Xbox Shifts Focus to Cross-Platform Growth Over Converting Competitor Users, Says Phil Spencer

by Ali Haider

In a recent interview with Xbox Era, Microsoft Gaming CEO Phil Spencer outlined Xbox’s evolving strategy, prioritizing cross-platform expansion over efforts to convert players from rival consoles like PlayStation or Nintendo. The remarks signal a notable shift in Microsoft’s approach to growing its gaming ecosystem.

Spencer’s comments came in response to a question about past criticism of Sony’s revenue model. During the FTC’s scrutiny of Microsoft’s Activision Blizzard acquisition last year, Spencer had argued that Sony’s 30% cut from Xbox-published games on PlayStation “reduce[s] [Xbox’s] standing in the market.” When asked about this by interviewer Jon, who cited Windows Central’s Sam Tolbert’s counterpoint—that Sony’s remaining 70% revenue share funds game development beneficial to the industry—Spencer acknowledged a broader perspective.

“It’s maybe not what I was going to say on stand at the time,” Spencer said. “But yeah, I would love to make all of the money for all of the games that we ship right, like obviously we make more on our own platform. It’s one of the reasons that investing in our own platform is important.”

However, he stressed that Xbox’s future lies in embracing player preferences rather than pushing hardware loyalty. “There are people, whether it’s their libraries on a PlayStation or Nintendo, whether it’s they like the controller better, they just like the games that are there,” he explained. “I don’t want to then look at that and say, well, there’s no way that we should be able to build a business there, find fans of our franchises there. I’m not trying to move them all over to Xbox anymore.”

Spencer emphasized the financial upside of cross-platform sales, noting that the 70% revenue from games sold on third-party storefronts supports Xbox’s ability to “build great portfolios,” such as those showcased at January’s Developer_Direct. He expressed optimism that this strategy would yield visible results throughout 2025.

Microsoft has begun offering multiplatform games on PlayStation consoles, starting with Sea of Thieves and gradually expanding to include other major franchises like Forza Horizon. The company has made it clear that there are no restrictions on the games they can bring to PlayStation or Nintendo. Their next significant release is Indiana Jones and The Great Circle, which is set to launch on PS5 in early 2025.

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