Daniel Ahmad Profile picture
10 Nov, 11 tweets, 3 min read
I've had the Xbox Series X for over 3 weeks now, and with the Xbox Series X|S launching today, I wanted to share some quick thoughts and previous twitter threads i've done regarding Xbox's future strategy.

Primarily from my POV as an analyst.

My key takeaway is that the console has a very premium and polished feel to it. From the design of the console to the UI and software

It's launching in a more complete state than the Xbox One did and is bolstered by new technology & innovations to improve the overall experience
Quick resume is indeed impressive.

After finishing Tell Me Why Ch1 I was able to instantly jump into Forza to complete a few races, then jump back to Tell Me Why after Ch2 finished downloading, with each transition taking just a few seconds.

No need to quit / restart games.
The onboarding experience is good. You can set up the console through the Xbox app on your smartphone and then utilise the app to download games or remote play.

My favorite feature is that screenshots from the console instantly appear in the app and can then be shared.
Lack of a flagship title at launch is definitely noticeable. But not as big of an issue these days given Xbox has a strong value prop with Game Pass and Back compat.

Not to mention cross gen live service titles + new third party games are optimised for the console at launch.
It's a seamless transition for existing Xbox users, with their games library, friends list and other settings transferring over.

For new players, Game Pass is the main value prop, offering a large day one library for a low monthly cost.

Ultimately an attractive offer for all.
Console still plays a large role in the Xbox ecosystem, even as the company shifts focus to marketing Game Pass as the main entry point

It's the platform where Microsoft will continue to generate the majority of its revenue. My thread below explains more

That being said, it's clear that Xbox is looking to go beyond the console and provide a seamless and frictionless experience to existing gamers and new players, with multiple entry points into the Xbox ecosystem.

My thread below explains more

I also put together a thread with my overall view on the Xbox strategy for this year and beyond. How Xbox is looking to remove as many barriers to entry as possible to reach a broader audience, including in the console space.

Overall, the Series X|S are being offered alongside the One S|X, Windows 10 & Android (Cloud) as platforms to access Game Pass.

The Series X|S might not be a must buy if you already have a One X or own a gaming PC

But that's fine for MS, as long as you have Game Pass on there.
Series X|S are being pitched as the best hardware options to access Game Pass at the lowest cost (Until Cloud Gaming becomes viable for all).

I think MS makes a compelling argument with its high end offering for enthusiasts and a low cost offering for budget conscious gamers.

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More from @ZhugeEX

12 Nov
With the PS5 launching in select markets today, I thought I’d do a quick thread with my thoughts on PS5 and PlayStation’s overall strategy going forward.

This is from my pov as an analyst.

1/ Image
Sony is focusing on 3 key areas this gen:

Premium hardware at an affordable price
Exclusive content from first party & partners
Network services + Ecosystem

The PS5 is very much the center of the PlayStation ecosystem, with network services helping to bridge a smooth transition
The PS5 very much feels like a next gen console and has the innovation to match

DualSense increases the immersion of playing games

Custom SSD enables faster load times & unique game design

Its dual SKU strategy doesn’t compromise on power

The new UI feels snappy & responsive
Read 22 tweets
12 Nov
Not surprising to see PUBG Corp take this route.

PUBG Mobile was the #1 grossing mobile game in India, and its ban was felt by both the developers and players.

This new custom version will aim to satisfy regulators, but it remains to be seen if this will be enough.
I put together a thread on this topic a couple of days back with my thoughts on how this would all play out.

PUBG Mobile is still technically banned. Indian regulators would either need to overturn it, or simply allow this custom version to launch.

The ironic aspect is that India banned the game for its affiliation with Tencent / China

Yet this custom ver. of the game is clearly the China version from Tencent

Green blood? Virtual training ground? Limits on playtime?

Yep, that's the China version

Read 4 tweets
11 Nov
Among Us continues to grow in popularity worldwide, now surpassing 217m installs on mobile.

It's not easy to play the game in China though, as it does not have a Simplified Chinese localisation / local servers.

So what can Chinese gamers do? 1/

venturebeat.com/2020/11/09/sen…
2/ It's worth noting that the game does not have an official license to operate in China. China is a complicated market where video games are regulated heavily.

Achieving an official release requires working with a Chinese publisher and gaining approval from regulators.
3/ China is a country of 685 million gamers that spent over $33 billion on games last year. Players have diverse tastes and actively seek out new and fun experiences.

Whether a game has an official release or no localisation at all, Chinese gamers will discover and play them.
Read 11 tweets
10 Nov
PUBG Corp's partnership with Microsoft to host PUBG and PUBG Mobile on Azure has led to speculation that the company made the move so that it can re-enter the India market, where the game was banned earlier this year

Going to do a quick thread on this 1/

techcrunch.com/2020/11/05/pub…
In case you missed this article I wrote, India has banned a number of Chinese published mobile games due to rising tensions between the two countries and potential national security issues.

PUBG Mobile was banned because Tencent is the dev and publisher.

nikopartners.com/indias-ban-of-…
Even with Tencent moving its servers / data to India, the game was still banned by the govt due to its Chinese affiliation.

As I noted at the time, the game was #1 in India by downloads / revenue. The the ban was a huge blow to both Tencent / PUBG Corp

Read 9 tweets
28 Oct
"Console in the Cloud" is a perfect way for Nintendo to pitch cloud gaming on Switch.

Cloud gaming can enhance the experience on Switch.

- Local play for games that can run natively

- Cloud games for those that cannot / are designed for next gen (PS5/Series X) consoles.
Cloud gaming can be further integrated into Switch to enhance the experience for players in the future. E.g.

- Choose to download or stream game demos
- Instantly start playing games as they download, then switch to the local ver.
- Extend gameplay to other devices.
Cloud gaming is not a replacement for local games on Switch, it is simply a way to further enhance the Switch ecosystem

The hybrid nature of Switch is also a plus. No need to switch to a mobile device with touch controls. You get the same cloud game experience handheld or on TV
Read 4 tweets
27 Oct
Microsoft is reporting that its Q1 FY2021 (Jul - Sep) gaming revenue was up 22% YoY.

This was primarily driven by an increase in content and services revenue, up 30% YoY, driven by software sales and Game Pass subs.

microsoft.com/en-us/Investor… Image
This is usually the part where I do a bunch of tweets breaking down Xbox by number of Live users, hardware growth/decline and other stuff.

Except Microsoft doesn't report any of that anymore..... so.....

🤷‍♂️
That being said, the only thing I can say for sure is from the first tweet.

Xbox total gaming revenue was up 22% YoY. Which means it generated around ~$3.1bn in the quarter. The majority being content and services sales, which was up 30% YoY.
Read 4 tweets

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