Business Strategy
Ongoing coverage on Business Strategy.
Latest coverage
Xbox CEO Insists It’s Not For Sale Amid Studio Closures, Layoffs
Xbox CEO Asha Sharma has stated that the Xbox division is not for sale, despite recent analyst predictions and significant studio closures and layoffs. Sharma emphasized a commitment to finding the right partnerships and operating model for success, even as Microsoft CEO Satya Nadella praised the recent 'streamlining' efforts within the division.
Ex-PlayStation Boss Has Some Advice For Xbox: “Pick A Lane”
Former PlayStation boss Shawn Layden advises Xbox to "pick a lane," suggesting the company either commit to competing with PlayStation on hardware or fully embrace its role as the world's largest game publisher. Layden points to Sega's shift to software after the Dreamcast as a precedent, noting Xbox's declining console sales and potential future as a software-only entity.
'We've been here for six years. We're aiming to be here for at least another six more' — Blaze Entertainment says it has a four-year-long roadmap for Evercade, and wants 'to do more work with Rare,' and has spoken with Sega, Bandai Namco, and EA
Blaze Entertainment has revealed a three-to-four-year roadmap for its Evercade retro gaming console, with plans to continue its collaboration with Rare and potentially work with other major publishers like Electronic Arts, Sega, and Bandai Namco. The company aims to remain a significant player in the market for at least another six years.
Microsoft CEO says Xbox is simply 'streamlining' after cutting over 5,750 jobs in three years
Microsoft CEO Satya Nadella described the company's extensive layoffs, which have affected over 5,750 employees since October 2023, as 'streamlining' under new Xbox boss Asha Sharma. Despite significant studio closures and job cuts, Nadella expressed confidence in Xbox's intellectual property and its ability to produce great games and achieve growth.
Microsoft CEO Says “Streamlining” by Xbox Team is “Great to See” in the Wake of Layoffs
Microsoft CEO Satya Nadella expressed confidence in Xbox's intellectual property and future game development despite recent restructuring and significant layoffs. He praised Xbox CEO Asha Sharma's streamlining efforts and reiterated the goal of sustainable business models for broader game accessibility. However, the division faces challenges including declining hardware revenue and pressure to deliver successful exclusives.
Microsoft's failure to find a home for Ninja Theory voids the one, very tenuous upside to Senua's SGF reveal
The article criticizes Microsoft's handling of Ninja Theory's proposed closure, highlighting the failure to find a buyer after revealing the game Senua's Saga: Hellblade II. The author argues that Microsoft's actions demonstrate incompetence and callousness, turning a potential positive outcome from the game's reveal into a zero, and that the studio's closure reflects poorly on Xbox's business practices.
Final Fantasy 7’s Remake Being Split Into Three Games Was a Risky Business Decision, Says Director
Square Enix director Naoki Hamaguchi acknowledged that splitting the Final Fantasy 7 Remake into three games was a significant business risk, as the success of the first entry was crucial for the continuation of the trilogy. He also highlighted the logistical challenges of maintaining a consistent development team across all titles to ensure narrative and gameplay continuity. Hamaguchi believes the successful development model for the remake trilogy could serve as a 'lodestar' for future projects at Square Enix.
Final Fantasy 7 Remake being split in 3 was a risk, director says, because what could Square Enix do if the first game…
Final Fantasy 7 Remake series director Naoki Hamaguchi stated that splitting the remake project into three games was a significant risk, not a business decision. He explained that the sheer scale of the original game necessitated the multi-game approach from a creative standpoint, but acknowledged the business risks involved if the first title had underperformed. Hamaguchi believes such a massive undertaking across multiple titles is rare and difficult to manage.
Xbox is Avoiding its Layoff Target of 1,600 More Cuts by End of Fiscal Year – Rumor
A report suggests Xbox will miss its target of 1,600 layoffs by restructuring divisions and divesting studios instead. Companies like Double Fine, Ninja Theory, Undead Labs, and Compulsion Games are becoming independent or being sold. This comes after 268 roles were eliminated, with further consolidation and potential studio closures, including Ninja Theory, being discussed.
What the Hell is Going on With Halo and Xbox?
Xbox Game Studios has announced significant layoffs at Halo Studios, formerly 343 Industries, with 268 roles eliminated. A smaller team will continue to support existing Halo titles, while a new, separate team under Activision will develop the next mainline Halo installment. This move is part of a broader strategy to accelerate franchise output and streamline development, though it has led to widespread criticism regarding job security and studio management.
