- Satya Nadella in several interviews, since the intent to purchase Zenimax has been made known, that they intend to purchase more studios to expand their IP and content portfolio.
- Even as the Zenimax deal was being finalized, there were ongoing talks to purchase WB Game Studios from AT&T.
- Satya Nadella has a compensation incentive (reported as 5% of his compensation by Brad Sams) to grow gamepass.
- The previous market Xbox was trying to win over and serve was the console gaming market. In the past 2 years that goal has changed to trying to serve the entire 3 billion strong gaming market. To do that, they need more and varied content.
- Phil Spencer has come out specified a particular area of weakness as E rated content. This is an area that consists of a lot of bigger name players if they intend to get more known and popular commodities.
- The gamepass and xcloud service is reportedly launching on over 1 billion devices next year. With a major launch, they are likely to drop some pretty big news to secure subscriptions with this new launch.
- Gamepass subscriptions have grown at a steady pace and the service is now profitable.
- The 2021 SEC financial plan for Microsoft in the Xbox section indicates that they intend to acquire more IP and studios to produce content.
- Microsoft is flush with cash and money that is sitting in a bank for them is lost potential.
- There is more pressure than ever from others trying to enter this market that are buying up talented studios, notably, Amazon, Google and Tencent. A shocking number of studio purchases particularly by Tencent will likely make the decision process a faster one.
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