The Verge: Microsoft CEO says he wants to end exclusives but "Sony has defined market competition using exclusives"

[DriftingSpirit]

When discussing the ideal of Microsoft being focused on software across as many platforms as possible, Nadella was asked about Xbox exclusives. Here's what he said:

If it was up to me I would love to get rid of the entire exclusives on consoles, but that's not for me to define especially as a low share player in the console market. The dominant player there [Sony] has defined market competition using exclusives, so that's the world we live in. I have no love for that world.

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Source

Tom Warren spoke on the matter in his article.

Nadella has just answered how he'd really like to run the Xbox business, but he's fully aware exclusives drive console adoption and sway subscription numbers. Would he really give up exclusives in an ideal world? Would Halo actually launch on PlayStation?

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It does seem like Nadella is trying to walk in opposite directions at the same time. Thoughts on a hypothetical where exclusives become a thing of the past?

 

[404LinkNotFound]

Huh? Nintendo also engages in exclusives too. Not just sony. Xbox is the odd one out

 

[RisingStar]

I didn't know that Nintendo were open to releasing Mario on competing platforms before Sony.

 

[BassForever]

Huh? Nintendo also engages in exclusives too. Not just sony

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Nintendo isn't part of the high end console market and not a competitor of MS and Sony, so they're exclusives don't count.

 

[Deleted member 93062]

I think an email or Teams message from Pete Hines hinted at Xbox possibly going multiplatform if Game Pass were allowed on other platforms (basically what Phil said when they closed the Bethesda deal).

It doesn't surprise me that Satya really doesn't care that much about hardware, dude is a cloud, services, and software guy through and through.

 

[bakedpony]

If it were up to me, there would only be 1 ultinate console where Nintendo, Sony and Microsoft publishes games.

We're not in fantasy land though

 

[asmith906]

No exclusives argument is so stupid. Every console needs a reason for people to buy it. One of the reasons Xbox one struggled is the lack of high quality exclusive content. That's the whole reason they were forced to pivot to a different model. Imagine where Nintendo would be without Mario.

It feels like Xbox wants to rewrite gaming history.
Xbox would probably not exist today if they weren't able to market exclusive games like Halo and Gears of War.

 

[Lord Fanny]

Exclusives defining the gamescape predates Sony. I guess one could argue they pursued it more aggressively as time went on, but MS did that heavily at one point as well. So there is a stink to this one

 

[Fanuilos]

Ridiculous. That model isn't just used in gaming, and most companies don't have the resources Microsoft has.

 

[Cantaim]

Sure Jan

 

[Wrench]

View: https://twitter.com/Welfare_JBP/status/1674226252587192328?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1674226252587192328%7Ctwgr%5E%7Ctwcon%5Es1_&ref_url=

 

[Funkallero]

Exclusives are a necessity, even Ryan doesn't consider Starfield exclusivity a bad thing per se.

 

[MrChocolate]

Huh? I mean, of course Microsoft would say something like that, they have lost 3 out of 4 generations. If they were market leaders, you wouldn't see these kind of comments from them.

 

[Mocha Joe]

No exclusives argument is so stupid. Every console needs a reason for people to buy it.

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console manufacturers could invest in compelling OS ecosystem, and hardware features to convince people to buy their hardware instead

 

[Geode]

Don't forget this!

EDIT: Ah never mind, Wrench has it covered.

 

[TheChrisGlass]

I will eternally love how this debate only includes Nintendo when it makes their case look better. And ignores them when it doesn't.

 

[Gavalanche]

I think it would be great to have no exclusives and you buy the console just on its own merits similar to how you buy a TV or whatever the case may be. But this is another example of trying to paint Sony in this weird negative light when Sony didn't create exclusives, they existed long before PlayStation.

Heck, part if the reason why Microsoft did do well during the 360 era was because if the incredible first and third party exclusives they had. To the point where Sony revamped their first party pipeline to compete.

I don't know, it's just a weird statements.

 

[Zachary_Games]

Sure homie. Release Starfield on PS5 and Nintendo then. Put that $70bn where your mouth is. Since porting modern day COD to Nintendo is that easy, surely Starfield should be as well.

 

[Tbm24]

Exclusives defining the gamescape predates Sony. I guess one could argue they pursued it more aggressively as time went on, but MS did that heavily at one point as well. So there is a stink to this one

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What does that have to do with Nadella's personal view on it?

 

[BassForever]

Sure homie. Release Starfield on PS5 and Nintendo then. Put that $70bn where your mouth is. Since porting modern day COD to Nintendo is that easy, surely Starfield should be as well.

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I assume you didn't read the full quote if you're posting this, or you didn't understand the quote.

 

[Deleted member 129418]

Sure homie. Release Starfield on PS5 and Nintendo then. Put that $70bn where your mouth is. Since porting modern day COD to Nintendo is that easy, surely Starfield should be as well.

