Microsoft pivots to Xbox Everywhere strategy
The speakers argued that Microsoft has effectively abandoned the traditional console race, pivoting instead to a device-agnostic cloud ecosystem to monetize its Activision Blizzard acquisition.
The argument
Despite spending historic sums on IP like Call of Duty and World of Warcraft, Microsoft failed to drive Xbox console sales or Game Pass subscriptions as system sellers. The new strategy focuses on streaming Game Pass across various devices and cloud infrastructure, though the speakers express low conviction in Microsoft's execution so far.
The thesis, stress-tested
✓ What validates it
- ✓Game Pass subscriber growth accelerating on non-console devices
- ✓Successful launch and adoption of the rumored 'Project Helix' hybrid hardware
▸ Risks discussed
- ▸Poor execution on integrating Activision Blizzard IP
- ▸Failure of cloud gaming infrastructure to gain mass adoption
Hear it yourself
"listening to TIP. Microsoft is, without a doubt, still one of the highest moat businesses in the world. But I would still say that it's in a very critical transition phase that it has to nail now. You're not used to seeing the market doubt Microsoft the way it currently is."
00:00
AFFILIATE LINK · ZORTIX MAY EARN A COMMISSION · NEVER A RECOMMENDATION TO TRADE