Big developers make all the big profits and force the small developers out of business. Big developers like EA, Activision, Ubisoft, Epic etc make billions every year churning out the same games with one or two new features and a brand new coat of paint. Indie developers with small budgets and lack of marketing exposure usually go out of business after a year or two of releasing a great new IP game that sells under half a million copies but barely covers the costs involved of developing and releasing a video game.
Spencer is talking about Microsoft who do not actually own any studios of their own. Microsoft is afterall one of the top 5 biggest companies in the world and they can afford to offer bribes, backhanders and kick backs to developers to release exclusive content, timed exclusives and exclusive games on their console systems.
