Microsoft Gaming Division Falls Short (Nadella considered closing X-Box in 2021, gamers don't want gamepass)

[Grand Conde]

In 2021, Microsoft CEO Satya Nadella faced a choice involving the company's Xbox and cloud gaming business. The company could either acquire major game studios to drive more subscriptions to its nascent Game Pass subscription service. Or it could wind down its games business entirely, Nadella told two people at the time.

Nadella took the first path, acquiring Elder Scrolls maker Bethesda Studios for $7 billion in 2021 and Call of Duty maker Activision Blizzard for $75.4 billion in the fall of 2023.

several leading game studios have resisted Microsoft's pitch that they should put their titles on Game Pass in exchange for fees that Microsoft offers to pay to the gaming studios, according to people familiar with the discussions.

"I just think the majority of the game market doesn't really want a game pass" like the one Microsoft is offering, said Gus Zinn, a portfolio manager of the Macquarie Science and Technology Fund

Microsoft also hoped the Activision deal would attract game developers to rent its Azure cloud servers. But Activision wasn't using Azure prior to the deal, and it still rents servers from Google Cloud and Amazon Web Services while primarily relying on its own servers for development, according to someone with direct knowledge of the situation and another person briefed on it.

Before completing the Activision acquisition, Microsoft targeted having over 100 million Game Pass subscribers by 2030, meaning it would have to triple its current subscriber base in five years—or grow at a rate of 40% annually, which would be faster than its rate of growth every year since 2020.

https://www.theinformation.com/articles/microsofts-gaming-business-falls-short-despite-activision

 

[levitate]

Shoulda stayed in Spreadsheets & Beverage.

 

[Diondon]

Why Streaming Subscription Prices Will Continue to Rise

You are a user—so get ready to be used

www.honest-broker.com

Even Netflix puts some of their movies on a theatrical run

 

[gurf]

 

[The Mad Titan]

The information dot com y'all!

 

[MeachTheMonster]

Sony stans

 

[Grand Conde]

The information dot com y'all!

You've never heard of The Information? No interest in tech breh?

The Information (website) - Wikipedia

en.wikipedia.org

They leaked the Apple e-car situation a few years back.

 

[ALonelyDad]

100 mil was a crazy wish lol

 

[Rekkapryde]

100 mil was a crazy wish lol

And Phil somehow sold Nutella on that shyt