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Which of the MS-purchased studios do you think will be shut down?

Forums - Microsoft Discussion - Which of the MS-purchased studios do you think will be shut down?

I mean ... I guess Compulsion but really, none of them are likely to close.



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At the very most Playground and Turn 10 being merged, but that is so far fetched. Their buying all these studios to supply game pass now, so they'd have to make really shit games to get shut down (Or not be pumping out enough games in a timely matter), instead of financial failures.

They don't have to worry about unit sales anymore, only have to worry about putting good games on their service so people subscribe, and stay subscribed to Gamepass and Gold. So I don't think any of them will be getting shut down until the inevitable downfall of Microsoft comes (Nothing good ever lasts, Sony, Microsoft, and Nintendo will all eventually meet their fate).

At the very most, the entire studio falls apart due to corporate culture and loss of independence, or they get merged together. Microsoft needs these studios more than the studios need Microsoft.



Compulsion games.



Ninja theory. Although they are a tiny team I can see devs moving out or even get shutdown if their game does not do well in the xbox.



 

TheBird said:
At the very most Playground and Turn 10 being merged, but that is so far fetched. Their buying all these studios to supply game pass now, so they'd have to make really shit games to get shut down (Or not be pumping out enough games in a timely matter), instead of financial failures.

They don't have to worry about unit sales anymore, only have to worry about putting good games on their service so people subscribe, and stay subscribed to Gamepass and Gold. So I don't think any of them will be getting shut down until the inevitable downfall of Microsoft comes (Nothing good ever lasts, Sony, Microsoft, and Nintendo will all eventually meet their fate).

At the very most, the entire studio falls apart due to corporate culture and loss of independence, or they get merged together. Microsoft needs these studios more than the studios need Microsoft.

Pretty much agree with everything mentioned here. There vision isnt to buy and sell, there buying and building. What matters more for the digital future is subscribers and a huge eco system. With 14 plus more studios dishing out games, they are feeding Game Pass which creates subscribers which equals more money than just selling games the traditional ways.

Today many look at it as a hybrid service, tomorrow it will be the standard.



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Changes in corporate direction (biggest threat) or poor performance (which would be measured by low user engagement on the service) could put any of these studios at risk. Then again these studios obviously measured these risks against the risks of staying independent and decided to be bought so.

If Microsoft sees these studios as contributing to the whole platform/ecosystems vs. on their own (similar to Sony's model of first party software development) then these studios are much safer. Creating software for a service like this has the benefit of averaging winners and losers for the platform holder and also has the added benefit of turning that into a steady revenue stream.

I am still curious about how gamepass numbers might work out. Imagining a few years in Microsoft is hoping for something like this-

Revenue of $10 game pass per mo x12 months= $120 a year x5 mil subscribers= 600 million a year x5 years= 3 billion + microtransactions and expansions

Cost of developing 30 games (6 a year for 5 years) at 20 mill each (A-AA size stuff)= 600 million over 5 years= 125 million a year
Of course this is grossly oversimplified and the costs we don't know (the most important figures) are how much they pay publishers to make it worth their while. I think it's easy to see how they can fund their own games this way, but not sure how they can afford to attract new content from publishers. Will be interesting to see how it plays out..



Azzanation said:
Depends which company flops.. its basic common sense really. Companies dont get shut down for no apparent reason.

Right, people seem to think shutting down studios is something MS (and Sony) has done for fun or something.

In reality, most studios get shut down after not achieving success or what was desired with multiple projects. Sometimes the company is going a different direction and doesn't feel a certain studio is necessary anymore, the reasons vary.

I think all the studios MS purchased have a solid history of releasing games with mixed success. Its also possible they all had interesting new projects MS wants. Any who, buying a team that's actively creating games seems less risky than building a new studio entirely.

But I can't help but be curious why is MS suddenly buying studios as opposed to working with 3rd parties? Either way I look forward to seeing what these studios do with MS money.



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First I think they won't shut down a studio unless the studio massively under performs.

Secondly, I think MS has taken a huge risk with both Compulsion and Ninja Theory and therefor, these two are most likely to be shut down. This won't happen any time soon, it might be 3-10 years from now depending on what projects they have pitched along with the budget, as this will determine what money they will have to make.

With compulsion, I think the risk is smaller as I cannot see them inflating the budget more than what they need to make a game, therefore hopefully it will be easier to hit breakeven.

Ninja Theory on the other hand is a different beast. These guys love creating games with grand vision and design. They love hiring actors and Hollywood like talent. This is a studio that wants to be on the same level as ND, SSM, Kojima Productions, Bungie etc. This is a studio who tried several times to make a big successful game, but has always fallen short on sales. As much praise they get from the media and their fans, they always seem to miss out on the sales. Hellblade being the exception with its low budget obviously.

My fear is that neither of these two studios will live up to their expectations. Compulsion might not be able to make a game as good as Bioshock and live in its Shadow and Ninja Theory will pitch a big game that will have a big budget, big talent and when it comes to sales, will fall flat.



Whoever said life to be like a box of chocolates clearly didn't know what he was talking about. 

Life is more like a game of bumper cars. At every turn there is a possibility you will get screwed.

Why everybody is talking about Xbox only... You do realize MS is the leading install base company when you factor in PC gamers which for the most part run
There is no reason to. Lose any studio any time soon.



If any did get shut down, it'll be maybe a decade from now after they've released 2/3 games. I'm pretty sure MS didn't buy all these studios for them to be AAA either so maybe none of them. If I had to pick one I'd say Compulsion.