The Xbox Mobile Gaming App Store will have a ‘gamer first’ approach

Speaking at the Bloomberg Tech Summit, Microsoft’s Xbox President Sarah Bond confirmed that the tech giant will be bringing its mobile store and starting their first-party portfolio with games like Candy Crush and Minecraft showing up in that experience. “We will extend this capability to partners so that they can also take advantage of it and have a true cross-platform gaming-centric experience”, Sarah added.

In October 2022, Microsoft unveiled plans to introduce the Xbox Games App Store on mobile platforms, aiming to compete with the established dominance of Google and Apple’s stores in the gaming market. It was said that they will rely on the recently acquired Activision Blizzard title Call of Duty: Mobile and King’s Candy Crush Saga for creating a healthy gaming experience.

Microsoft’s decision to enter the market of mobile gaming directly aligns with the recent enactment of the European Union’s Digital Markets Act, which allows tech companies to set up their direct-to-consumer web stores that could avoid the charges of Apple and Google, while the former’s 30% fee for apps and in-app purchases is highly debated with Epic vs Apple being one of the most controversial cases currently.

With its launch, the Xbox Mobile App Store will be joining the Epic Games Store which is scheduled to release by the end of 2024. I see the ‘gamer first’ approach of the Xbox Gaming Store, as affirmed by the Microsoft Gaming CEO, could potentially be a significant benefit for players.

Read related mobile gaming articles-

• Microsoft is looking at the option of a free ad-supported model for Xbox Cloud Gaming
• Xbox in talks with partners to launch its own Mobile Gaming Store, CEO Phil Spencer confirms
• Microsoft’s next-gen Gaming Console aims to merge Mobile, PC and Xbox

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Phil Spencer discusses the challenges with the regulatory process for the Xbox Mobile Store

Sharing his thoughts in a recent interview with The Verge, Spencer said that the company is actively pursuing the expansion of its gaming presence on mobile devices. Once being asked about the potential launch of an Xbox mobile store, he highlighted the regulatory hurdles and the need for collaboration with first-party and partner developers to capitalize on the business opportunity.

Spencer said: “There’s regulatory work to actually open up the ability to install another store on an Android or an iPhone, which isn’t done yet. We’re actively engaged in the Digital Markets Act, and the work that has to happen to make that possible. Then there’s us actually building the store. We have some history there from having our own mobile store in the past. So we know how to go get that work done.”

In addition, Phil mentioned talks with Xbox’s game developers and partners about a big opportunity. They’re excited about the idea of having another place to buy games on phones that’s more focused on what gamers want. Because they publish big mobile games like Candy Crush, Call of Duty: Mobile, Diablo Immortal, and Minecraft, Spencer thinks they can get more people to use their store and in return, could help third parties too.

Microsoft eyeing the mobile market comes as a boon to the industry

Discussing Apple’s recent changes under the Digital Markets Act, Phil emphasizes that isn’t enough to make competition fair. He stressed the need for more options for buying games on phones, similar to what’s available on PCs. Even though Xbox Cloud Gaming can’t make money on iOS, Microsoft still wants to work with regulators and companies like Apple and Google to make mobile gaming more open and competitive.

Overall, I see these are positive signs, and Microsoft is enthusiastic about the mobile front is something to watch out for. Although the Activision Blizzard acquisition which was recently approved was a sign of it, the continuous talks about the Xbox Mobile Store launching and search for partners are clear indications of how they want to carry things forward. There’s a need to strike a balance that guarantees fair competition and the Xbox Mobile Store from Microsoft could be that need.

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Microsoft sees this as an opportunity to expand their service around the world

Tim Stuart, the Chief Financial Officer (CFO) of Microsoft Gaming hinted at the potential adoption of this approach for their cloud gaming model during an interview at the Wells Fargo TMT Summit towards the end of November 2023, as reported by TweakTown. He mentioned that it also aids in geographic expansion, possibly as a final point.

Tim Stuart explained: “The vision I like to talk about is we have xCloud game streaming, so you can subscribe to Game Pass Ultimate and you can stream hundreds of games to any endpoint that has a browser experience. For models like Africa, India, Southeast Asia, maybe places that aren’t console-first, you can say, hey, do you want to watch 30 seconds of an ad and then get two hours of game streaming?“

Speaking of the Xbox Cloud Gaming, it is part of Microsoft Gaming’s Xbox service that allows players to play games on the Xbox Game Pass on PC, Xbox, and Mobile. It entered beta testing in November 2019, and officially launched for Xbox Game Pass Ultimate subscribers on September 15, 2020, for Android devices, followed by the iOS launch the next year with the service gradually expanding to multiple regions.

