Xbox acquires Bethesda

[Machiavellian]

Pemalite said:

goopy20 said:

Not if we're talking about the Xbox gaming division, though. 

You aren't looking at the bigger picture.

The Xbox gaming division isn't just about games.

You buy an Xbox... You will probably be using Internet explorer and bring in ad revenue, you might be using skype and leveraging that subscription.

I will for example upload a game video from my Xbox to One Drive and then access that game video on my PC or even Phone... And I pay a Microsoft office license for that.

Microsoft is trying to get you into an "ecosystem" where every service can lean into each other to accrue cumulative spending... This is why Microsoft is so good at what it does. And no. That spending isn't reflected in the Xbox gaming division.

This is bigger picture stuff.

I believe you hit the homerun on this analysis.  When you think about MS spending 7+B to purchase a game publisher and studios, it has to be something that MS feel will benefit their entire business not just the game division.  In order to get buy in from the big execs, Phil had to sell them some ice cold water in Alaska because this is a company bet not a games division bet.  People forget that when MS CEO Satya took over he changed MS into a service oriented company.  Gamepass fits right into their strategy as another means to get all of their services into customers hands in some form or fashion.  MS definitely want to be using at near capacity their server infrastructure or its wasting money.  It all fits and this may not be the only big move that happen this year.