Microsoft might be the platform holder currently storming the 'new-gen' hardware battlements, but it says it's all about games development not hardware.
"Game development is the core of what we do", said Alan Bowman, head of Xbox operations in Asia. "Microsoft is a software company by heart, and we will continue to work with our partners and by ourselves to develop new software for the market."
Bowman also said that there are no specific cost-cutting measures being implemented at Microsoft to deal with the global economic downturn.
Despite both those statements,
Microsoft recently decided to kill Ensemble Studios, the developer behind one of its upcoming AAA games -
Halo Wars. There would appear to be something of a mixed message there. Maybe Bowman missed a memo?
Perhaps Ensemble can take some solace in another of Bowman's statements. "Any global company needs to be mindful of their costs and money, but that's a combination of good internal controls and effective cost management." Ah, so that's fine then, Ensemble. You're just reaping the benefits of "good internal controls and effective cost management".
It would appear to SPOnG that while Microsoft will continue to work to "develop new software for the market", it's not prepared to do so in genres that fall outside its tried and tested comfort zone. We can't imagine that Bungie won't be seeing any more Microsoft money heading its way, after all.
Anyway, enough talk of Xbox's core business of games development. Microsoft expects to outpace broader market growth in games through 2009. By, you know, bringing in non-core gamers. "So what is really driving our growth momentum right now is how we are broadening our consumer base to include not only hardcore gamers but also individuals who would have previously not thought about buying a game console", said Bowman.
In Asia, October console sales were up 53% on September following price cuts. Microsoft also trumpeted its
sales performance in Europe and
North America for November.