiplat games. Meanwhile on consoles such as the PS4 we have over 7.5 million who bought Fallout 4.

TFJWM397d ago

Didn't he say pretty much the same thing around the Xbox s launch and nothing came of it...

S2Killinit397d ago (Edited 397d ago )

they've said this before. In fact, its not the first time they make subjective, definitive statements that don't end up being true.

+ Show (10) more repliesLast reply 397d ago
398d ago Replies(18)
NoPeace_Walker398d ago (Edited 398d ago )

I see nothing wrong with a streaming service if it gets more revenue to help fund for more games for Xbox gamers, I am all for it. Similiar to PS Now, it creates more revenue for Sony but have little actual affect on their hardware business.

Septic398d ago

Fair point about similarities to PS Now. Lets hope this service isn't totally shit though

397d ago
rainslacker397d ago

Personally, I don't care if it exists. It's an option. I don't care for what PSNow offers in terms of value, which is why I don't use it. I tried the free trial, and it ran fine for me, so it's not an issue with the quality of service.

I think it serves a different market than what most of us partake in, and as such, it's a non-issue for me, and I'd imagine many others. But for those that find value in it, more power to them. It doesn't take away from what I want, and gives others something they may want.

Puertorock77396d ago

PSNOW is a failure. Complete waste of time. Notice that is the one metric Sony doesn't talk about. Sony mentions hardware sales, they mention PSVR sales, they mention games sales, they mention active userbase numbers, they mention PSN+ subscriptions. But for some reason PSNOW subscriber numbers are unknown. They don't mention how many people are subscribe to PSNOW, they don't mention how much revenue comes from PSNOW, they don't mentions how it's growing year over year. They mention nothing substantial compared to their other products and services.

Play PlayStation games over a streaming service is the least preferred and frankly something the majority does not care for at all.

+ Show (1) more replyLast reply 396d ago
Jinger398d ago

I'd say more like a service like PSNow where hardware won't really matter. You'll just stream it to whatever with the azure servers.

gangsta_red398d ago (Edited 398d ago )

Maybe now that Phil directly reports to the head of MS and is in a better position of power we may actually see this come true.

But yes, this was all said before in one form or another. Time once again will tell.

"RIP Xbox?"

Doubt it, all services are going this route. We have already seen the foundation for PSNow being laid and Game pass for MS.

Again, this goes along the same lines as these companies trying to get their dau's up and more active.

Hardware will still be provided but not the primary focus on how success is judged.

zerocarnage397d ago

No not rip Xbox just another console designed to link up with the rest of there machines if they do, it's obvious in that area that they're trying to get as many different types of devices into as many hands as possible. It's a strategy that will just dominate eventually.

Sm00thNinja397d ago

PS Now is a game streaming service that exist alongside the PS4??

HyperMouse397d ago

Maybe in countries with good internet, i wouldnt even try it here in Aus

kenna999397d ago

With what Albert penello said and now this I honestly see the X as being there last console and ps5 or a pro upgrade being sonys last. Oh my God what are we all going to argue about then?

HeisenbergX397d ago

Hahahah you actually believe him that’s so cute 😂😂😂 Phil Spinster at his finest

TheVetOfGaming397d ago

He's said this before. I think Xbox would be better off without Phil. Sure, he's a gamer at heart, but I don't think he is doing the Xbox brand any good. He's had years to do anything other than cancel games, talk the talk etc. There is little to no substance when it comes to him actually delivering on what he promises.

DiRtY397d ago

Just like PSNow killed PS4...

There might be a streaming service some day, but it won't replace consoles.

S2Killinit397d ago

Not RIP xbox, RIP console gaming.

joab777397d ago

Interesting. Sony has already invested millions in this tech. It may pay off eventually, but it’s about pricing and availability of software. I’d gladly ditch a box and sub if I could get the newest games whenever I wanted for a certain price. Many will prefer the collectible nature of video games.

I actually love the subsidized model. Let us get the newest console every couple years for a reasonable price and I’ll pay $8/month. Like a mobile phone. These are becoming like your mobile on your TV anyway.

_-EDMIX-_397d ago

I don't understand? When many of us were literally telling you this is what Microsoft should do you were arguing against almost every person on this site suddenly you're now coming to the Epiphany that this is what they need to do?

Lol

Ok

So what you're telling me is you're only going to admit something is wrong when Microsoft is now saying they're going to do what everybody has been telling them to do for several years now?

This is not only what Microsoft should do this is literally what they should have been doing before this generation even started in the first place.

That is exactly why Sony is selling more systems because they planned this generation years before PlayStation 4 was ever even announced because games don't just get made in a day they take years to make, which actually means what you're seeing with PlayStation 4 right now simply plan several years ago look at the new Sucker Punch intellectual property that you just think that was just dreamed up in a day? Look at Horizon zero Dawn did you seriously just think that was created when PlayStation 4 first came out? That game was in development years before anyone even knew PlayStation 4 was a thing.

