Still in conflict with the FTC, Microsoft admits having lost a battle simply to try to win the war.
Nothing is won for Microsoft which is still fighting to buy the Activision Blizzard studio for 69 billion dollars. If money is not a problem for the firm, the risk of monopoly puts a spoke in its wheels. Heard by the FTC, the American regulatory commission, Microsoft has provided a document that may allow it to do well.
No consoles but services
This reports on the situation on the hardware side, which is not necessarily looking good at Xbox compared to its competitors. Indeed, Microsoft readily admits losing the “console war” against PlayStation on the one hand, but also against Nintendo on the other hand, and this since the very beginning of Xbox consoles. In the document, we can read:
“Sony is the dominant player in the field of consoles. Sony’s PlayStation, for over twenty years and through five generations, has been the most popular console in the world and in the United States. Sony’s player base is as large as Xbox’s worldwide and larger in the United States.
The Xbox console has consistently ranked third (out of three) behind PlayStation and Nintendo in terms of sales. In 2021, Xbox’s market share was 16%, compared to XX% for Nintendo and XX% for PlayStation. Similarly, in terms of console revenue and the share of consoles currently used by gamers (installed base), Xbox ranks third with 21%, while PlayStation and Nintendo have respective shares of XX% and XX%.”
All shots are allowed ?
Some figures are missing, but the observation is clear. Xbox is actually very little present on the console market compared to PlayStation and Nintendo. If Microsoft exposes itself so much and admits its defeat in the field of hardware, it is to try to convince the FTC, reluctant to take over Activision for monopoly reasons, that the firm is still far behind its competitors despite this you might think. Nevertheless, what worries the authorities is the advance of Xbox in the field of cloud gaming and related services.
The console war has never had any secrets for gamers, who themselves admit that Microsoft’s machines are rather favored by a loyal public, in search of performance. Bringing the FTC’s attention to this aspect will surely reassure the authorities that the Xbox company is not about to dominate the industry with this takeover… according to it, at least.