WEBVTT - Xbox Game Studios Chief Matt Booty on Showcase Success, Game Pass Strategy, More ‘Fallout’ and Studio Closures 0:00:07.280 --> 0:00:11.400 Welcome the Strictly Business Variety's weekly podcast featuring conversations about 0:00:11.400 --> 0:00:14.520 the business of media and entertainment. I'm senior business writer, 0:00:14.680 --> 0:00:18.600 TV and Video games Jennifer Moss. Microsoft's Xbox is taking 0:00:18.600 --> 0:00:22.160 a victory lap after an impressive Game Showcase presentation at 0:00:22.200 --> 0:00:25.200 the David Geffren Theater in Los Angeles on June tenth. 0:00:25.440 --> 0:00:27.680 The show was anchored by the reveal of Call of 0:00:27.720 --> 0:00:31.120 Duty Black Ops six, followed by major announcements from titles 0:00:31.240 --> 0:00:35.919 across Xbox Game Studios, eluding the DEZDA, Activision, and Blizzard, 0:00:36.200 --> 0:00:38.760 as well as third party titles. Here to talk about 0:00:38.760 --> 0:00:41.080 the highlights from the show and the inner workings at 0:00:41.280 --> 0:00:45.479 Xbox post Activision acquisition is Matt Booty, head of Xbox 0:00:45.520 --> 0:00:56.720 Games Studios. 0:00:58.360 --> 0:01:02.200 Thank you, Matt for joining us today. I so appreciate 0:01:02.280 --> 0:01:06.399 your time after the long weekend we had at showcase. 0:01:06.760 --> 0:01:08.720 Yeah, well, thank you very much for the opportunity to 0:01:08.720 --> 0:01:10.760 be here. It's great to talk with you, and thank 0:01:10.800 --> 0:01:13.520 you for making time this past weekend to come to 0:01:13.520 --> 0:01:17.000 the showcase. What did What were your impressions after actually 0:01:17.000 --> 0:01:17.680 seeing the show. 0:01:17.959 --> 0:01:19.920 I was actually going to start off by asking you 0:01:19.959 --> 0:01:22.880 to give yourself a grade, and then I will give you. 0:01:22.800 --> 0:01:26.399 Mark, Okay, we can what. 0:01:26.440 --> 0:01:30.200 The internal judgment has been on how well how you 0:01:30.280 --> 0:01:31.240 all did well. 0:01:31.959 --> 0:01:34.319 First and foremost, I'm just very proud of our teams. 0:01:34.800 --> 0:01:38.399 You know, these trailers and these demos take quite a 0:01:38.400 --> 0:01:40.679 while to put together. I think, as you and I discussed, 0:01:41.120 --> 0:01:44.760 we actually start the process in December, you know, getting 0:01:44.800 --> 0:01:47.320 ready for the show here in June, so there's an 0:01:47.319 --> 0:01:49.920 awful lot of work. Very proud of our teams and 0:01:49.960 --> 0:01:53.280 the quality that they delivered. The breadth of content that 0:01:53.440 --> 0:01:57.000 was on display there was just fantastic. If I go 0:01:57.800 --> 0:02:01.360 on based on fans reactions and some of the press 0:02:01.360 --> 0:02:03.840 reactions that I've seen out there, I would say that we, 0:02:04.120 --> 0:02:07.120 you know, deserve a pretty positive grade. It's always a 0:02:07.160 --> 0:02:11.720 big source of that's energizing, it's inspiring. It's just so 0:02:11.840 --> 0:02:15.120 great for our teams to see the reactions. This morning, 0:02:15.160 --> 0:02:17.720 I was watching a compilation of some of the reactions 0:02:17.760 --> 0:02:20.680 to the Gears of War trailer and was so great 0:02:20.680 --> 0:02:23.040 to see the fans really resonating with the approach that 0:02:23.080 --> 0:02:26.639 we've taken there. So I think internally we feel positive 0:02:26.639 --> 0:02:29.040 about it. Of course, you know, now it is so 0:02:29.080 --> 0:02:32.240 important that we execute. Well, we've got twelve months an 0:02:32.240 --> 0:02:34.640 amazing lineup of games, but you know, at the end 0:02:34.639 --> 0:02:36.919 of the day, it's about shipping those games and making 0:02:36.960 --> 0:02:38.799 sure they're great, making sure that we live up to 0:02:38.840 --> 0:02:41.640 the expectations of the fans and that we deliver them 0:02:41.680 --> 