Summary
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Microsoft CEO Satya Nadella said Xbox competes for consumer attention with short video platforms such as TikTok and YouTube.
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According to the executive, the Xbox division’s focus should be on retaining users in its ecosystem, and not just selling consoles.
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The company has invested in the services sector and reinforced the concept of “Xbox Play Anywhere”, to play on any device.
Microsoft CEO Satya Nadella indicates that the Xbox will even be repositioned in the entertainment market. In a podcast interview TBPNthe executive stated that the platform not only competes with rival consoles, such as PlayStation, but also with short video apps, such as TikTok and YouTube.
For Nadella, “attention” is the scarcest resource and the real battlefield. He argues that, when a user turns on their TV or cell phone, the choice is not just between one game and another, but between playing, watching streaming or consuming quick videos. “The competition in the gaming world is not other games. The competition is short videos”, said the executive. “We see the big picture.”
Attention is the new metric
During the interview, Nadella focused on Xbox’s ability to retain users within the ecosystem itself. In the CEO’s view, Xbox needs to be a platform that delivers value on all entertainment fronts. Otherwise, you will lose the user to another application, be it gaming or media.
The CEO also reinforced Microsoft’s new stance as the “largest publisher” on the market, after the acquisition of Activision. He highlighted that the company’s biggest games business is, in fact, Windows, and that the strategy is to be “everywhere”.
“We want to be a fantastic publisher, similar to our approach with Office. We will be on every platform”, he stated, citing consoles, PC, mobile and cloud gaming.
New service-focused strategy
The CEO’s vision is in line with Microsoft’s recent financial results and with the future that the company has been designing for the games division. With a drop in console sales and an increase in the content and services sector (which includes the Xbox Game Pass), company executives reinforce the focus on streaming.
The president of the Xbox division, Sarah Bond, had already suggested that the next Xbox could abandon tradition and approach a hybrid between PC and console. Nadella returned to that point: “We built the console because we wanted a better PC for games.”
This services strategy was recently reinforced by Chris Charla, head of ID@Xbox. In an interview with EurogamerCharla stated that Microsoft made the “largest investment in its history” in Game Pass in 2025.
With information from Video Games Chronicle
Source: https://tecnoblog.net/noticias/xbox-precisa-competir-com-o-tiktok-sugere-ceo-da-microsoft/