To be fair, implementing this system would be highly beneficial for mobile gamers. With touch controls being easy to access and a popular one at it too, introducing such a system could attract players looking to enhance their gaming experience and add to their entertainment value. Given how Microsoft continues to push into cloud gaming, this might be the right model to bring in more audiences, especially from the handheld device market.

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Microsoft had its eyes set on the Mobile Gaming App Store since 2022

Phil Spencer, in his interview in Sao Paulo during the CCXP comics and entertainment convention, stated: “It’s an important part of our strategy and something we are actively working on today not only alone, but talking to other partners who’d also like to see more choice for how they can monetize on the phone.’ 

Although no specific launch date was given, Spencer indicated it’s not too far away. Alongside, the recently approved Activision Blizzard acquisition was motivated, in part, by the strong presence of mobile games like Call of Duty: Mobile and Candy Crush Saga.

If we remember correctly, reports of the Xbox Store launching were from a while ago, which then aimed at a launch in 2024. However, Microsoft’s entry into the mobile store faces challenges, including a downturn in the mobile gaming market and regulatory issues with companies like Apple and Google.

An App Store competition to Apple and Google is very much needed

It’s widely acknowledged that Apple and Google dominate the market, and many openly express concerns about their strong positions. Additionally, their app store policies have been controversial, given how their cuts have been widely called out, given its 30% fee for apps and in-app purchases that many companies reportedly avoid including HoYoverse, with Epic vs Apple being one of the most controversial cases currently.

Many companies are trying to enter the market, emphasizing the need for a balance that ensures fair competition and consumer choice in the digital marketplace. With an Xbox mobile gaming store chipping in the future, it can be a great possibility we see changes related to the same.

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Microsoft faced many hurdles throughout the process of finalizing the Activision deal

On January 18, 2022, Microsoft made an official announcement regarding its acquisition of Activision Blizzard for $68.7 billion, with the completion anticipated by 2023. However, things took an unexpected turn when, just four months later, Activision’s CEO, Bobby Kotick, faced a lawsuit from New York City (NYC) officials over the Microsoft deal.

The lawsuit alleged that the acquisition was rushed to secure a takeover bid from Microsoft in an attempt to evade liability for misconduct within the company. Following these events, on December 8, 2022, the FTC voted to file a legal challenge to prevent Microsoft’s acquisition of Activision Blizzard. However, Microsoft emerged victorious in the lawsuit filed by FTC, and the reports of the tech giant closing in on completing the deal came true after all.

It should also be noted that earlier this year, the UK regulator initially blocked the $68.7 billion deal due to concerns about cloud gaming competition. In August, Microsoft made a significant concession that Ubisoft will acquire Activision’s PC and console cloud gaming rights instead of Microsoft for the next 15 years. As a result of this concession, the CMA conducted a new investigation, which concluded today, with the CMA clearing this revised transaction.

CEO Bobby Kotick expressed his satisfaction on the news. He stated: “We now have all regulatory approvals necessary to close and we look forward to bringing joy and connection to even more players around the world. We’re excited for our next chapter together with Microsoft and the endless possibilities it creates for you and for our players.”

Hopefully, the deal will benefit the mobile gaming industry for more years to come.

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Why would a presence in the mobile games market for Xbox be the move to make

According to Phil Spencer in his interview with Eurogamer, he acknowledges the importance of catering to the mobile gaming market in order to get a stronghold in today’s gaming industry. In the words of Mr. Spencer, “It is about a capability on mobile, and some broader ambitions that we have on the largest gaming platform, which is mobile phones.” Thereby confirming his wish as the CEO of Xbox to make some moves relative to the mobile gaming market in the near future.

By bringing original mobile games, Xbox will attract a much larger group of individuals to their brand and make their products and projects a lot more viable with more room for creativity given the diversity of platforms. With mobile games on board, the brand will become an esteemed platform for mobile games as well as console games as it is right now.

