Since MS is embracing PC and multiplat, will this hurt its console business?

Avatar image for SolidGame_basic
#1 Posted by SolidGame_basic (24039 posts) -

MS has pretty much removed any incentive for me to buy a next generation Xbox. I can play all of their worthwhile first party games on PC, and will have the same treatment as console users. I would rather spend my next gen console money towards a PS5 or the next Switch iteration. Anyone else feel the same way? Do you think this will hurt MS's console business?

Avatar image for son-goku7523
#2 Edited by Son-Goku7523 (598 posts) -

Look at the XB1 now. Do you feel any need to own one now considering all its games are on PC or about to be streamed everywhere?

There's your answer. If people don't feel compelled to own an XB1 now this late in its life when its supposed to be swimming in games and affordable, it's hard to believe lots of people will be itching to own one next gen at launch when games are traditionally scarce and prices are high. MS is making it easier for a lot of gamers to go without the next Xbox console. They may be doing this intentionally but whatever their plans are they aren't helping their console division by putting all their best games on PC and mobile streaming.

Avatar image for i_p_daily
#3 Posted by I_P_Daily (11423 posts) -

@SolidGame_basic: You're getting to Benjibanklin obsessed levels when it comes to Xbox, its not healthy and you should go see someone for that.

Avatar image for freedomfreak
#4 Posted by freedomfreak (51141 posts) -

No idea, but I'll still be buying xbox consoles.

Avatar image for Pedro
#5 Posted by Pedro (33951 posts) -

Nope. Typical console gamer is NOT a PC gamer. Only fools believe otherwise. :)

Avatar image for robert_sparkes
#6 Posted by robert_sparkes (2927 posts) -

It will to a certain extent but as been said your average console gamer is not your pc gamer.

Avatar image for vaidream45
#7 Posted by Vaidream45 (1850 posts) -

@SolidGame_basic: probably will hurt overall xbox sales as far as hardware is concerned but Microsoft will make more money by offering their services on multiple platforms. I think it’s a smart move and as a non xbox user I am interested to use their software on either the Switch or PC down the line.

Avatar image for madrocketeer
#9 Edited by madrocketeer (6234 posts) -

I feel like this is simply the Xbox division's spin on Satya Nadella's overall "Presence" strategy. Before Nadella, Microsoft was all about the "Ecosystem" strategy; they were driven to carve a piece of a market to create an ecosystem which they owned outright. This was the original thinking behind Windows Phone, for example.

Nadella's Microsoft, in contrast, no longer cares if it owns an ecosystem; only that it has a presence in it. This is the thinking behind open-sourcing .Net, porting Unix Bash to Windows, and shutting down Windows Phone to port all their apps to iOS and Android.

I believe we are seeing Xbox adopt the same mindset. It should be noted that Microsoft have never released official numbers on how many Xbox Ones were sold. Many assumed it's because they're embarrassed, but I now think they simply no longer care. They care more about having a presence in the overall gaming market, and selling more software and Game Pass subscriptions. Under this mindset, the rumoured team-up with Nintendo makes perfect sense.

And when you consider that Nadella's "Presence" strategy has allowed Microsoft as a whole to make a killing with their Azure and Office 365 businesses, can you blame them for trying to emulate that success?

Avatar image for BenjaminBanklin
#10 Posted by BenjaminBanklin (4350 posts) -
@i_p_daily said:

@SolidGame_basic: You're getting to Benjibanklin obsessed levels when it comes to Xbox, its not healthy and you should go see someone for that.

More like Lems are obsessed with me. Like I'm somehow the one fucking things up for Xbox. LOL! Don't lose sleep because people call things like they see 'em.

Avatar image for djoffer
#11 Posted by djoffer (1220 posts) -

Ahh yeah now everyone have a high pc, funny how you cows are flip flopping between Boone can afford a 5000$ pc and everyone can play the Xbox games on pc:)

Anyway no idea, as a pc gamer I like the fact that they comes to pc aswell

Avatar image for floppydics
#12 Posted by floppydics (84 posts) -

Well xbox is certainly the best place to play multiplats and ms exclusives on a console right now this gen. Who knows next gen will have to see whether ps or xbox will have moar powah eh.