Septic397d ago (Edited 397d ago )

Oh God Mr. TLDR is back.

I have ALWAYS said MS should be investing in first party studios. I even wrote articles etc on it. Why are you making up bullshit that I was arguing against you people saying this?

You'd think that with your time off, you would collect your thoughts and make an informed post upon your return and instead you come out with this crap.

_-EDMIX-_397d ago

@sep- that's nice

Multiple users on this site for a long time I've been very clear about what Microsoft problem was you seem to be one of the few people on here that was literally combative against everyone that was criticizing this company's lack of first-party endeavors

The rest of your emotional response is irrelevant to the point. 😂😂😂

gangsta_red397d ago

@edmix

Your argurments might hold a little bit more weight if you actually provided proof of your ramblings.

Septic on many occasions has criticized MS for their lack of first party games and even praised Sony for their output. Many of us who aren't blind and follow a herd have noticed this.

Welcome back by the way...maybe Venomrising can get that proof, agree with you and post it here. Emojii, emojii, emojii.

_-EDMIX-_397d ago

@GRed- we stopped reading your post a long time ago...

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Zeref397d ago (Edited 397d ago )

"RIP Xbox?"

Nope, they were rumored to be working on such a device for a long time.
Imagine a $100 Apple TV/ Roku type device that can stream any xbox game, That would boost sales significantly.
The difference between this and PS Now would be that it actually gets new games too.

I hope it comes out sooner rather than later.

Zeref397d ago

Also it probably wouldn't be able to stream games at 4K 60fps.

So Xbox is going nowhere.

Bobafret397d ago

I truly wish Spencer could just say something that can't be interpreted several different ways for once.

397d ago
SierraGuy397d ago (Edited 397d ago )

Stop talking about it and just f#cking do it. Actions speak louder than words.

Zabatsu397d ago

Why "wow"? I don't really get why this is surprising news to you. It's either that or get of the market.

C-H-E-F397d ago

dude that is the same exactly thing as PS NOW, but now this is interesting for xbox? BOY IF YOU DON'T GET YAH ISSA GOOD IDEA HAVING SELF UP OUTTA HERE.

iofhua397d ago

Microsoft did do this ages ago. Games owned by Microsoft:

Age of Empires
Rise of Nations
Freelancer
Black and White
Conker
Perfect Dark

When was the last time you saw any of those?

IP's go to Microsoft to die slow, painful deaths.

That they're suddenly interested in making games again is a joke. Given their history, I don't expect it to last long. In a year or two their interests will shift again, and all their IP's will be laid down to die again.

joeorc397d ago

Again, that's not the end of Xbox, what Microsoft is doing is making what Sony is already doing as well as is Nintendo..all three are doing this, anyone who is not buying one of the game console systems, all three companies are making use of the existing technology that is networked linked to as long as it has the system requirements to handle the stream is so as to be able to monetize others system hardware as a node into an eco system. The Eco systems are cloud based combined with offline as well.

It's just further expansion of each company to make uses of the existing network structure of other devices like smartphone, tablets streaming compute boxes and of course PC's and multiple operating systems that may not be a Xbox or a playstation or a Nintendo console but can have some games that are released as a means to advertise more console gaming of the companies existing game console.

UnHoly_One397d ago

NO!!! No game streaming, that is never going to reach a point where it is as good as a device that is actually in your home.

It's a pipe dream.

trooper_397d ago (Edited 397d ago )

They need to stop talking and start showing. As of now, nothing screams 'I need an XBox' to me.

dcbronco397d ago

You mean like they did with Scalebound, Crackdown and Fable. Announced them years before they were ready and then cancelled two of them. Naw, I like when things are announced the year they launch. Except for consoles, those you announce 18 months early.

SpaceRanger396d ago

No one shouldn’t take this seriously until there’s something to show. This is just more hot air from his recent promotion.

https://www.polygon.com/201...

And their new future direction proves a point most of us made a lot time ago. MS is a software company, and them working toward that only makes sense. First party games on other consoles in the future? It’s already happening now with their transition to PC.

MegamanXXX395d ago

4 years later, they finally admit they need to start making more exclusive games?

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NoPeace_Walker398d ago (Edited 398d ago )

"That renewed focus on games made in-house will come through either buying or creating new development studios, according to Spencer."

Great news! Phil Spencer is da man. Now even more games will be available on my XB1X.

AngelicIceDiamond398d ago

I suggest Phil buying Crytek. New Ryse sequel, Crysis 4 or a brand new Ip from them.

andrewsquall397d ago (Edited 397d ago )

Lol nobody wants that unoptimised awkward game engine or we would have had loads of games on it this gen.

@NoPeace_Walker And PC.

Ittoittosai397d ago

Yeah that way when their games dont preform they get closed and we lose cryengine improvements and a talented dev.

Nodoze397d ago

Please don't it will be the last we see of them....

