Microsoft has been in the gaming industry since the turn of the century. Finally, it is important for the company financially.
Spencer, who joined Microsoft's senior management team together with Hood and CEO Satya Nadella last year, pointed out more investments the company has made in games recently, based on previous moves like the $ 2.5 billion Mojang acquisition. And its acquisition of game streaming company Beam, which has since been rebranded to Mixer.
"We have bought and started seven new first-party studios in the past year, obviously not without huge support from Satya and Amy." We understand that content is a critical part of what we are trying to build and support from the company has been huge. "
One of Microsoft's announced growth opportunities in the future is cloud-based gaming, which can make the technical constraints of consumer devices less important and reveal Microsoft's game content for wider consumption. Spencer talked loosely about his shoot-initiative, called Project xCloud, on Wednesday.
"We focus on an Android phone first because there are over a billion Android phones on the planet and it's a place that the content we've built over the last few decades on our platform has not been able to reach, "Spencer said.
This strategy is based on Microsoft's previous efforts to provide richer capabilities to Android. But Google, the company behind Android, has started working with shooters pill with project flow initiative, spencer said. And meanwhile, Amazon, the leader of the cloud infrastructure market, has its own gaming department, he said.
"We have several business models that will work with streaming, but the connection with streaming with the subscription model makes lots of sense," said Spencer. "You see it in music. You see it in video. So you can look at Project xCloud and you can look at something like Game Pass and you can see that there are natural synergies. "
On the stage, Barclays Spencer asked how Microsoft differs from game subscription offers from EA and Sony.
"For us, it's about how we reach 2 billion players," Spencer said.
"If you build the market around a few hundred million people who will own a game console or a high-end gaming PC, then your business model diversity actually limit because your customers are narrow. But when you think of a customer with this content, where their only computing device can be an Android phone, think about, well what are all the ways that the person pays for content if they do it today? "
Microsoft will bring its game Pass subscription service to PCs and eventually it will be available on all devices, Spencer said.