During a Wells Fargo summit last month, Microsoft Gaming CFO Tim Stuart suggested Xbox is seeking to bring Xbox Game Pass to competing platforms, such as PlayStation and Nintendo Switch. One of the scenarios for Xbox Game Pass expansion may include offering access in exchange for viewing advertisements. Windows Central reports: "For models like Africa, or India, Southeast Asia, maybe places that aren't console-first, you can say, 'hey, do you want to watch 30 seconds of an ad and then get two hours of game streaming?'," Stuart continued. "Africa is, you know, 50% of the population is 23 years old or younger with a growing disposable income base, all with cell phones and mobile devices, not a lot of high-end disposable income, generally-speaking. So we can go in with our own business models and say -- there's millions of gamers we would never have been able to address, and now we can go in with our business models."

Microsoft has previously surveyed Xbox users on the Xbox Insider Program and via other avenues about the possibility of offering Xbox Game Pass time in exchange for viewing advertisements. And recently, security researcher Title_OS shared some code snippets from the Xbox OS that described systems that would provide access to Xbox Game Pass via on an "Earned Time" basis, complete in 15-minute blocks.

The role-playing adventure game Baldur's Gate 3 won game of the year last night at The Game Awards 2023 in Los Angeles. The New York Times reports: It was the crowning achievement for a game based on Dungeons & Dragons that largely stayed under the radar during its six years in development by the Belgian company Larian Studios. But its summer release -- 23 years after its predecessor -- captivated gamers, who celebrated a robust character creator, deep narrative and branching paths that made it seem as though anything was possible in its fictional universe of vampires and elves. Baldur's Gate 3, which is available on the PC, the PlayStation 5 and the Xbox Series X|S, also went home with several other awards, including those for best role-playing game, best performance and best multiplayer.

The other nominees for game of the year were Alan Wake 2, by Remedy Entertainment; Marvel's Spider-Man 2, by Insomniac Games; Resident Evil 4, by Capcom; Super Mario Bros. Wonder, by Nintendo; and The Legend of Zelda: Tears of the Kingdom, by Nintendo.

Microsoft is talking to partners to help launch a mobile gaming store that will take on Apple and Google's dominant position in the business, according to Phil Spencer, who leads the company's Xbox video-game division. From a report: "It's an important part of our strategy and something we are actively working on today not only alone, but talking to other partners who'd also like to see more choice for how they can monetize on the phone," Spencer said in an interview in Sao Paulo during the CCXP comics and entertainment convention.

The executive declined to give a specific date for a launch of the online store, which earlier reports suggested could be next year. "I don't think this is multiple years away, I think this is sooner than that," he said. Microsoft earlier this year expanded its Game Pass subscription service for players on personal computers to 11 new Latin American countries, leading to a 7% increase in customers. Peru and Costa Rica are the standouts in terms of customer interest, accounting for almost half of new signups, Spencer said. Globally Brazil is the second-biggest market for the PC Game Pass. "In many ways Brazil leads a lot of the trends that we see globally," Spencer said.

According to Microsoft Gaming CEO Phil Spencer, the company is talking to partners to help launch a mobile gaming store that will take on Apple and Google. "It's an important part of our strategy and something we are actively working on today not only alone, but talking to other partners who'd also like to see more choice for how they can monetize on the phone," Spencer said in an interview in Sao Paulo during the CCXP comics and entertainment convention. From the report: The executive declined to give a specific date for a launch of the online store, which earlier reports suggested could be next year. "I don't think this is multiple years away, I think this is sooner than that,'' he said. [...] Microsoft's mobile store would also enter a challenging regulatory climate around smartphone-based digital marketplaces. Fortnite-maker Epic Games has sued both Apple and Alphabet's Google over their iOS and Android store practices, alleging they are unnecessarily restrictive and unfair. Apple doesn't allow competing stores on its iPhone and iPad platforms, and collects a 30% cut of sales for most purchases. Game makers have taken issue with the fees.

