Categories: BusinessGaming

Phil Spencer explains the Xbox ecosystem; Buying console not necessary?


The Xbox Series X may be coming in a manner of days but Phil Spencer says they don’t exactly need you to buy one to be an Xbox user.

Xbox is more than just a console and Phil Spencer wants you to understand that. Microsoft is long known for releasing Xbox games on console and PC. Not only that, but the company also has an incredible presence even on other consoles like the PlayStation and Nintendo Switch.

With Microsoft’s strategy, people can be Xbox users without actually using its traditional console.

Xbox focusing on subscriptions

Microsoft’s plans to expand the Xbox Game Pass subscription service is no secret. In fact, the company made its biggest move last month when they acquired Bethesda for around $7 billion. They did this all for the sake of “feeding” their Game Pass service.

And all of this, of course, is for the sake of profit. Gaming consoles do make money. However, it’s not to the same level that Microsoft can earn through games and gaming services.

This is all because consoles are costly to produce and difficult to market. This is also the reason why it takes many years before companies introduce a new generation of consoles. Games and gaming services, on the other hand, are easier to market and maintain.

Everyone knows the real money is in the games and the services. Consoles are just a means to achieve that end.

Getting more customers

In an interview with GamesReactor, Spencer said they are pushing for more Xbox customers. And that doesn’t necessarily say Xbox console customers.

“Our high-level goal inside of our team, of how we measure ourselves, is how many people are playing on Xbox,” says Spencer. “And when we say ‘playing on Xbox’ it doesn’t mean an Xbox console. It means somebody who is logging in and playing a part of our ecosystem, whether first-party or third-party. And it could be on an Android phone. It could be on a Switch. It could be on a PC. That’s how we think about it.”

Microsoft is a big company and they don’t just sell consoles. They also sell games and services. Even in their biggest competitors, namely PlayStation and Nintendo, their influence and presence are strong.

Minecraft is the biggest-selling game of all time and millions of people are dedicated to playing it on a regular basis. Minecraft also happens to be published by Microsoft. Furthermore, the sandbox game is also really popular on the PlayStation platform.

Going by this idea, Microsoft’s foothold on the gaming industry, not just consoles, is really strong.

Next-gen console hype and release

But even if Microsoft doesn’t necessarily need people to purchase a new Xbox, the excitement for the Series X and Series S is still immense. With this, Spencer is confident that they will sell all of the next-gen consoles they can make.

People may even find a shortage on the Xbox Series X and Series S when Microsoft releases them this coming November 10, 2020.


Featured image courtesy of Natanael Ginting/Shutterstock

Carlo Rodriguez

Carlo may have chosen to walk the path of a nutritionist-dietitian but writing will always be his first love. If he's not out there thinking of ways to make people healthy, he's out pondering about life and voicing out his opinions on the Internet.

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Carlo Rodriguez

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