0:02:44.959 on time. So a little bit of a break to 0:02:45.000 --> 0:02:46.959 be proud, and then I think it's back to work 0:02:46.960 --> 0:02:47.520 for all of us. 0:02:48.080 --> 0:02:51.720 All right. I agree with your assessment. I will say 0:02:52.639 --> 0:02:55.240 going in, I did not expect as much as I saw, 0:02:55.280 --> 0:02:57.880 and that's a positive thing. I really thought, you know, 0:02:57.960 --> 0:03:00.760 this is going to be mainly call of duty, and 0:03:01.080 --> 0:03:02.239 we're going to get a lot, and we're going to 0:03:02.280 --> 0:03:03.800 see a lot of good stuff, and that's the revealed 0:03:03.840 --> 0:03:06.640 call of duty. But the sheer number of other things 0:03:06.680 --> 0:03:10.160 that came out of it high level and it was 0:03:10.240 --> 0:03:11.760 just a lot. I'll say that it was a lot, 0:03:11.800 --> 0:03:13.600 and it was a lot of good stuff too, not 0:03:13.760 --> 0:03:16.799 just dumping a bunch of stuff on. And I am 0:03:16.840 --> 0:03:19.160 not the only one. I mean, obviously you've seen there's 0:03:19.200 --> 0:03:23.519 headlines that this is Microsoft's best showcase ever, this is 0:03:23.600 --> 0:03:26.960 microsoft best showcase in years, and so I wanted to 0:03:27.000 --> 0:03:29.720 know just coming up, like you had said, we talked 0:03:29.720 --> 0:03:32.080 about in December is really when you start this. But 0:03:32.200 --> 0:03:34.960 what kind of led to this convergence of having this 0:03:35.120 --> 0:03:39.320 number of high level announcements, first looks, gameplay footages to 0:03:39.440 --> 0:03:42.040 show at this time because some years are drier than others, 0:03:42.360 --> 0:03:44.400 and this was just so much at once. And I 0:03:44.440 --> 0:03:47.000 want to know if you were pushing to get things 0:03:47.040 --> 0:03:49.160 ready in time, if there's things that you maybe would 0:03:49.200 --> 0:03:51.560 have held but chose to announce just to give it 0:03:51.600 --> 0:03:55.080 an extra push. What made this showcase so impressive because 0:03:55.120 --> 0:03:57.839 it wasn't just Black Offs, which was the big star 0:03:57.960 --> 0:03:58.400 going in. 0:03:58.720 --> 0:04:01.320 Now, that's so hepeful question, and I have a few 0:04:01.360 --> 0:04:03.800 good things in there to talk about. I think, first 0:04:03.840 --> 0:04:07.960 and foremost, this was our first opportunity for all of 0:04:07.960 --> 0:04:14.440 our studios across Xbox Game studios, across the studios inside Zenomax, Bethesda, 0:04:14.560 --> 0:04:17.080 and then of course Activision and Blizzard to really come 0:04:17.120 --> 0:04:20.560 together in one moment. And so I think the some 0:04:20.760 --> 0:04:23.039 of the critical mass that we had, some of the 0:04:23.080 --> 0:04:26.400 excitement about the number of games that we're able to 0:04:26.440 --> 0:04:29.039 show and the quality really is a reflection that this 0:04:29.160 --> 0:04:31.400 is the first time that our teams have been able 0:04:31.480 --> 0:04:34.920 to come together. We also and you hinted at this 0:04:35.560 --> 0:04:39.680 are beginning to hit the rhythm that we've always aspired for, 0:04:39.800 --> 0:04:42.360 and that really is our commitment to our players of 0:04:42.440 --> 0:04:45.520 being able to deliver a much more steady cadence of 0:04:45.560 --> 0:04:50.120 games on a more predictable rhythm. And we started really 0:04:50.240 --> 0:04:54.400 in earnest with acquiring and building out our studios portfolio 0:04:54.440 --> 0:04:57.120 in twenty eighteen, and then we had the wonderful Zenmax 0:04:57.160 --> 0:05:01.680 Bethesda acquisition in twenty twenty one, TI twenty two, and 0:05:01.720 --> 0:05:05.120 then you know, last fall bringing on board Activision, Blizzard 0:05:05.200 --> 0:05:07.600 and King. But it has taken a while to sort 0:05:07.640 --> 0:05:10.320 of get all of that up to speed. And in 0:05:10.360 --> 