Microsoft Shifts to Make More of Its Own Video Game Software

Microsoft plans to increase investment in developing in-house video games, including starting or acquiring studios to do so, Xbox chief Phil Spencer said in an interview last week. That’s an about-face from its approach the past several years, during which Microsoft has shuttered studios, cancelled games, and faced criticism at an industry conference from gamers for its lack of hot first-party titles.



“We need to grow, and I look forward to doing that,” Spencer said. “Our ability to go create content has to be one of our strengths. We haven’t always invested at the same level. We’ve gone through ups and downs in the investment.” Historically some of Microsoft’s biggest sellers for Xbox have been games the company published itself, including the “Halo” and “Gears of War” franchises, but in recent years it has scaled back some in-house development, said Spencer, a 30-year Microsoft veteran who has spent the morning sipping tea from a “Gears of War” pint glass.

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