Epic lost its battle with Apple but in September asked the US Supreme Court to weigh in. Apple is also petitioning that court to reverse an order that would force the company to let developers steer customers to other payment methods. Epic is still in court fighting its case against Google, which does allow third-party app stores on its devices.The European Union's Digital Markets Act, which is just beginning to take effect, could force Apple to open up its app store ecosystem. Apple is challenging the regulation.

Microsoft may be able to use long-standing resentment against the market leaders to martial support for its store offering. Xbox's cloud gaming technology already lets users stream blockbuster games to mobile phones. "We've talked about choice, and today on your mobile phones, you don't have choice,'' Spencer said. "To make sure that Xbox is not only relevant today but for the next 10, 20 years, we're going to have to be strong across many screens." Earlier this week, Xbox CFO Tim Stuart said during the Wells Fargo TMT Summit that Microsoft wants to make first-party games and Game Pass available on "every screen that can play games," including rival consoles. "It's a bit of a change of strategy. Not announcing anything broadly here, but our mission is to bring our first-party experiences [and] our subscription services to every screen that can play games," Stuart said. "That means smart TVs, that means mobile devices, that means what we would have thought of as competitors in the past like PlayStation and Nintendo."

Microsoft wants to bring Xbox Game Pass to PlayStation and Nintendo. From a report: Xbox CFO Tim Stuart said during the Wells Fargo TMT Summit this week that the goal is to make first-party games and Game Pass available on "every screen that can play games," and this includes rival consoles. "It's a bit of a change of strategy. Not announcing anything broadly here, but our mission is to bring our first-party experiences [and] our subscription services to every screen that can play games," Stuart said. "That means smart TVs, that means mobile devices, that means what we would have thought of as competitors in the past like PlayStation and Nintendo."

Stuart said Game Pass is a "high margin" business for Microsoft, along with first-party games and advertising. These are all areas that Microsoft plans to expand into significantly in the time ahead, Stuart said. The executive added that buying Activision Blizzard helps Microsoft get there faster than it might have been able to on its own. For the advertising part specifically, the Candy Crush mobile game series from King -- which is now owned by Microsoft -- is deeply embedded with ads and microtransactions.

Ubisoft is blaming an unspecified "technical error" for a fullscreen pop-up ad that appeared in Assassin's Creed Odyssey this week. From a report: Reddit users say they spotted the pop-up on Xbox and PlayStation versions of the game, with an ad appearing just when you navigate to the map screen. "This is disgusting to experience while playing," remarked one Reddit user, summarizing the general feeling against such pop-ups in the middle of gameplay. "We have been made aware that some players encountered pop-up ads while playing certain Assassin's Creed titles yesterday," says Ubisoft spokesperson Fabien Darrigues, in a statement to The Verge. "This was the result of a technical error that we addressed as soon as we learned of the issue."

According to Reuters, Meta's head of augmented reality software is stepping down from his role. From the report: VP of Engineering Don Box announced the end of his tenure at Meta internally this week, without elaborating on what he would do next, according to a source familiar with the matter. A Meta spokesperson confirmed Box would be leaving the company at the end of this week and said he was doing so for personal reasons. There would be no change in product roadmap as a result of his decision, she added.

The departure of Box, a veteran engineer with experience building major technology systems from their infancy, could be a setback to progress on the operating system, a key component of Meta's AR glasses project, the source told Reuters. Meta has been planning to deliver a first generation of its AR glasses by next year, although those are meant to be used only internally and by a select group of developers, the source said. It aims to ship its first AR glasses to consumers in 2027. The Meta spokesperson declined to address the roadmap or whether the OS that Box's team was building would be in the first generation AR glasses. [...]

