By The days of Xbox and PlayStation being at each other’s throats appear to be a thing of the past, as Microsoft Gaming CEO Phil Spencer is done with trying to persuade Nintendo Switch and PS5 owners to switch to Xbox Series X|S.
Microsoft (which oversees developers under the Xbox Game Studios, Bethesda, and Activision Blizzard brands) has been porting more titles to competing consoles in recent years. Surprise successes, like Grounded, and major hits, such as Sea of Thieves, have made their way to different platforms with Forza Horizon 5 and Indiana Jones and the Great Circle next up—and the division’s head has shared insights into the strategy.
Spencer noted that “one of the reasons why investing in our own platform is crucial” is that when Microsoft sells a game on another platform, it only retains 70% of the revenue, compared to 100% when the same game is sold on Xbox, as discussed in an interview with Xbox Era. However, he also expressed his desire to “connect with fans of our franchises” who may not switch to Xbox, regardless of the circumstances.
“I’m not trying to transition them all to Xbox anymore,” Spencer stated. “People are deeply invested in where our games are available. Let’s just allow more individuals to play, and yes, the 70% we earn on games in other platforms supports us in building robust portfolios… And I realize that this isn’t the approach everyone else is taking, but I firmly believe that games should be at the forefront. Perhaps it’s due to my background in this industry. I came from creating games. I believe these games are what I see growing stronger in what we’re pursuing, and it’s possible because more people can engage.”
Looking ahead, as evidenced in the latest Xbox Developer Direct, the company won’t be concealing PS5 and Nintendo Switch logos in its game presentations as it once did. “I think it’s simply about being honest and transparent regarding where the games appear… people should know the platforms where they can acquire our games.”
Needless to say, the executive reaffirmed his commitment to bolstering the firm’s own hardware and systems. Previously, he has even indicated that a future Xbox console is on the horizon, likely dispelling rumors that Xbox was considering a Sega route and would exclusively opt out of the competition. There have also been talks about a next-gen Xbox handheld for quite some time.