13.08.2021

Phil Spencer on the availability of games and console wars: "There is no single business model to rule everyone"

Phil Spencer shared his vision of the development of the gaming industry. The head of Xbox spoke about the senselessness of console wars, the importance of user content and lowering the threshold for entering gaming. He also explained how Microsoft intends to make video games accessible to all people in the world.Phil Spencer, photo: eVRydayVR

Phil Spencer shared his thoughts in an interview with GamesRadar+.

We present the main points from the material.

The impact of the pandemic on the industrySpencer believes that the pandemic has only accelerated the onset of a new era of gaming.

People began to play much more, and at the same time the importance of social interaction in the network has increased.

The head of Xbox noted that against this background, the number of Xbox Live tens of millions of people added each other as friends in the first month of lockdowns. As an example, Spencer also cites Among Us, which only a couple of years after its release became a big hit. And it happened just during the pandemic.

“In part [the growth of social opportunities for games] is due to generational change, however, in my opinion, during the pandemic, video games have become a platform for discussion and community building,” he notes.

According to Spencer, video games have finally become a mainstream form of entertainment — along with social networks and streaming services like Netflix. The threshold for entering gaming has dropped significantly and this has destroyed the old barriers that prevented new users from getting involved in games on a regular basis.

Availability of games and a variety of business modelsOne of the main tasks of Xbox is to make gaming accessible to every inhabitant of the planet, regardless of whether he has certain devices or experience.

Phil Spencer

head of Xbox

Spencer notes that not everyone grew up with a gamepad in their hands. Therefore, Xbox is thinking a lot about how to increase the availability of games and attract even more people with them.

One of the barriers to entry into gaming remains the price — especially today, when AAA titles cost $70. However, Spencer does not believe that the only salvation will be a complete transition to fritupley.

According to the head of Xbox, a variety of business models is a strong side of the gaming industry. Companies should not stick to only one of them and make, for example, exclusively fritupley battle royals. Players, in turn, should be open to different models and understand that the authors of their favorite games need to earn on their projects.

“If you’ve made a great game— it doesn’t matter if it’s a single project, a DLC game, a free—to—play title or a project with built-in advertising-I want all these types of games to be successful,” Spencer notes, adding that “there is no single business model to rule everyone.”

The importance of UGC content for game developmentSpencer is aware of the importance of user-generated content and understands why Minecraft or Fortnite attract such a large number of gamers.

This is partly why Forza Horizon 5 will also have a special mode for modifying the game by users.

The growth of UGC was largely influenced by social networks and the way the modern generation consumes information. As an example, Spencer cites TikTok, the content in which lives virtually forever — people create memes, invent dances, repeat them and constantly generate new ideas.

According to the head of Xbox, this approach should be used in the gaming industry. Gamers should be able to create content inside titles and monetize it.

Console wars should be a thing of the pastSpencer admits that there aren’t enough big single-player games on Xbox right now.

However, the company does not want to make its own versions of Last of Us or Spider-Man in order to keep up with competitors and repeat their success in a certain area.

Our strategy is not to be like others. We don't want to just create a green version of someone's blue or red platform. This is not the kind of creativity I want to see in the gaming industry.

Phil Spencer

head of Xbox

According to Spencer, different platforms have their pros and cons. However, companies should try not to bully their competitors, but, on the contrary, help them grow. If children cannot play with each other on PlayStation and Nintendo Switch due to the lack of crossplay, this will not help the development of gaming in any way.

“This war may help one device overtake another, but it doesn’t help the gaming industry,” Spencer notes. He also believes that the priority should be the convenience and enjoyment of users, as well as the availability of games.

To do this, Microsoft wants to eventually make Xbox available everywhere. In the future, we are talking about launching services on closed platforms, although now companies are opposed to the appearance of Game Pass on their consoles. That is why Spencer intends to focus on the development of Xbox on PC, mobile and other open platforms for the time being.

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