5 Reasons Xbox and Microsoft Should ACQUIRE SEGA
10Microsoft earnings for fiscal year Q3 have been revealed which ended on March 31st. Overall revenue is up 7% year over year in the Quarter
Gaming revenue declined 4%, Hardware Sales Declined 30% but Xbox Content and Services grew by 3% driven by Game Pass.
So it’s nice to see that Game Pass is still holding strong and I’m sure will continue to grow when games like Redfall, Starfield, Forza Motorsport, and all the awesome 3rd party games drop into Game Pass.
Next up. More proof that Game Pass can help 3rd party publishers and developers. Before we dive in, I want to add I don’t personally believe Game Pass is the solution or answer for every game for every developer or publisher. But it can work for some and has on many occasions, such as for Focus Entertainment, whose revenue went up 36.2 percent after having 4 successful projects in a row. What projects were those, you ask. Let me elaborate.
Teenage Mutant Ninja Turtles: Shredder’s Revenge, A Plague Tale: Requiem, Evil West and Atomic Heart. Want to know what 3 out of the 4 of those have in common? If you said Game pass, you’d be correct. 3 out of the 4 of those games dropped into game pass Day and Date.
We have said this in the past. Game Pass is a great marketing tool and creates buzz and fantastic word of mouth. It’s worked well for several small Developers giving them a boost into the limelight and being a part of the gaming conversation.
Next: A New York Post article released today claims that Microsoft is preparing to close the Activision deal despite the FTC lawsuit. This is not news to anyone following this story as we’ve known this for a while when MS lawyers said this much during a public meeting between the FTC’s in-house judge, the FTC, and MS lawyers.
But what I did find funny was the quote in the article from an unknown source. And I quote “They are going to cram this down the FTC’s throats,” A source close to the situation said.
After tomorrow the CMA domino falls followed by the European Commission on May 22nd. Possibly even sooner for the European Regulator as things that have happened in the past.
Xbox marketing in full effect with some pictures courtesy of the twitterverse subway stairs showing the 4 main characters of the Vampire shooter Redfall in Sydney Australia, A bus in England in Xbox Green with an ad showcasing Starfield on the side. And Cartoon Network in the US airing a Redfall commercial spot that’s pretty dang good by the way. Let’s take a look.
Next up: Sega of America is the next video game studio to organize. With other studios under Activision Blizzard unionizing and Microsoft, themselves saying they would take a neutral stance on unions, this was bound to take hold in other studios in the US.
Why do I bother to bring this up and what does this have to do with Game Pass. Well, many of us Xbox content creators believe the next major acquisition after ABK could possibly come from Japan.
There has been a lot of speculation and discourse that Sega would make the most sense for Microsoft as an Acquisition based on several factors.
First up, The long-term relationship Sega has had over the years with MS, The influx of Sega games coming to Game Pass and the success of those titles like the Yakuza Series, The sega and MS partnership using the Azure cloud platform servers for Sega’s upcoming games they are calling “Super Games” aka AAA experiences for broad appeal in which Sega has stated they are willing to spend up to 882 million over 5 years to achieve, The fact that Sega is acquiring Rovio the maker of Angry birds which is a big deal in the mobile space (something that Microsoft is clearly trying to add to their portfolio), Sega’s long list of Dormant IP that they own is ridiculous.
As much as I personally want Capcom to Join the Xbox banner, Sega just makes too much sense. And I’ll leave you with that .
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