How Xbox plans to execute the said plan

The primary plan of Xbox in order to get a stronghold in the mobile gaming industry is their acquisition of Activision Blizzard which owns the Call Of Duty Mobile franchise as well as King, the popular mobile game developer behind the Candy Crush IP, which is also part of the Activision deal. In fact, he even stated that the main reason behind the $68.7 million plan to acquire Activision Blizzard is for their mobile gaming capabilities, something that Microsoft’s Xbox is lacking.

When asked about a plan B regarding mobile games on Xbox if the Activision Blizzard deal does not materialize, Phil Spencer said that the thought was not something he had considered and that the company would push for a footing in the mobile gaming market either way. He also said that the previously mentioned idea of an Xbox Mobile Gaming App Store is still in the books and will materialize.

We think that’s important, yeah. So that’s something we’re looking at as well. And when we look at that the reason we think content is important there is, ‘how do you attract people to your stores?’

Phil Spencer, CEO of Xbox about the possibility of a Xbox Mobile Gaming App Store

From this interaction between Mr. Spencer and Eurogamer, we can conclude that Microsoft is indeed very serious about securing a spot in the mobile gaming industry if they cite it as the main reason behind a whopping $68.7 million deal. He said that the company is optimistic about the deal and that it will be the breakthrough they need at this stage in order to capture the mobile gaming market by getting mobile games on Xbox.

What are your thoughts about the enthusiasm of Xbox in the mobile gaming industry? Will you be excited about mobile games on Xbox? Let us know in the comments below!

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Microsoft x FTC Lawsuit: Grounds for the lawsuit and eventual outcome

On the 12th of last month, that is, June of 2023, FTC filed a lawsuit against the corporate giant Microsoft in a bid to curb their $69 billion buyout of the esteemed game-developing company Activision Blizzard. The lawsuit was fought between the regulatory body and the corporate company in the US federal court where today the jury ultimately ruled that the deal is in no way detrimental and is instead beneficial for several parties involved.

The reason behind the lawsuit as stated by FTC is that such a large takeover, which is not Microsoft’s first in the gaming world, is ruining the balance between the developers and killing the competition in the market that is one of the reasons why these companies strive to create new titles year after year. Activision runs one of the most successful franchises in gaming, namely the Call of Duty franchise, which is available on PS4 as part of a deal with Sony.

FTC claimed that such deals might fall through as Microsoft will keep buying more stakes and ultimately buy out all their competition. But Microsoft retorted by stating that they will honour the Sony deal for another 10 years., as well as make an agreement with Nintendo to bring the games on Switch as well. “We’re grateful to the court for swiftly deciding in our favour. The evidence showed the Activision Blizzard deal is good for the industry and the FTC’s claims about console switching, multi-game subscription services, and cloud don’t reflect the realities of the gaming market,” said Xbox head Mr. Spencer.

Microsoft’s acquisition of Activision has been described as the largest in tech history. It deserves scrutiny. That scrutiny has paid off: Microsoft has committed in writing, in public, and in court to keep Call of Duty on PlayStation for 10 years on parity with Xbox. It made an agreement with Nintendo to bring Call of Duty to Switch. And it entered several agreements to for the first time bring Activision’s content to several cloud gaming services. This Court’s responsibility in this case is narrow. It is to decide if, notwithstanding these current circumstances, the merger should be halted—perhaps even terminated—pending resolution of the FTC administrative action. For the reasons explained, the Court finds the FTC has not shown a likelihood it will prevail on its claim this particular vertical merger in this specific industry may substantially lessen competition. To the contrary, the record evidence points to more consumer access to Call of Duty and other Activision content. The motion for a preliminary injunction is therefore DENIED. 

Judge Corley, judge of US federal court overseeing the lawsuit

Progress in the legal battle against UK’s CMA

Just like the FTC of the USA, the Competition and Markets Authority, or the CMA, the trade regulator of the UK has sued Microsoft on similar grounds and had a hearing pending on the 28th of July, 2023. But following the victory of Microsoft against the FTC, the CMA hearing has been put on hold as the regulatory body will open discussions with Microsoft to come to a conclusion and solve their differences without any legal hassle.

