Things haven’t been going well for Xbox lately. Microsoft faces stiff resistance in its attempt to acquire Activision Blizzard. It hasn’t released any major exclusive blockbusters in the past year. And it just shed over 10,000 jobs last week, including many experienced developers at Halo infinity Studio 343 Branches. Microsoft Gaming CEO Phil Spencer tried to remain optimistic and do damage control on each of these points and more in a new interview with IGN.
“Every year is critical,” he said. “I don’t find this year more or less critical. I feel good about our dynamic. Of course we’re going through some adjustments right now, which are painful, but I think it’s necessary, but it’s really about preparing ourselves and the teams for long-term success.”
This week captured both the danger and promise Xbox is facing right now. Microsoft announced this on Tuesday a 12 percent drop in net income for the most recent fiscal quarter compared to the prior year. Xbox gaming hardware and software declined by similar percentages, and Microsoft said nothing about how many new subscribers its Game Pass service had added since it surpassed 25 million exactly a year ago.
Then on Wednesday Microsoft offered a sleek and streamlined look at its upcoming games in a Developer Direct live stream copied directly from the Nintendo Playbook. Forza Motorsport has seemingly been quietly pushed into the second half of the year, but looked like a beautiful and impressive showpiece of racing sim. Arcane co-op sandbox vampire shooter redfall has a release date of May 2nd. Real-time strategy spin-off Minecraft Legends will strike in April. And to top things off, Tango Gameworks, makers of The evil withinshadow dropped Hi-Fi Rush to Game Pass, a colorful rhythm action game from Left Field that has already become the first undisputed gaming hit of 2023.
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“2022 wasn’t enough games,” Spencer admitted in his IGN Interview. 2023 should not be to blame redfall and starfieldBethesda’s long-awaited answer to the question “What if Skyrim but space?” But both games were supposed to come out last year. In the meantime, Hi-Fi Rush, like obsidian Buses before that is shaping up to be a critically acclaimed Game Pass release that may still be too small to move the needle on Xbox’s larger fortunes.
Spencer remained vague when asked how successful those games were or how they impacted Game Pass, whose growth has reportedly stalled on console. “I think that creative diversity expands for us when we have different ways that people can pay for the games they play, and the subscription definitely helps with that,” he said.
Hi-Fi Rush, redfall, starfieldand a new one The Elder Scrolls Online Extension due in June are also everything from Bethesdawhich Microsoft acquired in 2021. The older Microsoft first-party game studios have either stayed relatively quiet over the past few years while working on their next big projects, or, in the case of 343 Industries, have recently been hit by a surprising number of layoffs.
Following last week’s news of the cuts, rumors and speculation began to swirl that 343 Industries — which released a well-received Halo Infinite single-player campaign in 2021, but has been ramping up seasonal updates to the multiplayer component in the months since had struggled – was benched . The studio laid out a short statement say about the weekend gloriole was here to stay and that it would develop it further.
Spencer doubled that down in his interview with IGN, but gave little insight into the reasons for the layoffs or plans for the franchise’s future development. “We now want to make sure that the leadership team has the flexibility to create the plan that they need,” he said. “And gloriole will remain vital to what Xbox does, and 343 is vital to the success of gloriole
Where from Halo infinity‘s previously advertised “10 Year Plan”. fits, but remains unclear. “They have some other things, some rumored, some announced, that they will be working on,” Spencer said. And on the future of the series as a whole, he simply said, “I expect we’ll continue to support and grow gloriole as long as the Xbox is a platform to play on.” It’s hard to imagine Nintendo talking about that Mario with a similar-sounding lack of conviction.
It’s possible that Microsoft’s ongoing struggles with some of its internal projects are partly why it’s so focused on looking outside the company for help. Currently, that means trying to take over Activision Blizzard for $69 billion and fighting back an antitrust lawsuit by the Federal Trade Commission in the process. Microsoft originally promised to get the deal call of Duty, Diablo, World of Warcraftand Candy Crush would be completed before the end of summer 2023. That deadline is coming quickly, even as the company continues to offer compromises such as: According to reports, Sony gives the option continue to pay to have Activision’s games on its rival Game Pass subscription service, PS Plus.
said Spencer IGN He remains optimistic about completing the deal, although he claims he knew nothing about the logistics when he started a year ago. “A year ago I knew absolutely nothing about the process of an acquisition like this,” he said. “The fact that I have more insight and knowledge of what it means to work with the various regulators means I’m more confident now than I was a year ago, simply because of the information I have and the discussions we’ve had Have had.”
