Xbox accepts its defeat against PlayStation and Nintendo

Phil Spencer gave an unexpected message that shocked the industry. After more than 2 decades in the console business, the head of Xbox recognized that there is no way to compete, let alone beat PlayStation and Nintendo because a mistake made in the past cost the brand dearly and gave an advantage to the consoles. Japanese companies that today is unreachable What happened? What will happen to Xbox Series X | S? We’ll tell you then.

Video: 2 years after the Xbox Series X | S

XBOX ADMITS IT LOST THE BATTLE AGAINST PLAYSTATION AND NINTENDO

The disastrous launch of redfall became the straw that broke the camel’s back for Xbox. Although the Bethesda and Arkane game was independent in every way, the fact of being part of Xbox Game Studios caused the impact to reach the upper echelons of the Microsoft gaming brand. In the midst of questions, criticisms and even requests for resignation, Phil Spencer appeared on the show kinda funny to show face.

The head of Xbox even talked about the reality of Xbox in the console sector and that’s where we were all surprised. His statement was as follows: “We do not have the business idea of ​​surpassing Sony or Nintendo in console sales. There’s really no big solution or win for us and I know that’s going to upset a lot of people, but it’s reality. When you’re in third place in the console market and the top 2 competitors are so strong – even in certain cases they have a very, very low-key focus on making deals and whatnot – it’s a very difficult thing for Xbox as a team, even though we know that It is something that depends on us and on no one else.”

Phil Spencer:

-Different vision, won’t “outconsole Sony & Nintendo”
-“We lost the worst generation to lose (XB1), where everybody built their digital library of games”
-“There’s no world where Starfield is 11/10 and people start selling their PS5s”

Via: https://t.co/YvNmT0jY7P pic.twitter.com/gfQHgrHcqw

— Shinobi602 (@shinobi602) May 4, 2023

Regarding the idea and recommendations from the community that the reality of Xbox in the console sector will change when they launch great video games, Phil said that this is not true and that, even if they launch titles that are up to par, the situation will not change significantly. dramatic in the market, so that Xbox Series X | S will continue to live this generation under the shadow of PlayStation 5, Switch and perhaps, the next Nintendo console.

“Spencer said that even if Starfield is rated 11/10, which is a gaming masterpiece, it will not be able to provoke people to sell their PS5 to buy an Xbox”

The statement had an even more dramatic conclusion: Spencer assured that even if Starfield has a rating of 11/10, that is, a gaming masterpiece, it will not be able to provoke people to sell their PS5 to buy an Xbox.

Phil Spencer’s statements about the reality of Xbox on consoles come at a difficult time. Microsoft’s latest financial report revealed a 30% drop in hardware sales, Xbox Series X | S, and the gaming business was saved thanks to Game Pass. Everything happened amid questions about the poor marketing strategy for Microsoft consoles. Worse still, the momentum that the Xbox console proposition gained during the pandemic fizzled out, leaving fans with a bitter pill after missing out on a great opportunity.

“Microsoft’s games division failed when it was able to take advantage of the scarcity of PlayStation 5 in the market as Xbox Series fought for the first places of sale in important markets during that period”

We are not fooled: Microsoft’s games division failed when it was able to take advantage of the scarcity of PlayStation 5 in the market as Xbox Series fought for the first places of sale in important markets. However, the absence of AAA titles and the minimal to moderate impact of the big Xbox Game Studios games coming out at the time stifled any real possibilities for the brand. Today, PS5 took off with brutal sales and there’s no way to catch up, and Switch will still give a last spurt in sales while Xbox remains in third place.

WILL XBOX SAY GOODBYE TO THE CONSOLE MARKET?

Phil Spencer’s statements are accurate and painful for fans, and confirm that the ghost of bad decisions in the Don Matrick era continues to roam the halls of the brand and the consequences, in the end, were terrible.

“Xbox lost in a generation where it shouldn’t have: Xbox One”

The head of Xbox mentioned that the brand lost in a generation where it shouldn’t have, that of Xbox One. According to his perspective, it was there that PlayStation and Nintendo positioned themselves better in the console market and strengthened in the console market. digital platforms while Xbox sank. Market advantage today is unattainable for Xbox.

Although the outlook looks bleak and could anticipate the worst, there is Xbox in the console market for a while, however there are some details to take into account. During the interview, Phil Spencer made it clear that the interest at this time is to continue developing his proposal in terms of services such as Xbox Game Pass, and an ecosystem of access to gaming that is not limited by hardware barriers. Xbox Series X | S is not a priority and its users are considered members of one of the 3 parts that make up its gaming ecosystem: console, PC and the cloud.

The head of Xbox pointed out that the intention is that all its users, regardless of where they play, have an incredible experience, but it is a fact that competition in the console market is over: Xbox Series X | S is a product that will ensure presence in the sector as part of a larger ecosystem. In that sense, the years of fierce competition and Xbox 360 identity formation are in the past and the brand in the console sector will be an access option and nothing more.

Today, Microsoft’s video game division recognizes that it is entering an important phase of transition, and both Xbox Game Pass and xCloud are what matter, since the goal is to become the largest gaming ecosystem in the world, although the chances of success they are threatened by the blocking of the purchase of Activision Blizzard, and that puts the acquisition of King at risk to immediately gain a position in the mobile sector.

Despite everything, the presence of Xbox in the console market is more than assured because it is justified. Its sales rate compared to Xbox 360 is better and Microsoft’s video game business is making more money than ever. However, what Phil Spencer said makes questions about what will happen to console users inevitable.

Since its launch in November 2020, Xbox Series X, the world’s most powerful console, has sold (proportionately) less than its smaller brother, Xbox Series S. Currently, shortages are reported in some markets and considering that the problems in terms of semiconductors have come to an end, there is speculation of a reduction in stock in stores.

In this case, the shadow of the doubt is positioned on Xbox Series S, since it is the console that has charged Microsoft in this generation and is a very accessible option in the midst of the global economic crisis. Unfortunately, we have spent 3 years with endless complaints regarding the performance of games on this system that requires more attention from developers given the hardware limitations and it is true that in many cases the optimization is not adequate. So what can Xbox users on consoles expect knowing that it’s no longer a priority and there won’t be a particular focus on their experience?

THERE IS NO GOING BACK, THIS IS THE NEW ERA OF XBOX

May 4, 2023 will be remembered as the day Xbox made the radical change in its market strategy official and the moment it ended the console war. From now on, talking about Xbox will mean referring to its ecosystem and the options it will offer the public to bring gaming to millions of players. Perhaps Phil Spencer’s phrase that perfectly summarizes what we are addressing in this video is: “it is not a victory for Xbox to remain behind others. We have to go out there and do our thing with Game Pass, with what we do with xCloud and the way we build our games.”

Years ago we said that the best Xbox exclusive was Game Pass and the service is more important than ever to the extent that Microsoft and Xbox ideas revolve around it, including consoles, computers, mobile and the cloud. Xbox is experiencing moments of change and it only remains to see the reaction of its public to the inevitable.

What do you think of Phil Spencer’s statements? Do you feel motivated to buy an Xbox Series X | S after this? What do you think the experience will be like on Xbox consoles now that they are no longer a priority?

Stay with us, at LEVEL UP.

Video: Xbox accepts it: they failed the fans

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