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oh my god 😭😭😭😭😭

 

[Gavalanche]

I will eternally love how this debate only includes Nintendo when it makes their case look better. And ignores them when it doesn't.

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I know. It's hell inconsistent. The fact is Nintendo is competition. You buy a third o party game on Switch that is one less game you are buying elsewhere. You spend time in switch you aren't spending it on the other consoles. It's competition, they just choose to ignore that to suit an argument.

 

[Deleted member 93062]

Sure homie. Release Starfield on PS5 and Nintendo then. Put that $70bn where your mouth is. Since porting modern day COD to Nintendo is that easy, surely Starfield should be as well.

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Not releasing Starfield on PS5 and Nintendo wouldn't contradict anything he said.

 

[Yasumi]

Smh, can't believe Sony forced Microsoft to be evil. Poor Satya.

 

[squall12]

i dont know microsoft is so anti competitive lol ya right lmao.

 

[Oski]

Well, he's not wrong. Technically.

Of course he's not saying Xbox is in a much better position because of Microsoft's money and Gamepass, so a fully competitive market with no exclusive bullshit would have Gamepass on Playstation, which would be a killer app that would skewer Sony. And other various Microsoft shenanigans, this is still MS we're talking about.

Plus, Xbox was forced into this strategy because they lost the last generation. This is Xbox we're talking about, they had no problem buying up Halo, lying about it coming to PC, then making it a real Xbox console exclusive (no Mac, no PC, no nothing).

The Nintendo counter-example I've seen, is not one. For a long time now, Nintendo consoles have been very different hardware wise. So there is a legitimate technical hurdle to port a game there. Games studios and publishers mostly can't port from PS4/5 to PC properly, so imagine when you have to switch for deep hardware and architecture differences... plus the interface and usage. Imaging porting Crusader Kings, or X4, or Dwarf Fortress, to the Switch ^^

Since at least last generation, that technical and design hurdle doesn't exist for the big consoles and the PC, outside of very small studios.

No exclusives argument is so stupid. Every console needs a reason for people to buy it.

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Sorry but "Stupid" is such a stupid word.

It would actually be the best for everyone. And I do mean everyone (including big publishers shareholders, in the long run). We would get real competition in the market, instead of exclusive deals shenanigans that kill competition and customer's choice.

Consoles would have to compete on their build, their interface, their price, their customer service. Like any other things, like cars for example.

I mean, a movie theaters doesn't have the legal right to sign up exclusive film deal. In most jurisdiction that's either straight up illegal, or there was a big legal jurisprudence like in the US when they broke up the studio system. Why are we accepting (hell, even defending) from games what we deemed illegal and very bad for society in films?

 

[Kasey]

Nadella's right. The industry would be healthier and more consumer friendly if HW and SW were completely separate and companies couldn't vertically integrate to grasp huge chunks of the market.

 

[squall12]

Smh, can't believe Sony forced Microsoft to be evil. Poor Satya.

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microsoft want to show to the world they are charity company and sony is evil greedy company lmao.

 

[dobahking91]

So stupid but coming from them it doesn't surprise me anymore.

 

[Windu]

That would certainly be nice.

 

[Incubuster]

He's only saying that because they don't get the same opportunity for exclusives like Nintendo or Sony.

 

[CubeApple76]

No exclusives argument is so stupid. Every console needs a reason for people to buy it.

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Right. I only buy a TV because of the exclusive apps on it. And I only buy an AMD CPU because of the exclusive software that doesn't run on intel chips. Oh wait, no I don't. I buy them for price or platform or hardware features that make them unique.

Obviously it's not realistic for the console market to adjust to this overnight, but in an ideal world that's exactly how it should be. No exclusives, and what determines purchase is OS preference, controller preference, ecosystem features etc.

 

[evrythngwastakn]

This "poor lil Microsoft... we're just the lil guy" angle that MS always tries to portray is so eye-rolling. Yes, poor second biggest company in the world with basically endless resources Microsoft.

 

[UraMallas]

The idea that the CEO of a software-first company would want access to every piece of hardware in existence in a hypothetical perfect biz world is not some crazy notion.

 

[jroc74]

Wut..

 

[bitcloudrzr]

console manufacturers could invest in compelling OS ecosystem, and hardware features to convince people to buy their hardware instead

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They do both.

 

[Lord Fanny]

What does that have to do with Nadella's personal view on it?

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Shows he's either ignorant of how the industry actually works or is using dishonest framing.

 

[jungius]

gaming future looks kinda bleak if they actually managed to acquire activision and any other publishers, they are so fake and people cheering on them smh

 

[DontHateTheBacon]

lmfao please god, please let this end already

i don't understand how anyone can actually take anything any of these people are saying seriously

 

[RPGam3r]

The PC is already this idea. Many hardwares various storefronts/launchers. A console world like that would be neat, but I don't think we'll see that any time soon.

 

[Deleted member 93062]

So stupid but coming from them it doesn't surprise me anymore.