Does Microsoft really want to save Xbox or have they already given up?
Microsoft's recent wave of job cuts within Xbox, affecting hundreds of developers, raises serious questions about the company's commitment to its gaming division. The article suggests these layoffs, coupled with studio restructuring and a lack of clear hardware strategy, indicate a potential winding down of Xbox's ambitions, possibly leading to its eventual sale as a third-party publisher.
Xbox 100-Day Reset Gets First Big Win with Gears of War E-Day
Xbox CEO Asha Sharma's strategic reset is showing early results with the upcoming Gears of War: E-Day reaching its 'gold' milestone. The game's launch on October 6 for Xbox Series X|S, PC, and Game Pass signifies a renewed focus on console exclusives and a more concentrated studio portfolio for Microsoft's gaming division.
PHYSINT – So… What Exactly Is Going On?
PlayStation has canceled its partnership with Hideo Kojima's Kojima Productions for the upcoming game Physint, citing a difficult decision after three decades of collaboration. Kojima Productions has since partnered with Xbox for the project, which is described as an 'action espionage game' and also working on the horror title OD. The article speculates on the reasons for PlayStation's decision, including high budgets and a potential shift towards live-service games, while highlighting Xbox's eagerness to support Kojima's ambitious vision.
Xbox CEO Aims to Fix Company by Being Transparent
Xbox CEO Asha Sharma is implementing a leadership style focused on transparency, which contrasts with her predecessor Phil Spencer. Sharma aims to improve communication about successes and failures across Xbox divisions, emphasizing 'Clarity is kindness.' This approach comes amidst significant layoffs and a strategic refocus on core business areas.
Nintendo is a far better industry leader than PlayStation and this week proved it - Reader’s Feature
A reader argues that Nintendo is a superior industry leader compared to Sony, citing Nintendo's consistent output of high-quality single-player games and reasonable pricing. The author criticizes Sony's recent strategies, particularly its perceived lack of major game releases and fan-unfriendly decisions, contrasting it with Nintendo's focus on franchises like The Legend of Zelda: Ocarina of Time remake and other beloved titles.
Sony reportedly ditched Hideo Kojima's Physint following missed deadlines, bloated budgets, and Death Stranding 1&2 missing sales expectations
Sony has reportedly dropped Hideo Kojima's upcoming game Physint due to concerns over budget, profitability, and exclusivity. The decision is attributed to the underperformance of Death Stranding and Death Stranding 2, along with Physint exceeding its budget and missing deadlines. Xbox has since picked up the project, seeing value in its PC presence and multimedia rights.
Death Stranding Franchise Likely Barely Broke Even, Could Explain Sony Dropping Physint – Analyst
An analyst suggests that Sony Interactive Entertainment's decision to drop funding for Hideo Kojima's upcoming game, Physint, is likely due to the underperformance of the Death Stranding franchise. Despite the games' critical reception, both Death Stranding and Death Stranding 2: On the Beach have reportedly struggled to break even financially for Sony, leading the company to become more cautious with high-budget projects. Xbox has since stepped in to support Physint.
Saber Interactive has "no real development in North America any more"
Saber Interactive's Chief Creative Officer Tim Willits stated that the company no longer has significant game development operations in North America, with development now spread across 15 global studios. He emphasized the need for smart location choices in game development and criticized wasteful spending on large-scale projects, citing SnowRunner and Warhammer 40,000: Space Marine 2 as examples of cost-effective successes.
Sony has topped a generational run of self-owns: abandoning Hideo Kojima's next Metal Gear right as Marvel's…
Sony Interactive Entertainment is facing criticism for its strategic decisions during the PlayStation 5 generation, including abandoning Hideo Kojima's new game 'Physint' to be published by Xbox and the middling reception of Insomniac Games' 'Marvel's Wolverine'. The article argues that Sony's focus on live service games has depleted its first-party development resources and led to a lack of system-selling titles, resulting in a negative overall business strategy.
PlayStation hits the self-sabotage button again, cutting ties with Kojima Productions as Xbox takes over — and I think there's more than one reason why
Sony Interactive Entertainment has ended its collaboration with Kojima Productions on the upcoming game Physint, with Xbox stepping in to form a new partnership with Hideo Kojima's studio. Kojima stated that PlayStation attempted to cancel the project, prompting his search for a new partner. The article speculates that Sony's move away from physical game discs and Kojima's stance against an all-digital future may have contributed to the split.
