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Xbox Series S (L) and Xbox Series X consoles from Microsoft.
Phil Barker | Future editions | Future via Getty Images
Microsoft will bring its cloud gaming service to Xbox consoles later this year.
The company announced on Tuesday that Xbox Cloud Gaming, which allows gamers to stream games rather than having to install them on a device., would arrive on its new Xbox Series X and Xbox Series S consoles as well as older Xbox One machines this holiday.
US tech giants like Microsoft, Google and Amazon are betting on a future for video games beyond consoles, where subscription services and software will play a much bigger role.
While Microsoft still invests heavily in Xbox hardware, it also places great importance on Xbox Game Pass, a subscription service that gives gamers access to a library of over 100 titles for around $ 15 per month.
Cloud gaming, where games are hosted on remote servers and streamed to users over the Internet, is a big part of Microsoft’s strategy. The goal is to attract gamers to the Microsoft ecosystem across a range of different devices.
Currently, Xbox Cloud Gaming is only available on mobile devices and PCs. Now Microsoft is planning to bring it to consoles. It also plans to launch cloud-based games on TVs through partnerships with manufacturers and its own dedicated streaming dongles.
Microsoft unveiled the release window for cloud gaming on consoles at the Gamescom video game show. The event normally takes place in Cologne, Germany, but only went live this year due to the coronavirus pandemic.
Its Japanese rival Sony is also betting on services through its PlayStation Plus subscription offer, which gives players access to online multiplayer and a selection of free games each month.
But the company mainly touts its blockbuster exclusive games in an attempt to attract consumers. Blockbuster franchises like The Last of Us and God of War, for example, can only be found on PlayStation platforms.
However, Microsoft has spent more aggressively on exclusive content lately. Last year, the company acquired Bethesda, the iconic video game publisher behind franchises like The Elder Scrolls and Fallout, for $ 7.5 billion.
Video games enjoyed a boom year in 2020, as people turned to home entertainment during Covid lockdowns. It’s now a $ 180 billion industry, according to IDC market analysts. As various countries lift their pandemic restrictions, it remains to be seen whether the momentum can continue.
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