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Satya was involved with supporting Mac and other Apple devices with Office. Microsoft joined the Linux Foundation after being extremely adversarial to Linux and now Windows even supports WSL (Windows Subsystem for Linux). Also, Satya was the one saying Minecraft would not go exclusive.

What Office 2016 for Mac says about Nadella's "new" Microsoft - SiliconANGLE

What Office 2016 for Mac says about Nadella's "new" Microsoft - SiliconANGLE

siliconangle.com

Tim Cook welcomes Microsoft CEO Nadella's Office for iPad to App Store

Following the debut of Microsoft Office for the iPad earlier today, Apple CEO Tim Cook has taken to Twitter to...

9to5mac.com

Microsoft joins the Linux Foundation: Microsoft + Open Source blog

As part of ongoing efforts to work closely with open source communities, Microsoft has joined the Linux Foundation as a Platinum Member.

cloudblogs.microsoft.com

Why Minecraft is now Microsoft-owned but not Microsoft-exclusive

Or: Why Microsoft paid $2.5 billion to become a PS4, iOS, and Android game-maker.

arstechnica.com

Literally not surprising coming from Satya Nadella at all.

 

[Grug]

Sure homie. Release Starfield on PS5 and Nintendo then. Put that $70bn where your mouth is. Since porting modern day COD to Nintendo is that easy, surely Starfield should be as well.

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Oh dear...

 

[Sho_Nuff82]

Ridiculous. That model isn't just used in gaming, and most companies don't have the resources Microsoft has.

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It was used in cable packages, long maligned for exploiting consumers, and used in streaming services, which are now all universally bleeding money, and cell phones, which have their own monopoly concerns to sort through.

Most consumer electronics historically embraced some level of universal standards, or at least cross-compatibilty.

In the context of MS' argument, it does seem silly for a hardware manufacturer whose exclusive catalog dwarfs MS' to make such a stink over losing a dozen AAA franchises (or, in many cases, simply losing the opportunity to moneyhat those AAA franchises for early release or exclusive content).

 

[Satya Nutella]

So stupid but coming from them it doesn't surprise me anymore.

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How is it stupid? Did you read the full quote? It's a very sensible take, especially when he was answering the judge asking his personal view on exclusivity.
All he said was that Sony is doing exclusive games and it works so MS has to follow, and he doesn't like that.

 

[SupersonicHypertonic]

Without exclusives what's the point in having more than one console? If games have cross play it's completely pointless, may as well have 1 console for all. Exclusives justify having consoles.

Also they going to ignore Nintendo who ran away as the most successful of last gen and they're predominantly known for their exclusives.

 

[Deleted member 129418]

How is it stupid? Did you read the full quote? It's a very sensible take, especially when he was answering the judge asking his personal view on exclusivity.
All he said was that Sony is doing exclusive games and it works so MS has to follow, and he doesn't like that.

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y u talking in third person bruv

 

[Gavalanche]

Nadella's right. The industry would be healthier and more consumer friendly if HW and SW were completely separate and companies couldn't vertically integrate to grasp huge chunks of the market.

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For sure but I think pinning it on PlayStation is a bit weird.

 

[gundamkyoukai]

Well, he's not wrong.

Of course he's not saying Xbox is in a much better position because of Microsoft's money and Gamepass, so a fully competitive market with no exclusive bullshit would have Gamepass on Playstation, which would be a killer app that would skewer Sony.

Plus, Xbox was forced into this strategy because they lost the last generation. This is Xbox we're talking about, they had no problem buying up Halo, lying about it coming to PC, then making it a real Xbox console exclusive (no Mac, no PC, no nothing).


Sorry but "Stupid" is such a stupid word.

It would actually be the best for everyone. And I do mean everyone. We would get real competition in the market, instead of exclusive deals shenanigans that kill competition and customer's choice.

Consoles would have to compete on their build, their interface, their price, their customer service. Like any other things, like cars for example.

I mean, a movie theaters doesn't have the legal right to sign up exclusive film deal. In most jurisdiction that's either straight up illegal, or there was a big legal jurisprudence like in the US when they broke up the studio system. Why are we accepting (hell, even defending) from games what we deemed illegal and very bad for society in films?

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How would it be best for everyone ,it end up just like streaming services .
You will never be able to get ride of exclusive in media the market just don't work that way .
Not to mention the reason why we get hardware cheaper is because of the eco systems .
Any way anyone that believe this BS is naive .

 

[Rappy]

Shows he's either ignorant of how the industry actually works or is using dishonest framing.

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He literally acknowledges how the world works in his testimony.

 

[jroc74]

I will eternally love how this debate only includes Nintendo when it makes their case look better. And ignores them when it doesn't.

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I know. It's hell inconsistent. The fact is Nintendo is competition. You buy a third o party game on Switch that is one less game you are buying elsewhere. You spend time in switch you aren't spending it on the other consoles. It's competition, they just choose to ignore that to suit an argument.

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Pretty much.

The past few weeks have been amazing.