No one is suggesting that Microsoft should stop making video game hardware. What we've been considering, here in the dark and twisted Engadget Slack channels, is whether Microsoft should continue making generationally distinct consoles in the traditional hardware cycle. Basically, does Xbox need a box? Microsoft has been busy building the foundation for a platform-agnostic, cloud-based future for gaming, consistently falling behind both Sony and Nintendo in the console race. So why are executives trying to get us excited about a super-powered 10th-gen Xbox?
Microsoft is perhaps hesitant to reveal a drastic change in the ecosystem after the chaos around Xbox One and its always-on DRM features in 2013. After an avalanche of negative comments at the idea of a persistently online console, Xbox had to reverse quickly your launch plans. , while Sony took the PlayStation 4 to an early victory lap. This mistake set the stage for the next decade of console sales, and it's a lesson that would stick with any studio, especially one that's trying to make streaming and cloud gaming the norm.
That's understandable, but it doesn't change the fact that accessible, affordable (and probably portable) hardware makes a lot of sense for Microsoft's current vision and investments. More than an expensive console, at least.
This week's stories
A delicious Elden Ring entrance
Elden RingThe Shadow of the Erdtree expansion will arrive on PlayStation, Xbox and PC on June 21. This one has been a long time coming: FromSoftware announced the DLC in February 2023, leaving players plenty of time to get super psyched for more masochism. A new, three minute trailer Shadow of the Erdtree features sprawling locations and epic bosses inspired by chaotic combinations of animals, insects, and elements. The expansion costs $40 and pre-orders are now available.
Cate Blanchett's Borderlands
I'm going to come out and say it: I think Cate Blanchett is a great Lilith. He first trailer For this summer borderlands movie is outside and it seems Mad Max Satisfies Guardians of the Galaxy – which is Borderlands in a nutshell anyway. The film stars Blanchett, Jamie Lee Curtis, Kevin Hart, Jack Black and Ariana Greenblatt, is directed by Eli Roth and hits theaters on August 9.
Xbox should get out of the console business
Last Thursday, Xbox executives made it clear that they were not willing to abandon the traditional hardware market and teased a next-generation console that will represent “the biggest technical leap you've ever seen.” That's great, but considering Microsoft's position in the industry, it doesn't seem like Xbox needs to keep making consoles.
After acquiring half the industry, Microsoft is now a mega game publisher, with more than 30 internal studios. Many of these development teams are world-renowned and have a rich cross-platform history. It is also the operator of one of the world's largest gaming subscription services, Game Pass.
Game Pass grew tremendously during the pandemic, but subscriptions stagnated. In court documents As of April 2022, Microsoft revealed that it had 21.9 million Game Pass subscribers and 11.7 million Xbox Live Gold members across all of its consoles, for a total user base of 33.6 million. Last week, Microsoft revealed that Game Pass has 34 million subscribers, which includes PC Game Pass and Game Pass Core, the new name for Xbox Live Gold. Even assuming PC Game Pass had no subscribers in 2022, this means that Game Pass subscriptions grew just 1 percent over the past 22 months. The most likely scenario is that the total number of subscriptions has actually decreased during this period, although it is at least possible that more people are paying for the full-price service than before.
Microsoft's plan for this generation of consoles was clear to everyone: sell hardware and increase sales of a subscription service with its own games. It turns out that it's hard to sell Game Pass to someone who doesn't have an Xbox, and there aren't enough people buying Xboxes. Microsoft stopped reporting hardware numbers during the Xbox One era, but analysts put combined sales of Xbox series consoles at around 25 million. Meanwhile, Sony has sold more than 50 million PS5s and Nintendo has sold around 140 million Switches. This gap seems to grow every day and is much more pronounced in Japan and Europe than in the United States. If Microsoft wants to grow Game Pass, it looks like it will have to be on platforms outside of Xbox.
This week, Xbox confirmed its plans to bring four previously exclusive games to PlayStation and Nintendo consoles, and for years executives have been touting an ecosystem where Xbox (and Game Pass) can be played on any device that has a screen. Microsoft has a powerful cloud network that even Sony uses for game streaming, it also has more than 30 studios. In the long term, Microsoft is positioning Xbox to be a platform-agnostic software publishing powerhouse with the industry's most stable streaming network behind it.
In this scenario, it is surprising to hear Xbox talk about building a hyper-powerful console for the next generation. I'm not advocating that Microsoft abandon the hardware market; It makes sense for the company to focus on affordable handheld devices and streaming boxes that support Game Pass and cloud gaming. Xbox is working toward a future where its games and Game Pass are available everywhere, which raises a clear question about its current plans: why bring an expensive next-gen console into a war that's really about software, subscriptions and streaming?
Extra content
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Sony President Hiroki Totoki told investors last week that the company would be more aggressive in bringing its PlayStation titles to PC.
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Xbox has confirmed which of its games will come to other consoles: Grounded and Repentance will arrive on PlayStation and Switch, while sea of thieves and Hifi fever It will only come to PS5. Both sea of thieves and Grounded will support cross-play on all platforms.
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Now, for a totally different port: The Pokémon Company has scheduled an anniversary broadcast for next Tuesday at 9 a.m. ET. It may be a little early for a Gen 10 reveal, but a new Switch version of Black White It seems like a safe bet.
playing now
If you are a Switch or PlayStation player and are curious to know all these Xbox games that are coming to your consoles, I have an easy and clear recommendation: play. Repentance. Obsidian's narrative-driven, tapestry-like game is a surprise and delight, and I've had a lot of fun playing it on Game Pass recently. It's available now on PS4, PS5, and Switch, and I'm sure it's just as good on those platforms.
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