Any third party be if Apple (Quicktime, MacOS Code Stealing,), Sun (Java), Real (Real Player) Networks, IBM (DOS, OS/2, etc ...), AOL, Netscape, Mozilla, Opera, Be Inc., Burst.com, Caldera, Spyglass (creator of Internet Explorer), Word Perfect, Borland has been at the short end of the stick at their relationship with MS. Sure in the short term they benefit, but in the long term they most certainly burn their hands and bridges with MS.
Epic, Id and Rockstar and a lot of other third parties have realized that if MS wins the 7th generation console wars outright, MS will be gunning for them next.
Game Engines are the biggest money spinners for Epic and Id. Just look at the insane number of games that are using Unreal Engine 3 and Unreal Engine 2.5, with Id’s Doom3 and Tech5 engines not behind. MS has been salivating at the profits made by game engine developers and by the time the next Xbox is out, MS will be having their own game engine that is bound shake their foundations. True to MS’s business strategies, third parties will be encouraged to use the MS Game Engine and heck they may offer it at a discount or even lower royalties to early adopters. Soon Epic and Id will find that third parties are dropping their engines like a hot potato and moving in droves to the MS Game Engines. With insider knowledge of the functioning of the Xbox architecture, the MS engine could be skewed to perform better than any competing engine.
Both Epic and Id have come out strongly in support for PS3 in their game engines. Poaching of lead developers/game designers will be another problem third parties will have to deal with. With MS looking at expanding their first party content, lead developers will be highly sort after and I suspect Epic and Rockstar have had to deal with the situation which has forced them to reorganize their priorities.
Heeeeyyyy!!!! <Snap>
