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Xbox One: Microsoft investing at least $1 billion into next-gen games

Wednesday, 29th May 2013 09:32 GMT By Dave Cook

Xbox One is still a games console, despite fears that it’s a really expensive TV box. Microsoft has confirmed it aims to invest at least $1 billion into the creation of new games for the format, while execs Phil Spencer and Don Mattrick have shed light on the console’s core title strategy.

Speaking with OXM, Mattrick stressed that people are under-estimating just how much money will be invested in Xbox One Games, suggesting that the proposed 15 exclusives within the console’s first year will be rather big indeed.

“We just ran through our script and counted the number of exclusives,” he said, “and looked at the amount of money that we’re spending and the deals that we have, exclusive windows and [things to create differentiation]. I think, candidly, people are way, way under-indexing how hard we’re punching.

“We’re going to come out with detail on things, and people are going to go, ‘oh my god’. Like, ‘they were focused, they made this a core goal, core activity’. There are great hits, there’s innovation, and there are world class creators plugged in. There’s a lot of hyperbole about things, but I think we’re going to deliver.”

On the nature of Microsoft’s Xbox One games, and the way they combine the console’s many features, Spencer chipped in, “People are playing games on all kinds of devices, and games with different business models, with different engagement time frames. I think when we started Xbox 360, so many of the games were about ‘I’m going to play it for four or five hours, and then I’m going to play online’.

“Today, our creators are really lighting up with the opportunity to build games that can live as full-screen immersive experiences like you’re seeing on shelves today, but also the idea of building device experiences that live in the SmartGlass world that connect to what’s on the screen. The ability to take your mobile away with you and continue to engage on it, engage with the game. The opportunities today–more people are playing games today than, I think, ever before.”

What do you make of the above? Do you think Xbox One will indeed retain a focus on core games, or is it all going a bit casual? Share your thoughts below.

Thanks Gamespot.

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20 Comments

  1. Joe Anderson

    That’s right MS, keep on talking things up, maybe some of the stuff you say might even come true. It even worked for Windows 8. The worst operating system I’ve ever used and it’s still sold millions.

    #1 2 years ago
  2. Malmer

    I think we’ll see some great exclusive core games on the platform. Contrary to popular belief, media services does not exclude great gaming.

    #2 2 years ago
  3. CaptPierce

    About $500 million for DLC for other games, $350 million of them being Kinect games (or Kinect related) a good $100 million for advertising more Halo, Gears, and Call of Duty Ghosts and the other $50 million for the game development. Sounds about right.

    #3 2 years ago
  4. Bam007

    It has the potential, just like any other console. But, damn I hate me for beating a dead horse, but they missed their chance to keep a lot of people interested. Now, the Xbox One is seen as and will always be seen as the “TV, TV, TV” console before anything else.

    Less than 2 weeks. E3 will be the ‘make or break’ for thousands upon thousands of console gamers. Do they spend their hard earned cash on Microsoft’s Xbox One, or do they go and play the PlayStation 4? Hey, it may even be the Wii U!

    #4 2 years ago
  5. ps3fanboy

    that investment is just peanuts and dont bring non-confident to micro$haft. we know for a fact that micro$haft invested even more in tv and other none game related crap.

    #5 2 years ago
  6. Kieran

    doesnt matter how much they invest in games people are still pissed off with the second hand game fee !! and ps4 is basically a gaming console i wonder how much Sony will invest

    #6 2 years ago
  7. Gekidami

    Unless they intend to use that money to open new studios, it doesnt really mean much, limited first party studios means limited first party gamrs.

    #7 2 years ago
  8. Hoika

    I guess timed exclusives and DLC have become more expensive next gen

    “We’re going to come out with detail on things, and people are going to go, ‘oh my god’.”
    This made me laugh…

    #8 2 years ago
  9. Samoan Spider

    One Beeeeeeeeellion dollars!

    #9 2 years ago
  10. Joe Anderson

    I’m fed up listening to these execs. They are just sprouting the usual PR garbage. 8 million viewers, $1 billion spent, power of cloud etc etc. Yet Sony have been very quiet.

    Sometimes letting your machine do the talking seems the best way to me. Not seeing many PS4 stories recently are we? Yet amongst gamers it seems to be the machine which appeals most.

    All this PR talk from MS is just that, trying to get in the news and out of the mess they talked themselves into in the first place.

    #10 2 years ago
  11. Kieran

    @10

    Exactly there trying to get a bit of momentum back after there conference lol

    #11 2 years ago
  12. machy

    @10 couldnt agree moRe

    #12 2 years ago
  13. deadstoned

    I wonder out of those how many are Gears/Halo/Forza/Fable? 70%?

    #13 2 years ago
  14. mistermogul

    I like the way he says “There’s a lot of hyperbole about things” when in fact he is the one creating that hyperbole… muppet!

    #14 2 years ago
  15. The_Red

    I’m not happy with Xbox One at the moment but but if they can truly deliver and show (near) 1 billion dollars worth of pure, non-Kinect game material at E3, maybe I’ll convert.

    So far, the only truly interesting next-gen games are Watch Dogs and The Witcher 3, both multiplats. I like Infamous SS but not enough to get a PS4 and even as a diehard fan of Remedy, MS has to do a lot more before convincing me.