Avatar image for son-goku7523
#13 Posted by Son-Goku7523 (598 posts) -
@djoffer said:

Ahh yeah now everyone have a high pc, funny how you cows are flip flopping between Boone can afford a 5000$ pc and everyone can play the Xbox games on pc:)

Anyway no idea, as a pc gamer I like the fact that they comes to pc aswell

LOL @ the notion that you need a $5000 PC to play XB1 games. In case you haven't noticed the XB1 is a potato, even low end gaming PCs run rings around it.

Avatar image for ni6htmare01
#14 Posted by ni6htmare01 (3758 posts) -

Yes, because I will not buy one even when the new studios coming out with games that I might want to play.

Avatar image for Litchie
#15 Posted by Litchie (23712 posts) -

I don't think so, no. I believe very few people bought an Xbox console only because they couldn't play its' games on a PC. Most Xbox owners would probably have bought an Xbox anyway. For the company as a whole, I think what they're currently doing will make them more money.

I googled a bit and found something about Xbox hardware sales dropping and software sales growing and that Microsoft gets most of their money from their subscription services. I believe even though their hardware sales have dropped, releasing Xbox hardware is still profitable for them and they'll still want to offer a console to make it easier for people to use their services.

So I don't see any reason why Microsoft's console business would be hurt by this.

Avatar image for SecretPolice
#16 Posted by SecretPolice (35093 posts) -

It's a fact everyone, especially cows and sheep have a top tier gaming PC so no need for Xbox anymore. Well, that's what I Herd on SW all the time. lol

Anyhooie, MS/Xbox firing on all cylinders especially when next gen starts. Phony and Nintendont are doomed. :P

Avatar image for daniel_su123
#17 Edited by Daniel_Su123 (1043 posts) -

@madrocketeer said:

I feel like this is simply the Xbox division's spin on Satya Nadella's overall "Presence" strategy. Before Nadella, Microsoft was all about the "Ecosystem" strategy; they were driven to carve a piece of a market to create an ecosystem which they owned outright. This was the original thinking behind Windows Phone, for example.

Nadella's Microsoft, in contrast, no longer cares if it owns an ecosystem; only that it has a presence in it. This is the thinking behind open-sourcing .Net, porting Unix Bash to Windows, and shutting down Windows Phone to port all their apps to iOS and Android.

I believe we are seeing Xbox adopt the same mindset. It should be noted that Microsoft have never released official numbers on how many Xbox Ones were sold. Many assumed it's because they're embarrassed, but I now think they simply no longer care. They care more about having a presence in the overall gaming market, and selling more software and Game Pass subscriptions. Under this mindset, the rumoured team-up with Nintendo makes perfect sense.

And when you consider that Nadella's "Presence" strategy has allowed Microsoft as a whole to make a killing with their Azure and Office 365 businesses, can you blame them for trying to emulate that success?

I agree with you. While I wouldn't say they don't care about consoles, (they will create consoles because it extends their ecosystem and also a market for consoles), I would say that they no longer see consoles are the sole focus of the Xbox business. Google is going through the same mindset of having hardware and streaming services.

Consoles are becoming less important for companies these days. Even Sony themselves admitted it with their 'post-console' future.

Avatar image for xantufrog
#18 Edited by xantufrog (11168 posts) -

I don't think it matters.

Their strategy is to grow software sales and GAS subscriptions.

They don't care if this happens on Win10 or a console. The profits on consoles are notoriously close to nil. The money is in software and peripherals as I understand it.

And by merging the two player bases more and more it has less and less impact on the gamer too.

Avatar image for KungfuKitten
#19 Edited by KungfuKitten (26419 posts) -

How do you think the net amount of money they make with Xbox Live Gold compares to their gaming hardware profits?

Avatar image for pyro1245
#20 Posted by pyro1245 (4923 posts) -

Selling hardware? Probably not. I have a feeling that most people who buy Xbox hardware will have anyway.

The hardware is not a high profit margin product. It is but a vessel.

MS knows you have 6 computers at home. If they can sell you software for it that's a win.

Avatar image for knight-k
#21 Posted by knight-k (2600 posts) -

Of course, they abandoned their Xbox consoles with this move, so funny seeing lemmings trying to damage control this.

