It might be unpopular to say, but I think Microsoft should focus more on Europe than Asian market. I feel there is a lot of great stuff being made outside of the UK, and there’s lot of potential of growth since European games tend to appeal more to western audience.
Anyways, not trying to discount Asian markets, but Microsoft is also down in Europe and it might be easier to get that market compared to Asian markets. Anyways, it’s MIcrosoft, and there’s lots of paths they can take for growth
An issue with Asian markets is that I think that Xbox as it is right now doesn’t “get” Asia. Hiring for a position for Japan to lead the brand there and make all the decisions there is a kind of self-admittance of that, and it’s good they’re doing it, major -real- step to getting something done there.
They are more in a position to “get” Europe because it isn’t that different from “getting” America, UK, etc. They just haven’t been good at making themselves visible there.
Once again, it’s less about gaining market share in Asia and more about getting a boatload of guaranteed content from Asian publishers/devs that appeal to millions and millions of players in NA, SA, Africa, Europe, Oceania, the Middle East etc.
(the best way to do this is with acquisitions)
And ya’ll gotta drop the marketing thing, people are well aware of Xbox in Europe lol.
Yeah, I think Microsoft is in a better position today than they were last gen. I think the right path is hiring people that know the market and work from there. Me personally would go bigger and have Microsoft Asia and let that team cook to build relationships and create games through funding Asian studios.
Well said besides their competition doesn’t even have studios in Europe either and they are doing fine. Also, CDPR doesn’t have their own original IPs there’s been controversies over the Witcher with the original IP owner not happy about how much he sold it for, and Cyberpunk also belongs to someone else. I think Microsoft already has enough headaches with the Mech warrior license to engage in another similar one.
That was settled a few years ago. CDPR owns the video game IP for The Witcher:
I get that purchasing a publisher in the east can also help grow the business in the west. Its also a much bigger risk than purchasing a publisher or independent studios in Europe (or more western studios that target Europe).
Microsoft is significantly less experienced at running studios in the east. Any eastern publisher that is purchased still derives a lot of buainess from the east, and the east tends be less receptive of foreign products. That puts a large inveatment at risk of losing a significant current revenue area.
Im not saying its not worth pursuing. Im actually a bigger fan of buying Sega than CDPR. However, it is a significantly safer bet in my opinion to buy independent studios or a small publisher like Paradox or CDPR that focuses on Europe. Or if they wanted to go huge again then WBD, haha.
But buying CDPR only gives you like 1 or 2 games per generation. They are massive yes, but that wouldn’t help Xbox with their Game pass strategy while something like SEGA immediately gives you a catalogue of, like, more than 100 hundred games
Its just like @Resist says, its not about “gaining” market share in Asia but getting a lot of variety of content that appeals to everyone in the world.
You like anime? Persona/Sakura Wars.
You like RPGs? Persona/SMT/Yakuza LAD.
You like strategy games? Total war/Two point Hospital/company of Heroes.
You want something like Mario? All Sonic games are at your disposal (:V).
You like “cinematographic” games? Yakuza.
Fighting? Virtual Fighter.
Weird games? Samba de amigo/ Super moneky ball/ The cave/ Jet set Radio.
You like games from the 90’s? SEGA old games are added to the service.
Not to mention the cadence of their releases. In 2022 they had 8 games and in 2023 so far they have 9 games.
Idas said that, although it would be looked at by regulators, something like SEGA wouldn’t bring MS a lot of problems but obviously if it happens, it will take some years to do that as I dont think MS is exited to dance wit regulators again in following months.
As I mentioned, Im personally a big fan of a Sega acquisition. Something you didnt mention that may be very attractive to Microsoft is their mobile presence between Rovio and what theyve done with Sonic mobile.
Good it ended. I just think they need to come up with their own original IPs to add to the mix like a lot of devs. They almost just resemble Sony’s Bluepoint studios in my opinion with their strategy. Other than their store I still don’t see them as a potential target for Microsoft. I would think something like Crytek will be more up their alley if they were looking for something in the EU.
It may be safer like you said but that expansion to the east I think is needed.
I would love CDPR but I am a huge CDPR fan so no surprise here. lol
They own the video game rights to The Witcher and Cyberpunk but not the actual IP’s. While they would probably only give Microsoft 2 games plus at least 1 expansion for each a generation, they’re massive on PC which is where Microsoft is looking to grow. There’s fewer companies out there that are bigger than CDPR on PC. Also, most studios will only release 1 - 3 games this generation so CDPR releasing 1 or 2 with an expansion isn’t a big deal whatsoever.
So if this happens, I sure as hell won’t be complaining. 
How could I forgot that? Yeah SEGA was already in the top 10 candidates for a possible acquisition, with Rovio I would think that makes them more enticing for MS.
I think Mobile is gonna be a big focus in future acquisitions, especially if they want to hit that 30 billion dollar revenue. Sega has a mobile component worth looking at for Microsoft, but I wouldn’t rule out something like Playrix, Niactic or Korean studios/publishers like NCSoft.
What would be the craziest acquisition Microsoft could make and get away with? Let’s say they bought the Pokemon Company (including Nintendos shares). Do they have problems with regulators in that case?
I’m just trying to go one level beyond because that’s what Microsoft has done with the last two acquisitions.
But first
SEGA Series S
I remember reading about this before, there’s more complication to the Pokémon company than a 33% split between the three companies.
I think there’s some form of catch with the trademark/copyright that even if Microsoft brought both Game Freak and Creatures they would still need Nintendo’s permission to make the Pokémon games multiplatform (which wouldn’t happen).
I’m of the mind that somebody is going to grab CDPR. I don’t think they know how to expand their business beyond expensive AAA products.
Project reboots, layoffs and a slow GOG growth exacerbate the questionable sustainability of an independent studio that doesn’t fully own their biggest IP and who have shed their in-house technology.
My own post here covered that. Nintendo owns the trademark to the name “Pokemon” as well as the trademark to every single character/names of the Pokemon themselves. It’s quite clever on their end.
Anyway, to @AllianceOfficer 's question on “how can they one-up ABK and get away with it?”, my answer is probably boring but I’d say they cannot. They bought the biggest third party publisher. The only upwards direction is buying out a competitor which is off the table lol.
Ah thanks for the Pokémon clarification, I knew there was something there! The only way would be to acquire Nintendo which definitely would one-up ABK!
I don’t think they necessarily need to do that to challenge PS though, if Xbox started acquiring those studios which make the big single player cinematic action adventure games (which PS are currently known for) it will take their USP away.
Without their USP it will be difficult for Sony to compete with Xbox first party content, considering how diverse it is now. PS doesn’t really have any FPS or RPG studios which can compete with Xbox (outside of Bungie which is multi platform). In addition the single player gamers might start having a ‘itch’ when the heavy Sony live service lineup starts.