0:05:13.040 the midst of that, of course, we, you know, all 0:05:13.040 --> 0:05:15.520 of us went through COVID, which certainly had some ups 0:05:15.560 --> 0:05:18.599 and downs in the industry, you know, across not just games, 0:05:18.640 --> 0:05:21.760 but all of entertainment. So I feel like this is 0:05:21.880 --> 0:05:25.080 us beginning to hit our stride. And one of the 0:05:25.120 --> 0:05:29.000 things that I am encouraged by is that I look 0:05:29.080 --> 0:05:32.040 forward to the future of next year that we are 0:05:32.040 --> 0:05:35.440 in position to hopefully deliver also a great lineup and 0:05:35.480 --> 0:05:38.520 a great showcase next June. And one of the things 0:05:38.920 --> 0:05:41.320 that I read an article that someone pointed out is 0:05:41.360 --> 0:05:44.560 that it's interesting that this was a year that we 0:05:44.640 --> 0:05:48.400 didn't have some of the traditional heavy hitters from Xbox, 0:05:48.440 --> 0:05:52.080 like Halo, like Fortsa, And of course we've got teams 0:05:52.120 --> 0:05:55.159 working on those projects and we've got a lot of 0:05:55.160 --> 0:05:57.520 cool stuff to share when the time is right. But 0:05:57.800 --> 0:06:02.360 the fact that we deliver heard hopefully a critical, massive 0:06:02.400 --> 0:06:05.919 excitement and it didn't depend on those things that we 0:06:06.000 --> 0:06:09.080 historically go to. I think it's just a good indicator 0:06:09.120 --> 0:06:11.640 and a good sign that we're going to be able 0:06:11.680 --> 0:06:13.640 to can you know we've hit that stride and then 0:06:13.680 --> 0:06:15.400 we're going to be able to continue deliver it that 0:06:15.440 --> 0:06:18.000 cadence going forward, doing. 0:06:18.000 --> 0:06:21.039 In the Dark Ages, Gears of Work, et Ay, Fable, 0:06:21.920 --> 0:06:25.520 a lot of big IP, a lot of very beloved 0:06:25.560 --> 0:06:29.960 fan ip. Some were given release dates, some weren't, and 0:06:30.200 --> 0:06:32.560 some we just have a target of, like twenty twenty five, 0:06:33.520 --> 0:06:36.160 And I wanted to know, you know the release date 0:06:36.279 --> 0:06:39.400 Jenga that goes on here and what you're holding back 0:06:39.480 --> 0:06:42.640 either because you don't know yet or because you are 0:06:42.680 --> 0:06:47.040 specifically waiting for other people to make choices like exactly 0:06:47.080 --> 0:06:49.520 when GTA six will be released next fall. 0:06:50.000 --> 0:06:53.280 Well, I think many across the industry. Of course you're 0:06:53.279 --> 0:06:56.480 going to plan around GTA six and we're all looking 0:06:56.520 --> 0:06:59.240 forward to that game, which you know should be amazing 0:07:00.320 --> 0:07:03.839 for us, excuse me, for us. I think the issue 0:07:04.600 --> 0:07:09.240 is as much making sure that we don't step on ourselves, right. 0:07:09.279 --> 0:07:12.160 We have a pretty big portfolio, We have a pretty 0:07:12.200 --> 0:07:15.760 big lineup through the fall and through the spring, and 0:07:16.000 --> 0:07:19.280 we certainly want to make sure that every game is 0:07:19.440 --> 0:07:23.080 given space and has got an opportunity to shine, and 0:07:23.120 --> 0:07:26.440 we don't end up overshadowing one game by launching it 0:07:26.480 --> 0:07:31.679 too close to another. So when we leave actual months 0:07:31.680 --> 0:07:34.720 and days of the month sort of open ended, that 0:07:34.800 --> 0:07:36.400 has as much to do with the fact that we 0:07:36.440 --> 0:07:38.640 are looking ahead and making sure that we do the 0:07:38.680 --> 0:07:40.840 right planning so that we're not getting in our own 0:07:40.880 --> 0:07:44.000 way right. Certainly, everybody in the industry wants to make 0:07:44.040 --> 0:07:47.520 sure that we don't land in the shadow of someone 0:07:47.520 --> 0:07:50.920 else's big release, But we just need to keep options 0:07:50.960 --> 0:07:53.440 open as we sort of look