“After today’s court decision in the U.S., our focus now turns back to the UK. While we ultimately disagree with the CMA’s concerns, we are considering how the transaction might be modified in order to address those concerns in a way that is acceptable to the CMA,” says Microsoft president Brad Smith in a statement to The Verge. “In order to prioritize work on these proposals, Microsoft and Activision have agreed with the CMA that a stay of the litigation in the UK would be in the public interest and the parties have made a joint submission to the Competition Appeal Tribunal to this effect.”

Brad Smith, President of Microsoft

Final Thoughts

We can say that the way one lawsuit turned out and the other is going, it is fair to call it a victory for a company that has claimed it wants to make the games more accessible and improve the overall experience of the consumers. The Microsoft headquarters, as it stands now, should be very content as their $69 billion dollar deal is going just the way they wanted, in their favour.

What are your thoughts on the legal tussles that Microsoft is having to endure? Let us know in the comments below!

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Microsoft’s next-gen Xbox gaming console will focus on cloud gaming technology

Recent developments have resulted in the release of papers related to the acquisition by Microsoft of Activision Blizzard. On page 111 of the report which has a total of 200 pages, Microsoft indicated that one of their goals is to construct next-generation Xbox consoles that are built on cloud gaming technologies within the year 2028. This technology will allow for the merging of smartphones, personal computers, and gaming consoles.

As part of Microsoft’s Universal App Storement initiative, Microsoft is developing its new cloud gaming technologies. However, CMA did not approve of the Activision purchase for a number of reasons, including this one. CMA expressed significant worries over cloud gaming technology and how the company would dominate the majority of the market if it were to use it.

The legal struggle that Microsoft is engaged in to overturn the verdict of the CMA is still ongoing. The decision that Microsoft will make regarding the development of the next-generation console technology may be affected by the result of the appeal. However, the company has not yet made any formal announcements on the availability of the consoles or their release window.

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Microsoft’s new Xbox Mobile Store aims to end the Google and Apple App Store dominance

Last year in October 2022, Microsoft announced that they will be launching the Xbox Games App Store on mobile to challenge the dominance of Google and Apple Stores in the gaming market. It was said that they will rely on the recently acquired Activision Blizzard title Call of Duty: Mobile and King’s Candy Crush Saga for creating a healthy gaming experience.

Phil Spencer, CEO of Xbox and CEO of Microsoft Gaming in an interview with Financial Times said: “We want to be in a position to offer Xbox and content from both us and our third-party partners across any screen where somebody would want to play. Today, we can’t do that on mobile devices but we want to build towards a world that we think will be coming where those devices are opened up.”

He also stated that the upcoming Digital Markets Act will provide a significant opportunity for growth. The act establishes rules for digital gatekeepers to ensure open markets, and with the fair opportunities granted, Microsoft has a great chance to open the market by building a broader Xbox mobile platform.

With this, Microsoft’s charge to establish its name in the gaming space continues. Previously, they signed a 10-year deal with NVIDIA Geforce to use their cloud gaming service, allowing players to stream more titles. More such deals and prepositions are just going to be a boon for gamers.

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The new deal allows players to stream more titles

It is no news that Microsoft is aiming at a larger player base and expansion. During the Tokyo Games festival, Microsoft Gaming CEO Phil Spencer expressed their desire to be more integrated with talented production houses. He also stated that they are open to additional acquisitions in order to compete with global gaming sector leaders Tencent and Sony.

So the agreement with NVIDIA should come as no surprise. With this deal, players can use the GeForce NOW cloud gaming service, which has over 25 million members in over 100 countries, to play Xbox games from anywhere and on any platform. This opens the gateway for many games like Activision’s Call of Duty, Forza Horizon 4, etc being played.

The future of cloud gaming appears to be brighter

Speaking about the deal, Jeff Fisher, Senior Vice President for GeForce at NVIDIA added: “Combining the incredibly rich catalog of Xbox first-party games with GeForce NOW’s high-performance streaming capabilities will propel cloud gaming into a mainstream offering that appeals to gamers at all levels of interest and experience. Through this partnership, more of the world’s most popular titles will now be available from the cloud with just a click, playable by millions more gamers.”

As a result, the mobile gaming market will grow and players will be able to stream more games. Microsoft’s big push into cloud gaming, which started with the Xbox Cloud Gaming platform, is starting to bear fruit, slowly maybe, but positively. Cloud gaming appears to have a bright future, and such collaborations make it worthwhile to know that more are on the way.

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