Meta initially hired Box in 2021 to chart a path forward after the failure of its XROS project, which aimed to create a unified custom operating system for its virtual reality headsets, Ray-Ban Stories smart glasses and planned augmented reality glasses, the source said. Box broke up the 300-person XROS unit into dedicated teams for each device line early last year and personally took over the team focused on AR software, according to both the source and Box's LinkedIn profile. Prior to joining Meta, Box had worked at Microsoft since 2002. In his final role at Microsoft, he ran engineering for mixed reality, which involved developing software for the HoloLens2 headset and related AR/VR services. Box is known for having led the creation of the Xbox One operating system and later heading Microsoft's core operating system group, which works across all Windows products.

Microsoft is partnering with Inworld AI to develop Xbox tools that will allow developers to create AI-powered characters, stories, and quests. From a report: The multiyear partnership will include an "AI design copilot" system that Xbox developers can use to create detailed scripts, dialogue trees, quest lines, and more. "At Xbox, we believe that with better tools, creators can make even more extraordinary games," explains Haiyan Zhang, general manager of gaming AI at Xbox. "This partnership will bring together: Inworld's expertise in working with generative AI models for character development, Microsoft's cutting-edge cloud-based AI solutions including Azure OpenAI Service, Microsoft Research's technical insights into the future of play, and Team Xbox's strengths in revolutionizing accessible and responsible creator tools for all developers." The multiplatform AI toolset will include the AI design copilot for scripts and dialogue, and an AI character engine that can be integrated into games and used to dynamically generate stories, quests, and dialogue.

Microsoft has changed its mind, the Verge reported Friday, and now will continue giving a free Xbox Game Pass Ultimate to most of its 238,000 employees, according to an announcement from Xbox chief Phil Spencer.

Earlier reports had suggested that Microsoft was removing the free Xbox Game Pass Ultimate benefit — and some employees weren't happy about it.

UPDATE (6/4/2023): Microsoft has changed its mind, the Verge reported Friday, and now will continue giving a free Xbox Game Pass Ultimate to most of its 238,000 employees, according to an announcement from Xbox chief Phil Spencer.

Earlier reports had suggested that Microsoft was removing the free Xbox Game Pass Ultimate benefit — and some employees weren't happy about it. From the Verge's earlier report: Sources familiar with Microsoft's plans tell The Verge that the company started informing employees this week that in January 2024 the free Xbox Game Pass Ultimate benefit for permanent Microsoft employees will no longer be available. I understand that Xbox employees will continue to keep the benefit, but the vast majority of Microsoft employees who aren't part of Xbox / Microsoft Gaming will see the benefit disappear next year.

Microsoft employees will be able to purchase a discounted 12-month Xbox Game Pass Ultimate Subscription at the company's internal store. Some Microsoft employees have taken to the company's internal messaging platform to voice their objections about the benefit being removed. The employee posts even prompted Xbox chief Phil Spencer to respond, noting that he wasn't aware of the changes and is looking into the situation.

In a significant development for Xbox users, the era of tinkering with your console to use unapproved accessories is drawing to a close. From a report: Xbox has taken a definitive stance by instituting a new policy that will block the use of unauthorized accessories with its consoles, effective as of November 17. This decision has already begun to reverberate amongst the gaming community, and many have already had a warning about it on their consoles in the form of error message 0x82d60002.

The error message states: "A connected accessory is not authorized. Using unauthorized accessories compromises your gaming experience. For this reason, the unauthorized accessory will be blocked from use on 11/12/2023. For help returning it, check with the store it came from or contact the manufacturer. To see authorized accessories, go to www.xbox.com/accessories. (0x82d60002)."

ZDNet reports an interesting static from Microsoft's CEO Satya Nadella. "We have over 1 million paid Copilot users in more than 37,000 organizations that subscribe to Copilot for business, with significant traction outside the United States."

