Is anyone who's been watching Microsoft evolve their business strategy, both in gaming and other markets, since Satya Nadella became CEO, surprised?
I've said in a post a while back that I don't think Microsoft care about how many consoles they sell anymore. They'll continue developing hardware, of course, but I think they see it as merely another option for consumers to get into the real meat of the Xbox business: the Xbox platform itself, which between streaming, their return to PC both through Windows Store and more recently Steam, and their Game Pass, is becoming an increasingly hardware-independent gaming platform.
In the context of this, their rumoured hook-up with Nintendo makes all the sense in the world. Heck, with their partnership with Sony on cloud gaming, I would not be surprised one bit if Xbox Cloud and Game Pass ends up on Playstation as well.
I think people here still think a bit analogue; hardware sales, piece of the pie, own everything in it. And it's true, Microsoft of the Gates and Ballmer eras thought like that too. But Satya Nadella, as he demonstrated in his non-gaming businesses, does not. He thinks "presence;" he does not care how big a piece of the market Microsoft owns, so long as they have a presence in it. This was the logic behind things like open-sourcing .Net, scrapping Windows Phone and porting all their apps to iOS and Android, and porting Bash to Windows 10. And as their recent commercial fortunes show, it has worked out for them nicely.
Now, we are seeing the "Presence" strategy seeping into the gaming side of their business. We are seeing Spencer's interpretation of his boss's ideas. Xbox no longer care what hardware you play their games on, so long as you play their games.
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