    #15 2 years ago
  16. stlthriot

    All I say is they better not steal my favorite developer, Avalanche… I want to see their games, hopefully Just Cause 3, on the PS4 as well!

    #16 2 years ago
  17. reask

    Copy and pasted from NeoGaf
    A few choice cuts;
    Quote:
    Thankfully, a glance at the bigger picture reveals that this is more a question of presentation than strategy. Microsoft will invest no less than $1 billion into games next gen – an unprecedented sum for the firm – and Xbox One will see 15 exclusive titles in its first year at retail, including eight new IPs. All that’s on top of a two-year period of bulking up, which has seen Microsoft Studios open new games studios in London, Washington and Victoria, British Columbia while snapping up talent for its existing operations.

    Core gaming powerhouses 343 Studios, Lionhead and Turn 10 have all seen significant appointments – Lionhead, for instance, now runs under the supervision of MMO expert John Needham, in further evidence that the rumoured Fable 4 will be a cloud-centric affair. Microsoft has hired former Sony executive Phil Harrison – the man who oversaw the gestation of such noted PlayStation IPs as LittleBigPlanet – to manage internal projects and developer relations in Europe. Rare Ltd is poised to return to one of its cherished franchises in what Microsoft Studios boss Phil Spencer bills a “historic” revival.

    Black Tusk Studios is working on a mysterious action title that’s designed to compete with Halo and Gears of War. Microsoft has opened Lift London to create and incubate smaller scale cloud-based games. New projects are underway at Microsoft Studios Osaka, reflecting IEB president Don Mattrick’s assertion that the company remains “committed” to Japan. Perhaps most hearteningly, Microsoft has acquired Press Play and Twisted Pixel to work on “weird, unique” titles for Xbox Live. In short, there’s a lot more bubbling away under the surface than the Xbox One event suggests.

    Quote:
    Pushed to discuss Microsoft’s attitude to first-party exclusives during a roundtable conversation with journalists, he offers a regrettably detail-free yet promising account of Xbox One’s core release slate. “I think they’re always important. We just ran through our script and counted the number of exclusives, and looked at the amount of money that we’re spending and the deals that we have, exclusive windows and [things to create differentiation]. I think, candidly, people are way, way under-indexing how hard we’re punching.”

    “We’re going to come out with detail on things and people are going to go, ‘oh my god’. Like, ‘they were focused, they made this a core goal, core activity’. There are great hits, there’s innovation, and there are world class creators plugged in. You know, I keep track of it all, and I hope everyone here does – we kind of look back at all the different years and at what we shipped, how many units have sold. There’s a lot of hyperbole about things, but I think we’re going to deliver.”
    Quote:

    Naturally, Mattrick’s immensely heartened by the feedback on all this from third parties. “What I’ve heard other people say, without breaking any of their non-disclosure agreements, is that we’ve got something pretty good, and they’re excited to work with us and to see what the capabilities are, and what it could mean for their business. As creators and particularly as consumers, people are like ‘how do I get one early?’”

    Also seen this on vgchartz.

    sales2099 36 minutes ago

    FYI guys. Filtered out kinect studios to have 15 core developer teams…… E3 gonna be huge.

    United States

    343 Industries – Halo series
    Connected Experiences – Untitled Project – Design Large scale multiplayer title and help other first party studios
    Microsoft Studios – Los Angeles – Next generation core cinematic title
    Microsoft Studios – Redmond Publishing – Overseeing and co-developing multiple projects in conjunction with third party development studios based in the Americas and Canada
    Platform Next Studios – Next generation core title
    Skybox Sports – Next generation sports project
    Turn 10 Studios –
    Twisted Pixel Games –

    Europe

    Lionhead Studios – an unannounced next generation title
    Lift London – Multiple Cloud Based gaming projects
    Microsoft Studios – EMEA Publishing – Overseeing and co-developing multiple projects in conjunction with third party development studios based in Europe, Middle East and Asia regions
    Rare Ltd. – (3 team studio – Concurrent development of various titles)

    Canada

    Black Tusk Studios – Untitled Project – (an unannounced next generation title)
    Microsoft Studios Victoria – Untitled Project

    Asia

    Microsoft Studios – Osaka- Unannounced projects

    Not sure if this was already out there but it reads like games to me.
    Hopefully.

    #17 2 years ago
  18. Lengendaryboss

    @Reask
    We get that their are studios working on titles, question is which platforms: Kinect for Xbox360 And/Or One, no kinect: Xbone and/or Xbox360 and possibly other MS products that hosts games.
    My point: 1 Billion impressive but really this could mean anything: does that include marketing costs, development costs, paying for DLC Time or otherwise, third party exclusives (Kinect or otherwise).
    In fact this sentence just confirms what he meant: “looked at the amount of money that we’re spending and the deals that we have, exclusive windows and [things to create differentiation]. I think, candidly, people are way, way under-indexing how hard we’re punching.”
    Read between lines to see what it truly means.

    #18 2 years ago
  19. DeVitowned

    Glad to see not everyone is a zombie. Look at Microsoft post Kinect. That’s their future. Jump in?

    #19 2 years ago
  20. RocknRolla

    People still give a shit about what M$ is up too lol? :D

    #20 2 years ago

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