Phil Spencer: Japan is the most growing market for Xbox - Switch and PS users as part of Xbox community

Puff

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"Xbox is a community of players who can play on multiple devices"​

-- At the "Xbox Digital Broadcast" delivered in line with Tokyo Game Show 2023, you mentioned that the Xbox market in Japan and Asia is evolving. What particular aspects can be highlighted?

Phil: Looking at the Japanese gaming market over the past 10 to 20 years, its trends are very interesting. Firstly, mobile gaming has grown significantly in Japan. Also, the market for console games remains robust. Particularly, PC gaming is growing in Japan.

The current figures in Japan show that over the past three years, Xbox has been the fastest-growing market compared to any other country, region, or market. A lot of this growth is driven by PC. This indicates that the Xbox brand has been embraced by Japanese gaming enthusiasts across a variety of platforms including home consoles, PCs, and the cloud, which is very gratifying for us. We at Xbox, aspire to be a gaming brand that players choose regardless of where they are.
-- Support for Japanese creators, the production of XSS, and the enriched content of Xbox Game Pass also seem to contribute to the spread of XSX|S.

Phil: Yes, Xbox Game Pass holds significant importance in Xbox. Especially, the growth of PC Game Pass is remarkable. The size of the PC gaming market in Japan has about doubled over the past three years, whereas the user base of PC Game Pass has quadrupled. The growth of Game Pass is faster than the market growth, which is very good for the Xbox brand as a whole.
-- Is it possible that the number of Game Pass users exceeds the sales figures of hardware?

Phil: Good question (laughs). We consider everyone who plays, including Game Pass users, as Xbox users. Of course, many play on home consoles, but many also play on home consoles or PCs at home and on the cloud when on the go. This multi-device gameplay scenario raises a question, “Is Xbox a community of multi-device players?” I believe that Xbox is indeed a community of players who can play across various devices.

I travel and move around a lot, so I carry around an ASUS ROG Ally (a portable gaming PC released by ASUS in June), which I also consider to be Xbox. Of course, it can use Game Pass, and I play "Starfield" and "Lies of P" on it. My various save data is in the cloud, so I can transition screens and play anywhere. It becomes a community that I carry around with me. When I get home, I connect it to a large TV and play on a home console.
-- The demand for gaming PCs is growing in Japan, and Steam as a platform for playing games on PC is very well established. Steam could be a rival to Xbox as a platform, how do you feel about Steam?

Phil: Regarding Steam, I consider them a partner. They have been wonderful innovators in Windows gaming for many years, providing innovative technology. In that sense, not only ROG Ally, but I also consider Steam Deck as Xbox (laughs).
-- I imagine there might be requests from Japanese fans for more Square Enix titles to be available on Xbox Game Pass. Is it something they can look forward to?

Phil: At the fan festival in Las Vegas, I had the opportunity to talk on stage with the new President and CEO, Takashi Kiryu, and Yoshida-san (Naoki Yoshida). Kiryu-san mentioned that they will be providing more support for Xbox going forward, which I find very encouraging. Of course, we need to spend more time coordinating with Square Enix, but the support for "FFXIV" on XSX|S is very pleasing, and I think there are many exciting things to look forward to in the future.
-- From our conversation, it seems like the concept of forming an Xbox community not just on gaming consoles, but on the cloud is likely to become established in the future.

Phil: Both are important indeed. Firstly, regarding the hardware, I am very excited and looking forward to what can be achieved in the future. With respect to hardware, it's not just about merely aligning with what other companies are doing, but I believe there's something unique that can be offered to Xbox users. Just as I consider ROG Ally and Steam Deck as part of the Xbox community, it's necessary to consider the numerous Nintendo Switch and PlayStation users as part of the Xbox community going forward.

Similarly, including those who are playing on PC with Game Pass, it's important to ensure that everyone who continues to play Xbox games feels equal within the community. There are many things to work on.
 

Evilms

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Bryank75

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He may consider PS users as part he Xbox community....but we are not.

Also Sony better be watching Japan, they seem to take it for granted a lot. That one country is about 10 million console sales and potentially more if you actually try there..

But If Microsoft start buying publishers or use Steam as a trojan horse to move people away from PlayStation... that could hurt the brand a lot.

Make no mistake, that is what Microsoft are using PC for...as a Trojan horse against PlayStation and those fools are falling for it.
 

BroodCorp

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Starfield proved that given the game, ppl will play an Xbox title even if it’s on a non-Xbox device. So he’s kind of right here.
 
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Loy310

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He may consider PS users as part he Xbox community....but we are not.

Also Sony better be watching Japan, they seem to take it for granted a lot. That one country is about 10 million console sales and potentially more if you actually try there..

But If Microsoft start buying publishers or use Steam as a trojan horse to move people away from PlayStation... that could hurt the brand a lot.

Make no mistake, that is what Microsoft are using PC for...as a Trojan horse against PlayStation and those fools are falling for it.
If Sony struggles in Japan how far you think ms is gonna get?

Japan is handheld land, no hand held no cake for you.
 
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BroodCorp

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Even a broken clock is right twice a day
It’s not about being right, they own franchises not previously known as Xbox brands but now are. Anyone playing those games from here on out will be contributing to Xbox’s ecosystem.
 
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Airbus

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Meanwhile Sony, who don't care to communicate with their fans or the community in any relatable way, continue to subject us to hearing this pompous, egocentric, condescending, baseless drivel from a CEO with a manufactured "gamer" image.

Almost all gaming news stories featuring this dude is half the reason I barely want to discuss modern gaming anymore. It's all centered on him one way or another 🤢
 

Kokoloko

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He may consider PS users as part he Xbox community....but we are not.

Also Sony better be watching Japan, they seem to take it for granted a lot. That one country is about 10 million console sales and potentially more if you actually try there..

But If Microsoft start buying publishers or use Steam as a trojan horse to move people away from PlayStation... that could hurt the brand a lot.

Make no mistake, that is what Microsoft are using PC for...as a Trojan horse against PlayStation and those fools are falling for it.

Sony isnt watching anything lol. They are in lala land coasting off PS4’s success.
I hope the new leadership is gonna change things up and bring back some old School JPN Playstation along with the PS4 international success
 

On Demand

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It’s not about being right, they own franchises not previously known as Xbox brands but now are. Anyone playing those games from here on out will be contributing to Xbox’s ecosystem.

So MS unnaturally forced people into their ecosystem by way of spending billions on IP that’s not theirs that’s played on other platforms. Nothing to write home about.
 
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BroodCorp

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So MS unnaturally forced people into their ecosystem by way of spending billions on IP that’s not theirs that’s played on other platforms. Nothing to write home about.
Sorry, you’ve mistaken me as someone who cares about the moral through line of all this. I’m just voicing very obvious truths.