Since the beginning of the next generation, the development of the Microsoft game sector has been evident with the release of the Xbox Series X|S mainframe. Even with the acquisition of giants such as B and SOS, Xbox has not succeeded in creating a brand charm sufficient to attract more users.
Today, Microsoft is pursuing an entirely new strategy to transform the Xbox into a platform that focuses more on ecological construction than on hosting. This began with the introduction of first-hand monopolistic works into competitive platforms such as PlayStation and Nintendo, which led to the first growth in the Xbox sector since 2020. The analyst stated that, despite the many strategic adjustments, if the Xbox were again stalled, it would mean that the platform might end. Fortunately, this new distribution strategy ensures the continued operation of the game business. According to key information disclosed in the Microsoft annual power of attorney document, the 14 per cent growth target set by Xbox for the current fiscal year was successfully achieved and exceeded by one percentage point. This was the first time that the Microsoft game sector had achieved growth targets in four years, during which time both the number of users of its game subscriptions and the income from content services had stagnated.
Thanks to the achievement of the objectives, the salaries of Microsoft staff were increased at the same time. Chief Executive Officer Satya Nadra received $96.5 million in annual salaries, a record increase of up to 22 per cent, but a relatively limited increase for non-senior-level staff. However, the growth of Xbox is not directly equivalent to a profit in the sector. At the beginning of the year, the company had implemented the Doren retrenchment, and the game project, including the replacement of ” Perfect Darkness ” , had been cancelled, and various studios, such as The Initiative, which had been labeled ” 4A ” , had been shut down.A report by Bloomberg correspondent revealed that Microsoft had set a 30 per cent profit target for Xbox, an indicator well above the industry average, which directly led to a series of shock adjustments, such as large-scale layoffs, project cancellations, controversial price increases and multiplatform strategic advancements.
Microsoft has now found a new location for the game sector — to be a third-party distributor of the same kind. The only exception is that Xbox is still insisting on new mainframes that could cost more than $10 million.