Zeref397d ago (Edited 397d ago )

I bet CryEngine could see a big boost if MS bought them, Microsoft have proven over and over again that they are Mad Scientists when it comes to Software, A game engine with them in charge would be insane, Crytek is no slouch either they just don't have the manpower or budget to continue improving CryEngine. As for Ryse and Crysis, I think any decent dev can make these games better than Crytek did. These games are games that have great potential but they have no soul or whatsoever. They're basically glorified tech demos.

ImGumbyDammit397d ago (Edited 397d ago )

@Nodoze You are seeing the last of them. Not paying your employees for months and closing several studios just means Crytek has been a dead man walking for quite some time. They know it but, put on a face that seems to be arrogant or foolish. They think they have leverage to negotiate terms when a lot of their talent has moved on to other companies. Crytek is shell of what it once was. Which to be truthful Crytek wasn't as great as we all think it once was - rose-colored glasses and all. What made there engine great at one time has long been usurped by several others including the crytek based engine from Amazon, Lumberyard.

BeOpenMinded397d ago

I like games made with cryengine. They are distinctively pretty

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-Foxtrot398d ago

Oh come on...really? He could say Microsoft are buying the moon and you'd believe him

How many times have they talked about investing in first party studios and the like.

Zeref397d ago

Well first of all Phil wasn't in charge when they said that thing about the 1 billion dollars.

Second of all... No I think that's it.

Phil has kept his word all this time. Don't see why he would disappoint now. He actually already said this when he became head, First he would focus on the platform(Xbox Live/Xbox OS) and the Hardware (Xbox One S/ X)and after that he will shift focus to games. So far he got the first 2 so I see no reason to distrust him. This just confirms that he's working on the last piece of the puzzle.

ImGumbyDammit397d ago (Edited 397d ago )

Well unlike times before Xbox is not under anybody else's control. No longer are others whose motives don't always align with Xbox and easily can change even if was he once was promised X but suddenly find X not an option. It is all Spencer now in his new role as VP. He decides what those Xs are now. Spencer has only one person to report to now, Nadella the CEO. There is no VP or other department heads above him which would decide on multiple levels what to do. Before he had to check with likes of Myerson and others close to him as Xbox gaming was under the Windows group or negotiate with other departments heads for hardware, etc.. And they had to carve out of their budgets the money which meant they didn't necessarily prioritize Xbox ecosystem moves over Windows proper or Office or many other areas they were responsible as part of that division.

As I mentioned above that life draining bureaucracy has been greatly reduced as he is now directly reporting to Nadella and has a clear budget that is not as influenced by others changing whims. Nadella has probably given the initial OK for expanding such purchases and how much he is willing to give him to do get it started from that all important $160 billion they have in the bank. Nadella likes gaming, he sees it as a positive influx of cash with high rewards and it helps advance Azure on many levels.

_-EDMIX-_397d ago

You're correct

this would not be the first time that Microsoft has had some huge promise of something changing only for us to wait years for nothing to happen.

Remember their Infamous promise of all these "exclusives" at E3?

TrollityTroll397d ago (Edited 397d ago )

Strange thing is all I've been hearing for over a year is that exclusives don't matter as multiplats sell the most and the more people who get to play the better the profits ... yet now we have those same people celebrating the opportunity to have more exclusives.
Phill must have the best job in the world. He can say the next xb experience will be sending gamers to play on the sun and the media and his fans will go beserk celebrating.

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Cyro397d ago

Really? It's the same song and dance. Let's actually see something done.

_-EDMIX-_397d ago

Absolutely

I think it's great that Microsoft is saying that they plan to do this but at the end of the day Microsoft has been singing this stupid lie for years now so I'll celebrate when I start seeing some new SERIES show up.

I will be surprised if in the next several years we simply get another batch of Forza Halo gears combo over and over....

Seraphim397d ago

they've been saying and doing this for years. Then they just end up closing the studios they acquire. Perhaps now they understand that there needs to be a long term commitment to in house development. However until I see it blossom and sustain I'll remain skeptical.

397d ago
kneon397d ago

It's a little late to help them for this generation. And unless they give their studios more creative freedom then they will still struggle.

trooper_397d ago

He needs to stop talking and start delivering.

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christocolus398d ago (Edited 398d ago )

Finally. Should have done this ages ago or maybe his promotion to MS senior leadership team is already paying off. Also Zughex just confirmed that MS actually tried acquiring Bluehole but the deal fell through, he claims their relationship is still very good though and the idea of an acquisition could be brought up again later.

butchertroll398d ago (Edited 398d ago )

Quote :

maybe his promotion to MS senior leadership team is already paying off.

.....

Paying off? Dude, he didn't do anything . He said the same thing 4 years ago :

"Microsoft has $1 billion to invest in exclusive Xbox One titles"

https://www.polygon.com/201...

It just talk, talk, talk, talk, talk, talk, talk, talk, talk.

You should stop blindly believing in everything what Phil says and open that Xbone eyes for once.

sammarshall102398d ago

That was just based on exclusive games and games are expensive my friend