And Microsoft's quarterly results also "showed early signs that the company's investments in generative AI were beginning to bolster sales, most notably reversing what had been slowing growth of the company's important cloud computing product," reports the New York Times. (Alternate URL here.) The company had $56.5 billion in sales in the three months that ended in September, up 13% from a year earlier. Profit hit $22.3 billion, up 27%. The results beat analyst expectations and Microsoft's own estimates.

Microsoft had told investors that A.I. wouldn't start producing meaningful results until after the start of 2024, when more products became widely available. The company and its competitors are racing to put generative A.I. into nearly every product they offer. Microsoft is seen by many companies as a leading A.I. provider, thanks to its partnership with — and $13 billion investment in — the start-up OpenAI, which introduced the chatbot ChatGPT almost a year ago. Microsoft's flagship cloud computing product, Azure, grew 29%, up from 26% in the previous quarter. About three percentage points of Azure's growth came from generative A.I. products, including the access Microsoft provides to OpenAI's GPT-4 language model, more than the company had told investors to expect.

More than 18,000 organizations are using Microsoft's Azure OpenAI services, Satya Nadella, the company's chief executive, said in a call with investors. He said that included customers who had not used Azure before. "Azure again took share as organizations took their workloads to our cloud," Mr. Nadella said... The company said that sales could increase as much as 8.7% in the current quarter, exceeding investor expectations, and that it was investing in building data centers to support the demand for A.I. and cloud computing...

Microsoft's personal computing business grew just 3%, to $13.7 billion, reflecting how consumer behaviors have shifted since the laptop-buying binges of the pandemic. The revenue of the Windows operating system installed on new computers was up 4%. Gaming provided a consumer bright spot, with Xbox content and services up 13%.
Next month Microsoft integrates its Copilot AI product into its Excel/Word/Teams "productivity suite" — but Microsoft CEO Satya Nadella said that 40% of Fortune 100 companies have already been testing the feature during its "limited preview", and "so far, so good."

Yet the article notes it isn't all good news for Microsoft. Investment bank UBS has told investors that while Microsoft integrated an AI-powered chatbot into its Bing search engine, there is "no evidence" that Bing has actually gained any search market share.

Google is adding some new features to the Google Play Games Beta on PC, its service that lets you play Android games on a PC, including support for 4K screen resolution on "supported monitors" and for popular console gaming controllers. From a report: Google detailed the updates in a blog post from Arjun Dayal, Google Play Games' director of product. With the new support for 4K, you can now pick your screen resolutions while in game. "Simply press Shift + Tab in any game to select from a menu of supported resolutions," according to Dayal. The game controllers that are now supported include the Xbox Series X / S controller, the Xbox One controller, Sony's DualSense controller for PS5, and its DualShock controller for PS4. Google isn't the only company that's making it easier to use your other controllers on its platform; Apple added iOS support for the DualSense and Xbox Series X controllers with iOS 14.5, while Valve rolled out DualSense support in Steam in 2020.

An anonymous reader quotes a report from PC Gamer: Whether you think Microsoft's recent acquisition of Activision Blizzard is a move toward a dry gaming monopoly or a financial windfall for Activision and Blizzard games both, it's definitely happened. The UK's CMA has given the thumbs up, Kotick's on his way out -- the deal's closed, and now we get to see the impact ripples spread. It looks like there's already some great news for fans of Activision Blizzard's older catalogue, as confirmed by Xbox boss Phil Spencer himself in an official interview on the Xbox channel. "I do think with Game Pass that we have the ability to pick a couple franchises every year and almost do like a 'revisited' [version] -- I just made up that term ... when you look across the franchises that are part of our teams, there's an opportunity to go back."

"I wanna make sure that when we go back and visit something that we do it with our complete ability not just create something for financial gain (or a PR announcement), and not deliver." Ultimately, while he's got his own wishlist (the return of FPS classic Hexen is a running gag), Spencer says it's important for these fresh coats of paint to be a result of developer passion: "If teams wanna go back and revisit some of the things we have, and do a full focus on it, I'm gonna be all in. I think there's an amazing trove of [games] we can go and touch on again. I think about things like the Quake 2 remaster that just came out from [id Software], I thought that was awesome. They did a real good job revisiting a game, making it current, but not leaving its history behind. I'd love to see more things like that."

