Microsoft’s Nadella Believes Xbox Brand is in a Good Position for the Future of Gaming, But Current Hardware Sales Fall 48%

Microsoft’s CEO Satya Nadella, whose name reminds me of the delicious hazelnut spread, believes that his company is in a good position for the future of gaming.

During a quarterly investor’s call, Nadella elaborates that Microsoft is well positioned, for the what the gaming market is becoming.

“First, I’ll say we are in gaming because of what we believe are going to be the secular changes in the gaming addressable market for us. We’ve always had a gaming position with console as well as the PC, but going forward we think that any end point can in fact be a great end point for high-end games, which is where our structural position is, and we now have a business model with Game Pass as well as all the supporting mechanisms for game pass like game streaming, we have a social network in Xbox Live that is the best in the business.

So I feel we’re well-positioned to what is going to be a much larger market than what was traditionally gaming in spite of all the success we’ve had over the years in gaming.

The second point is that it builds on the rest of the cloud investment, so if you think about what we’re doing with xCloud it’s a workload on top of Azure. If you think about capital allocation, what’s happening in the cloud, what’s happening in the edge, how we build the network, how we optimize with streaming… The same infrastructure for example is what Sony has decided to use as well and be on Azure as well as user AI capabilities.

So you’ll see significant synergies in terms of the architecture of platform underneath gaming, Microsoft 365, Dynamics 365, and Linkedin all being the same.”

Albeit, it’s expected that Nadella is going to fluff the company during an investor’s call. However, the moves Microsoft have been making to indicate that they are playing a long game, and are covering all bases for a future gaming world.

[Source: Twinfinite]

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