At this point, what I don't get is how they saw this happening and still pushed forward with the ABK acquisition.
Hey look at this downward spiral of a business that we have. Let's just throw SEVENTY BILLION DOLLARS at it.
Are Microsoft's execs idiots? What did they think was going to happen?
-Before the beginning of this generation Phil's plan to Satya was that streaming is the future for TV entertainment so why wouldnt that also translate to gaming? -So enter gamepass.
-Covid happens and subscription numbers raise exponentially, probably exceeding what they had planned for at the time.
-Phil also had access to daddys wallet because obviously game subscriptions and cloud was the future, and at the time i guess that couldve been believable. Especially to completely out of touch investors who dont have a clue about gaming.
-Somewhere while all of this is happening Phil and Booty are plotting on spending Sony out business with acquisitions.
-Enter Bethesda.
-2021 :Gamepass probably doing ok, PS5 shortages give the impression xbox is doing alot better than it should be doing
-2022: Enter ABK. PS5 shortages are ending, xbox had an abysmal software lineup, gamepass and xbox hardware starting to fall off a cliff now
-2023 :ABK deal is taking way longer than expected and is effecting the whole company, Xbox hardware falling like a rock, redfall and starfield both fail to grow game pass, FTC case drags all the big whigs into court.
ABK deal finally closes but now Xbox has spent so much money the bean counters are checking ever nook and cranny and find out how much its been smoke and mirrors all along. Gamepass and xbox hardware are missing targets by huge percentages and the entire business is unsustainable. Intrest rates and cash have also become more "expensive." Also since the dollar is so strong all business overseas now becomes more expensive as well, opposite for sony and nintendo since the yen is weak.
2024: Microosft CFO's hostile takeover xbox. Want to immediately go third party to recoup something as fast as possible.
Anyways theres alot more and i tried to cover the big ones but yeah. Bit off way more than they could chew and thats an understatement.