During Microsoft’s Financial Analyst Briefing 2017 in Seattle, Chief Executive Officer Satya Nadella talekd about the company’s gaming business.
According to Nadella, gaming is one of the first places where Microsoft brought all of its assets together. Gaming for Microsoft is a much broader thing than just the Xbox business.
Nadella mentioned that Xbox Live is the biggest gaming social network, and monetizes far more than any other gaming social network.
Now Xbox Live spans both Xbox One and PC, and using one social network to link both user bases is “powerful.” New business models are surfacing, including subscriptions with Xbox Game Pass, and the acquisition of the Beam streaming service is another “phenomenal” thing, as it’s not longer anymore just about people playing the game, but also about those watching the game.
According to Nadella, turning every PC into a broadcast station and increasing the reach of what people do while they game is “tremendous.” Streaming is also expanding beyond games, to development and art. For Nadella, this is “connecting the dots around gaming” and “stretching it to these new forms of expression” using the same social network.
Below you can see the presentation slide used by Nadella to illustrate the concept.