Microsoft completed its $69 billion purchase of Activision Blizzard after a nearly two-year fight with global regulators threatened to scuttle the deal. From a report: The biggest-ever acquisition in the video game industry gives the maker of Xbox consoles a more formidable position against rivals, vaulting it from fifth to third place globally, behind Tencent Holdings and Sony Group. The acquisition is a stunning turnaround after Microsoft executives underestimated the magnitude and longevity of antitrust objections, forcing the software giant to seek a three-month extension of the deal's expiration period from Activision.

Microsoft was able to close after making alterations to its merger agreement to win over UK authorities. The US Federal Trade Commission, which lost an attempt to block the transaction in court, continues to pursue legal action in its own administrative hearing. That could still force the two companies to unwind the deal if the commission is successful. The UK's Competition and Markets Authority announced on Friday that it had approved the deal after accepting a restructuring plan involving selling some gaming rights to French publisher Ubisoft Entertainment SA. The regulator was concerned about preserving competition in the nascent market for games streamed via the cloud.

Microsoft could use board games to revisit dormant franchises owned by Xbox Game Studios, with Zoo Tycoon: The Board Game potentially being the first of many. From a report: Zoo Tycoon was developed by Elite: Dangerous studio Frontier Developments and published by Microsoft Studios (the previous name for Xbox Game Studios), on November 22, 2013 for Xbox One and Xbox 360. Speaking to Xbox Wire, Xbox Game Studios executive producer Robert Jerauld said this board game adaptation is a "prime illustration" of how Microsoft could expand its franchises that don't have video games in active development. "It's crucial to recognize that even if certain franchises aren't currently undergoing active development, they can still be actively appreciated by their fans," Jerauld said.

"Zoo Tycoon serves as a prime illustration of this. It presents a valuable chance for Microsoft to extend gratitude to the dedicated and ardent Zoo Tycoon fans who have worked tirelessly to sustain the game's enchantment. We acknowledge your dedication and deeply appreciate you." While Jerauld didn't say if he had any other dormant franchises in mind, Xbox certainly has a wealth to choose from. These could include Banjo-Kazooie, Viva Pinata, Blinx: The Time Sweeper, Project Gotham Racing, MechAssault and plenty more. There are some bigger names that haven't seen a release in a long time, of course, but many of these currently have sequels in development at Xbox.

Kotaku reports: A newly unsealed FBI indictment accuses a former analyst at Goldman Sachs of insider trading, including allegedly using an Xbox to pass tips onto his close friends. The friend group earned over $400,000 in ill-gotten gains as a result, federal prosecutors claim. "There's no tracing [Xbox 360 chat]," the analyst allegedly told his friend who was worried they might be discovered.

He appears to have made a grave miscalculation.

The FBI arrested Anthony Viggiano and alleged co-conspirator Christopher Salamone, charging them with securities fraud on September 28. Viggiano is accused of using his previous position at Goldman Sachs to share trading tips with Salamone and others. Salamone has already pleaded guilty. Bloomberg reports that this is the fifth incident in recent years of a person associated with the investment bank allegedly using their position to do crimes...

Probably best to keep the crime talk on Xbox to a minimum either way, especially now that Microsoft is using AI to monitor communications for illicit and toxic activities.
In a statement an FBI official said "This indictment is yet another example of individuals believing they can get away with benefiting from trading on material non-public information.

