If Microsoft Xbox gives up exclusive games, can it still compete with Sony head-on through its subscription system?

Exclusive games are one of the conditions for the success of the console platform. High-quality exclusive games do not guarantee the success of the host platform, but a successful host platform must have its own exclusive games. Since the advent of game consoles, this law has remained unchanged. It may change with the development of the industry, but at least there are still consoles that break this law.

#The success of the host platform includes many aspects, such as sales, ecology, and reputation. Nintendo and Sega are the best examples. Nintendo's wiiu, n64 and Sega's fc and sfc were relatively outstanding console hardware at that time. First-party exclusive games contributed a lot behind them. Some of these exclusive games even pointed out the entire console game industry. direction.

There are many similar examples. Even though the hardware architecture is gradually becoming consistent and the difficulty of developing cross-platform games has become less difficult, excellent exclusive works are still important to the host platform. Very important. But what is unexpected is that some players seem to want to break the rules and be the first game console manufacturer to take advantage of the competition.

Xbox games are launched on the PS5 platform, and Microsoft is "profitable" first

Foreign media Windows Central published an article saying, Microsoft, one of the top three game console companies, is transferring Xbox first-party games (including "Halo", "Starry Sky" and other games) to other platforms such as Sony PS5. The related plan is internally code-named "Latitude".

Source: Windows Central

According to reports, Microsoft launched the The main reason for the plan is that Microsoft CEO Satya Nadella emphasized that he does not prefer game exclusivity and has put forward requirements for increasing profits for each of its divisions. For the game department, publishing more games on other platforms to increase sales and market share is obviously the fastest way to achieve results. At present, the plan does not set any restrictive conditions. In theory, any Xbox game can be released cross-platform.

On April 30, the former Xbox/Windows exclusive game "Sea of ​​Thieves" will be officially released on the PS5 platform. Users who have purchased the premium version can experience it 5 days in advance. According to Circana analyst Mat Piscatella, "Sea of ​​Thieves" became the second best-selling PS5 game in the United States that week, jumping to second place from 36th the previous week. This good result provides Microsoft with the confidence to continue to promote the Latitude plan.

However, Microsoft seems to have kept a secret while releasing games on other platforms. Players need to prepare a Microsoft account to play "Sea of ​​Thieves" on the PS5 platform, which is launched for the first time. During the game, the system will guide players to complete the account linking process so that the progress of previous games on Xbox or PC can be correctly inherited. Once linked, it cannot be changed.

But does it really work? Microsoft uses exclusive games in exchange for profits, and Xbox hardware that has lost its exclusive advantage may be more difficult to sell.

Win now but lose in the future? The Xbox business may be even worse

Microsoft has been silent on the sales of the Xbox series of game consoles. At the 2023 Best International Games Festival held last year, Microsoft announced for the first time Relevant sales data shows that as of June 2023, the cumulative total sales of Xbox Series S|X have reached 21 million, and the cumulative total sales of the Xbox One series (the original One/One S/One

Source: Xbox

Combined with the news from game media vgchartz, We have roughly obtained the sales ranking of the three major game platform consoles in 2023. Sony PlayStation 5 sales have soared, with total sales of 20.8 million units, Nintendo Switch ranks second, with total sales of approximately 15.5 million units, and Microsoft has not announced Xbox Series S|X The latest sales data, based on the third quarter sales data, it is speculated that the annual sales volume of Xbox Series S|X should ideally be around 10 million units.

Although sales data cannot be confirmed, I believe everyone is aware of Microsoft's disadvantage in the competition between the three major game consoles. Under this circumstance, offloading the platform's core resources to other platforms may bring a lot of revenue to Microsoft in the short term. In the long run, the competition between Xbox and the other two game consoles will inevitably be at a disadvantage.

#Not only the Xbox hardware, but the subscription system that Microsoft is betting on will also be affected. According to Axios reports, Microsoft’s Xbox Game Pass has failed to reach its subscriber number target for two consecutive years. Even though XGP subscriptions on the Xbox console platform and PC platform continue to grow, they are showing a slowing trend.

Source: Xbox

At the same time, many players choose to join the subscription-based game competition Tao, aside from Sony PS+, Amazon, Netflix, Apple, and Google have also launched their own game subscription services. More and more subscription services are competing for players' time and energy. Once subscription services on other platforms can also play Xbox exclusive games, the appeal of Xbox Game Pass to players will naturally weaken.

Microsoft's decision to open up exclusive games is not a wise one in Xiao Lei's opinion. First-party exclusive works are the last line of defense for the console hardware platform. Game transplantation will cause users to further give up their confidence in purchasing Xbox game consoles.

Console competition returns to its roots, game sharing becomes the norm

In the past, game console manufacturers used excellent first-party Exclusive works drive the sales of console hardware, which in turn attracts more third parties to develop games for the platform. Ultimately, the platform, hardware, users, and third parties form a virtuous cycle to achieve continuous development.

Based on this logic, the host platform has derived exclusive, limited-time exclusive and other gameplay methods. Compared with Sony, which is a limited-time exclusive, and Nintendo, which is completely exclusive, Microsoft's strategy in this regard seems relatively vague, swinging between exclusive and non-exclusive. Xbox has many exclusive games, but PC and Xbox share accounts and memberships. If we have to describe the main line of Microsoft's Xbox, the more appropriate word is "anti-soo" - against Sony.

Perhaps even Microsoft has not reached complete agreement on the development of the game business. In 2014, Phil Spencer had just taken over the Xbox business, and Satya Nadella, who had also just taken over as Microsoft CEO, confessed to him that Microsoft might no longer operate the game business in the future.

Photo source: Microsoft, Phil Spencer

Although in the end Phil Spencer It saved the Xbox and successfully persuaded Microsoft to increase its investment in the gaming business. However, in the eyes of the outside world, Microsoft's decision-making in the gaming business has never been wise. Some foreign media even believed that Microsoft's decision this time was no less than killing the Xbox with its own hands. Hardware business.

First-party exclusive works are very important to the host hardware. One of the important reasons is that it can maximize the performance of the host hardware. For example, Nintendo's console hardware has always been known for its creativity. The N64's joystick, NDS's touch screen, WII's motion-sensing operation, and NS's integrated handheld console plus motion sensing have left a deep impression on players.

Just imagine, if Nintendo only launches these hardware and expects third-party game developers to tap the potential of this part of the hardware, then there is a high probability that there will not be those familiar good games. The same is true for the delicate vibration feedback of the PS5 controller. Only the first party will wholeheartedly study the gameplay to adapt to its own hardware and give full play to the unique functions of the platform.

Photo source: Xbox

It’s not that you can’t play after transplanting the platform , but most first-party exclusive works can only make players feel the greatest charm on this platform. The first goal of these works may not be to make money, but to showcase the characteristics of the host hardware.

Xbox is not alone in opening up first-party games, and PlayStation's porting of exclusive games to PC is not something that happens in a day or two. The competition among game console manufacturers will eventually return to the old three of hardware + games + ecology. In the future, there may be fewer and fewer completely exclusive games, and game sharing between platforms will become more common, but there will definitely not be multiple platforms at the same time. In the case of new releases, first-party works will still be given priority on their own platforms, and players on other platforms can wait patiently.

As for the impact that Microsoft’s Xbox full game porting will have on the hardware business, we may have to wait until the plan is implemented to know.

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