Xbox is one of the biggest games publishers and console manufacturers in the industry. Having gained ownership of Activision Blizzard after selling 21 million consoles this generation, the company is headed toward a bright future.
While Microsoft has acquired publishers in the past, its latest merger marks an important step to ensure the survival of Xbox as a gaming giant. Addressing this merger, the CEO of Microsoft says it will double down on gaming efforts after this acquisition.
Why it matters: Microsoft is currently behind rivals like PlayStation and Nintendo in terms of console sales. However, its approach is no longer limited to this market, with the gaming giant hoping to reach all areas of the industry.
Speaking to Business Insider, Satya Nadella discussed Microsoft’s future as a gaming publisher after merging with Activision Blizzard.
When asked if the merger was worth spending nearly $70 billion, the CEO asserted that gaming is a crucial market for Microsoft, one where the company has thrived for over two decades.
He then pointed to the future and said:
“We’re looking forward to really doubling down both as a game producer and publisher.”
One major shift for Microsoft moving forward is expected to come from the mobile market. The gaming giant plans to launch its own app store on the platform, using Activision Blizzard IPs to thrive in a new market from the beginning.
As a publisher, Xbox will also make yearly best-sellers like Call of Duty available on other platforms, leveraging the legacy of such IPs. At the same time, its own first-party lineup will be made better through Activision’s in-house studios.
Therefore, Activision will boost all areas of Microsoft’s gaming business, encouraging the company to double down.
We look forward to a future where Microsoft can establish itself as one of the leaders in all segments of the market. Apart from console and mobile gaming, the company is already focused on securing its place as a leading source of PC and cloud gaming.
Following the merger, Xbox Game Pass is also expected to see a significant boom. Microsoft confirms Activision games will probably arrive on the service in 2024, leading to a large influx of new and returning subscribers.
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