Avatar image for fedor
#22 Posted by Fedor (4619 posts) -

MS is 3rd party now.

Avatar image for Archangel3371
#23 Posted by Archangel3371 (27580 posts) -

I don’t know but for me I prefer consoles so stuff like this doesn’t change my mind at all, I’ll still be purchasing the Microsoft consoles.

Avatar image for poptart
#24 Posted by poptart (7254 posts) -

Yes of course, as the xbox is no longer a consideration for gamers looking for something to compliment their gaming PC, however you can't take the console in isolation as the business model now stretches further than that. That aside, I don't have a PC, so I may well end up buying the next gen xbox as will many others will no doubt.

Avatar image for R4gn4r0k
#25 Posted by R4gn4r0k (30720 posts) -

The more MS focusses on games, the better.

Reason why Xbone sold less than Xbox 360 is because MS was focussing on way too much shit gamers don't give a **** about:

Kinect, movies, TV, ... all that crap. People don't buy a gaming console, only for the console to focus on other things than games.

Avatar image for davillain-
#26 Posted by DaVillain- (36052 posts) -

@fedor said:

MS is 3rd party now.

A 3rd party who secretly makes console that is if we can call it that.

On topic. I don't think it'll hurt MS next-gen Xbox Scarlet to say the least, not everyone wants to be gaming on PC for whatever reasons, Xbox will still have a place in the gaming community but not as heavy as both Sony/Nintendo but will still be relevant despite MS is now embracing releasing their games on PC and eventually Steam platform. It also shows MS new, open philosophy on game distribution. It's almost like they've become a 3rd party publisher that also makes console. In a time where even EA, Blizzard and Epic lock most of their games to their own storefront. It's a big deal now.

I personally think both Sony/Nintendo should do what MS is doing now. Sony and Nintendo enclosing their exclusive behind their console walls and PC gaming continues to grow, MS knows this and it's why they are releasing their games on PC cause it prints more money.

Avatar image for nintendoboy16
#27 Posted by nintendoboy16 (36061 posts) -

@davillain- said:

A 3rd party who secretly makes console that is if we can call it that.

On topic. I don't think it'll hurt MS next-gen Xbox Scarlet to say the least, not everyone wants to be gaming on PC for whatever reasons, Xbox will still have a place in the gaming community but not as heavy as both Sony/Nintendo but will still be relevant despite MS is now embracing releasing their games on PC and eventually Steam platform. It also shows MS new, open philosophy on game distribution. It's almost like they've become a 3rd party publisher that also makes console. In a time where even EA, Blizzard and Epic lock most of their games to their own storefront. It's a big deal now.

I personally think both Sony/Nintendo should do what MS is doing now. Sony and Nintendo enclosing their exclusive behind their console walls and PC gaming continues to grow, MS knows this and it's why they are releasing their games on PC cause it prints more money.

I've said it many times, and I'll say it again: That will be the END of Nintendo, and it will be a sign of history not being learned.

Avatar image for davillain-
#28 Posted by DaVillain- (36052 posts) -

@R4gn4r0k said:

The more MS focusses on games, the better.

Reason why Xbone sold less than Xbox 360 is because MS was focussing on way too much shit gamers don't give a **** about:

Kinect, movies, TV, ... all that crap. People don't buy a gaming console, only for the console to focus on other things than games.

Which is why I went and got myself a PS4 mainly for the exclusive games, MS totally sent out the wrong message with Kinect, TV, and most of all, it was $500 vs $400 and the Xbox One was weak then PS4 was straight up lol.

Let this be a lesson for MS and try not to repeat the same crap again going into next-gen console.

Avatar image for Basinboy
#29 Posted by Basinboy (13846 posts) -

Yes, it will hurt the case for purchasing only an Xbox. And yes, decreasing the exclusive offerings your platform confers will decrease its appeal, particularly in comparison with your competition.

Avatar image for enzyme36
#31 Posted by enzyme36 (4151 posts) -

Selling more games is always good for business. This is like 101 level stuff.

Avatar image for Steppy_76
#32 Posted by Steppy_76 (2690 posts) -

@SolidGame_basic said:

MS has pretty much removed any incentive for me to buy a next generation Xbox. I can play all of their worthwhile first party games on PC, and will have the same treatment as console users. I would rather spend my next gen console money towards a PS5 or the next Switch iteration. Anyone else feel the same way? Do you think this will hurt MS's console business?

