Xbox highlights the recent surge in hardware pricing as a "great" opportunity for the growth of game streaming services

Matthew Ball, recently appointed as Xbox's chief strategy officer, noted that the recent uptick in hardware prices presents a favorable moment for gaming via streaming services. During his participation at The Games Business Live, Ball highlighted the increasing use of Xbox Cloud Gaming, while clarifying that streaming is merely a segment of Microsoft's broader gaming approach.

This development coincides with significant shifts in the gaming hardware market triggered by advances in AI technology, leading to price increases for consoles from industry leaders like Sony, Microsoft, Nintendo, and Valve.

Ball remarked on the opportune time for streaming, citing the availability of excellent games and the current console supply challenges, stressing that streaming is gaining traction among users. Despite challenges, the flexibility of Microsoft's gaming platforms, including PC and xCloud, offers wide access to players worldwide, he asserted.

Currently, more users are engaging with the xCloud platform daily, backed by improvements in technology and network capabilities. Microsoft introduced Project xCloud in October 2018, with its complete version, Xbox Cloud Gaming, launching on consoles in 2020 and expanding to PC by 2021.

In 2022, Pav Bhardwaj, senior global product manager for Xbox Game Pass, described streaming as a strong alternative to traditional consoles. By 2025, Phil Spencer, then head of Microsoft's gaming division, reported a 45% annual increase in Game Pass cloud hours, with console streaming seeing significant growth.

During the same event, Ball discussed Xbox's strategy to ensure a steady stream of exclusive games as part of efforts to enhance the business.