The next-generation of Meta Quest hardware is here, and Meta announced a bunch of software news alongside the Quest 3 VR headset hardware reveal at its Connect conference. One such announcement was the debut of Microsoft's Xbox Cloud Gaming service on Meta Quest 3, which is actually a huge boon for fans of the Facebook owner's mixed reality gear. From a report: The Xbox Cloud Gaming implementation in Quest resembles a lot of how Apple showed its own vision for mixed reality with the Vision Pro headset: It's primarily a virtual screen that can float in either a virtual or mixed reality space, which appears to be reposition-able and resizable, but which basically works exactly as you'd expect an Xbox game to work with a large TV. This is a key acknowledgement on the part of Meta that while immersive, native gaming is undoubtedly a draw for users, so too is a more traditional gaming experience that basically just benefits from taking place in your own private face-mounted theater.

Yesterday's massive leaks from the Microsoft vs. FTC case have a large swath of the gaming world expecting that a more powerful, disc-free Xbox Series X refresh could be coming as soon as next year. But Xbox boss Phil Spencer is warning that players shouldn't put too much stock in what he called "old emails and documents." ArsTechnica adds: "It is hard to see our team's work shared in this way because so much has changed and there's so much to be excited about right now, and in the future," Spencer wrote on social media late Tuesday. "We will share the real plans when we are ready." Spencer followed up that post with a memo sent to the Xbox team, apologizing for the unintentional disclosure of internal plans. "I know this is disappointing, even if many of the documents are well over a year old and our plans have evolved," the memo reads, in part. "I also know we all take the confidentiality of our plans and our partners' information very seriously. This leak obviously is not us living up to that expectation... That said, there's so much more to be excited about, and when we're ready, we'll share the real plans with our players."

While Spencer's statements are vague about who was responsible for the "unintentional disclosure" of Microsoft's plans, a representative for the FTC was quick to push the blame on the company itself. "The FTC was not responsible for uploading Microsoft's plans for its games and consoles to the court website," FTC Director of the Office of Public Affairs Douglas Farrar wrote early Tuesday. In a follow-up post, Farrar pointed to a court order resealing the leaked information (too late for it to prevent the spread of the information, of course), which notes that "Microsoft provided the link on September 14 and the Court uploaded the exhibits to [the] internet page established for this case." Further reading: Microsoft's Phil Spencer Says Acquiring Nintendo Would Be 'a Career Moment'
Microsoft's Next Xbox, Coming 2028, Envisions Hybrid Computing.

Microsoft is planning to refresh its Xbox Series X console in 2024 with an all-new design and features. The Verge reports: Codenamed Brooklin, the unannounced console refresh has been accidentally revealed in new FTC v. Microsoft documents this week. The new Xbox Series X design looks a lot more cylindrical than the existing console and will ship without a disc drive. Internal confidential Microsoft documents reveal it has 2TB of storage (up from 1TB), a USB-C front port with power delivery, and an "all-new, more immersive controller."

The new controller, codenamed Sebile, is set to be announced early next year for $69.99 and will include an accelerometer which should let you merely lift it to wake the gamepad. It has a two-tone color scheme and will support a direct connection to cloud, Bluetooth 5.2, and a presumably updated âoeXbox Wireless 2â connection. Microsoft also lists "precision haptic feedback" and "VCA haptics double as speakers" as specs for the controller. It will also have quieter buttons and thumbsticks, a rechargeable and swappable battery, and modular thumbsticks.

Inside the new Xbox Series X design, Microsoft is also adding Wi-Fi 6E support, a Bluetooth 5.2 radio, and the company is shrinking the existing die to 6nm "for improve efficiency." The PSU power will be reduced by 15 percent, according to Microsoft's document. Microsoft is targeting the same $499 launch price of the Xbox Series X. Microsoft lists a roadmap for this new Xbox Series X console and controller, alongside a refreshed Xbox Series S with 1TB of storage. Microsoft just launched a refreshed Xbox Series S in black, but there could be another refresh on the way in 2024 with Wi-Fi 6E support and Bluetooth 5.2. It will also include this new Xbox controller. [...] Microsoft is tentatively planning to launch this new Xbox Series S refresh next September, with the Xbox Series X refresh in November.