In an ideal world MS would prefer you to buy the games on PC vs a console(at least until they can sell the console for a profit). Software subsidizes the hardware usually, especially early in the console generation. The console is merely to get a portion of 3rd party sales. That piece of the pie alone likely will keep them in the console race.

Avatar image for osan0
#33 Posted by osan0 (15379 posts) -

it may hurt the sale of physical hardware but that's not where the money is in the industry. except for maybe nintendo (and even then its iffy. sometimes they sell at break even for a while like with the wiiu at launch) no one makes much money off console hardware alone.

to put it another way if sony just made PS consoles and no games and allowed MS to run live on PS as the online service then the whole PS venture would be utterly pointless for sony. The profit margin on PS is thin....what use is selling 100 million of them?

MS clearly consider xbox live the service to be Xbox. the xbox console is just one way to access that service. thats where the money is. games and services. MS made the mistake of thinking services alone would be enough but they are in the process of correcting that mistake.

next gen i full expect MS to put the xbox service on everything they can. Stream games to TVs, phones, tablets, switch, maybe even old consoles that cant run the latest games (streaming an X2 game to the xbox one S for example). Play games natively on the xbox console, Windows 10 PC and so on. Xbox anywhere, play any way.

at the end of the day MS want those subs. they want that recurring reliable service revenue and they dont care where they get it from.

Avatar image for Sevenizz
#34 Edited by Sevenizz (3622 posts) -

What’s with all the playstation fanboys just assuming everyone owns or even wants to own a gaming PC? I mean, I have one, but it’s obsolete and can barely play WoW.

I’m sure MS would rather you buy their games on PC as the margin’s on console hardware don’t exist. Xbox exists for those of us who don’t want the hassles of PC gaming and believe me - there’s millions of us in this camp.

Avatar image for Nonstop-Madness
#35 Posted by Nonstop-Madness (10049 posts) -

It might but, they're happy as long as people are spending money on their games and services as a whole.

PC gaming is a huge market, and mobile is even bigger so it makes sense for them to extend Xbox to those platforms.

Avatar image for the-a-baum
#36 Posted by The-A-Baum (1330 posts) -

I think this is the last generation of console wars as we knew it. It's going to be all about active users, not console sales going forward. Sony is counting them now too, and actively in the works to bring their first party games to more devices as well. Maybe we will just be which company sold the most of each game head to head, or who's first party reached more people. (This is already happening) But console sales to casuals that only play a few times a year, is old news, and not what really matters.

It is taking these companies 3 years just to start earning a noticeable profit on console sales. They ALL just want you buying into their eco system and buying software and services from them, because that is where the real money is.

Avatar image for aia89
#37 Edited by aia89 (2825 posts) -

No, cause only a small part of revenue comes from hardware sales. Selling services on the other hand is where it is at and if you can get your services to as many platforms as possible, then cash flow will be huge.

Microsoft has simply embraced modern times, while Nintendo and Sony rely on more in-home strategies, even tho this latter is also moving towards Microsoft's idea of bringing services on multiple platforms, especially now with their global effort on PS Now.

We're slowly but steadly stepping into the Netflix era of gaming.

Avatar image for X_CAPCOM_X
#38 Posted by X_CAPCOM_X (8530 posts) -

It will slow down console sales and software for consoles. I think they're calculating it though. All eyes are on PS Now because of the massive revenue it is generating.

Avatar image for Ant_17
#39 Posted by Ant_17 (12138 posts) -

How much more can they suffer? This gen is barely better than the og xbox.

Avatar image for ProtossRushX
#40 Posted by ProtossRushX (5240 posts) -

YEs it will I'm no longer playing my xbox one fat edition and I won't buy the next xbox

Avatar image for lundy86_4
#41 Edited by lundy86_4 (52699 posts) -

The Xbox will simply be another outlet. They'll profit on people who don't want to invest in higher-end hardware, or won't be interested in streaming (assuming they go this route.) I think this gen was a real eye-opener for them, as they stumbled out of the gate and have struggled to bring attention back... That is until services like Play Anywhere. Look at the attention MCC has brought.

Avatar image for valgaav_219
#42 Posted by Valgaav_219 (2314 posts) -

Yes it will but I think it will increase overall revenue at the end of the day since PC is the largest market. It's kind of like their way of trying to recoup their losses and save face after getting their a**es kicked this entire gen lol

Avatar image for BassMan
#43 Edited by BassMan (10035 posts) -

It wouldn't be a bad thing if the Xbox and other traditional consoles died off. All I care about is the games. Being able to play them on PC is great. We don't need all these competing consoles where you have to buy proprietary hardware just to play exclusives. That is such a waste. If Sony and Nintendo brought their exclusives to PC, that would be the ideal situation. There could still be consoles, but they would be small form factor PCs with set specs in different tiers for people that like the simplicity. Of course, people would still be able to make custom builds, but developers would target the specs of those consoles when it came to system requirements.

Avatar image for speedytimsi
#44 Edited by speedytimsi (931 posts) -

@ProtossRushX said:

YEs it will I'm no longer playing my xbox one fat edition and I won't buy the next xbox

I'm one step ahead of you. I sold mine.

But hey if they do release Xbox One SEX edition i'll just have to buy it for the meme and gif

Avatar image for hrt_rulz01
#45 Edited by hrt_rulz01 (18694 posts) -

How many times do we have to have this topic? Seriously.

For the millionth time, MS is giving us options. If you want to play Xbox content on a powerful console (like most people will), then they have you covered (now and in the future - Phil & Co. has said a million times they are heavily committed to consoles going forward). And if you rather play on PC, they got you covered. And eventually, you'll have streaming on other devices.

It's not rocket science. Just because you'd rather play on PC, doesn't mean everyone wants to. MS doesn't care what you play on... as long as you're spending in their ecosystem.

Avatar image for rmpumper
#46 Posted by rmpumper (557 posts) -

Why would it? Xbone does not have all that many exclusives these days anyway, so anyone who would prefer to be gaming on PC already is. This move will only bring more revenue from game sales and will not hurt the console business.

Avatar image for pmanden
#47 Posted by pmanden (589 posts) -

@davillain-: Agreed. I owned the original xbox and the 360, but the reveal of the xbox one was so abysmal that I bought a PS4 instead, and I didn't regret my purchase. But once the xbox one x was released I went straight back to xbox and am now only using the PS4 for exclusives . I will likely buy the next xbox if it focuses properly on gaming, and I don't care if Microsoft's titles are also available on PC. They can be on PS5 for all I care.

Avatar image for davillain-
#48 Posted by DaVillain- (36052 posts) -

@pmanden said:

@davillain-: Agreed. I owned the original xbox and the 360, but the reveal of the xbox one was so abysmal that I bought a PS4 instead, and I didn't regret my purchase. But once the xbox one x was released I went straight back to xbox and am now only using the PS4 for exclusives . I will likely buy the next xbox if it focuses properly on gaming, and I don't care if Microsoft's titles are also available on PC. They can be on PS5 for all I care.

I will say I'm more curious as to what Phil Spencer will do with Xbox Scarlet, he's shown some credibility so far and whatever he does with next-gen Xbox, I'm sure he won't make the same mistake from Don Mattrick.

Avatar image for DragonfireXZ95
#49 Posted by DragonfireXZ95 (25196 posts) -
@R4gn4r0k said:

The more MS focusses on games, the better.

Reason why Xbone sold less than Xbox 360 is because MS was focussing on way too much shit gamers don't give a **** about:

Kinect, movies, TV, ... all that crap. People don't buy a gaming console, only for the console to focus on other things than games.

Yep, they screwed themselves over when they announced that it was going to be a media machine and not a gaming machine.

Of course, console only players that don't want anything to do with computers will stick with the console, but I rather enjoy being able to play MS exclusives(even if they are mediocre) on my PC without having to purchase their crappy hardware.

Avatar image for daniel_su123
#50 Edited by Daniel_Su123 (1043 posts) -

We are in 2019 this isn't 2000. Console hardware is becoming less important by the day. Services is where the money is at.

Sony fans really are stuck in the 2000s. Microsoft, Google, Amazon, Apple etc are competing in a younger demographic. Where they play their games everywhere and their services are more important than consoles.