to optimize. How do 0:07:53.480 --> 0:07:55.960 we make sure that every game gets its appropriate day 0:07:55.960 --> 0:07:58.120 in the sun, And that's pretty important to us. The 0:07:58.160 --> 0:08:00.520 other thing is that we really want to make sure 0:08:00.560 --> 0:08:03.920 that when we declare a date that we're committed to that, 0:08:04.440 --> 0:08:08.160 and certainly within a year, within six months when we 0:08:08.200 --> 0:08:10.320 declare a date, you know, we want to get much 0:08:10.360 --> 0:08:12.360 better that we're really living up to that and we're 0:08:12.360 --> 0:08:15.920 accountable to that. You know, games, like a lot of entertainment, 0:08:15.960 --> 0:08:17.760 the further out you get, the harder it is to 0:08:17.800 --> 0:08:20.400 predict and you know, predict an actual date. So we 0:08:20.480 --> 0:08:23.040 just want to be in integrity that if something is 0:08:23.400 --> 0:08:25.960 further out than a year, that we're not trying to 0:08:26.000 --> 0:08:28.920 create sort of a false precision about when we can 0:08:28.960 --> 0:08:32.400 deliver that game. But conversely, the closer we get, we 0:08:32.440 --> 0:08:34.000 actually want to you know, we really want to be 0:08:34.000 --> 0:08:37.600 accountable to our fans and be accountable to the industry 0:08:37.640 --> 0:08:38.880 on when we're going to be able to ship. 0:08:39.960 --> 0:08:42.640 Going back to Black Op six, it was great to 0:08:42.800 --> 0:08:44.960 get to sit down with those guys here everything that 0:08:45.000 --> 0:08:48.000 they haven't been able to say before, and know what's 0:08:48.040 --> 0:08:50.440 been going on behind the scenes. One of the things 0:08:50.440 --> 0:08:53.640 that I discussed uh with them a little more was 0:08:53.760 --> 0:08:57.120 about intelligent play and about making it a little bit 0:08:57.160 --> 0:09:00.840 easier for people who are not used to call Black Ops, 0:09:01.040 --> 0:09:03.439 used to this kind of game in general, to play 0:09:03.480 --> 0:09:06.000 the game and to enter the game, and you and 0:09:06.000 --> 0:09:09.440 I talked a little bit about this already, but going 0:09:09.480 --> 0:09:13.160 into the idea of accessibility for new gamers and bringing 0:09:13.160 --> 0:09:16.679 in people while at the same time not making something 0:09:16.880 --> 0:09:20.160 too easy for people who are well versed in this game, 0:09:20.280 --> 0:09:23.080 for players who do not need that going in. I 0:09:23.120 --> 0:09:26.400 want to ask about that for Black Ops specifically, but 0:09:26.720 --> 0:09:30.120 also just how Microsoft is looking at that across its 0:09:30.160 --> 0:09:31.000 studios right now. 0:09:31.320 --> 0:09:33.480 Yeah, well, certainly I would start high level. I mean, 0:09:33.760 --> 0:09:37.560 gaming is in such a different place in pop culture 0:09:37.960 --> 0:09:40.360 and entertainment and in the world than it was say 0:09:40.400 --> 0:09:42.920 five or ten years ago. You know, it's bigger, it's 0:09:42.960 --> 0:09:46.840 become more popular, it's certainly more accessible, more diverse than ever, 0:09:47.960 --> 0:09:50.840 and in many ways we compete directly with more what 0:09:50.840 --> 0:09:53.679 I would call traditional entertainment. I think the thing that 0:09:53.720 --> 0:09:56.840 we're all working on is how do we grow those 0:09:56.880 --> 0:10:02.400 audiences and how do we bring more people into existing franchises, 0:10:02.679 --> 0:10:05.040 And you know, you mentioned how are we doing that, 0:10:05.240 --> 0:10:07.120 you know, on a Call of Duty and on Black 0:10:07.120 --> 0:10:10.439 Ops six. It is a topic that also plays out 0:10:10.440 --> 0:10:13.520 with something like Minecraft and something we just celebrated the 0:10:13.559 --> 0:10:18.040 fifteen year anniversary this summer. And while Minecraft can be 0:10:18.080 --> 0:10:21.000 seen as visually simple and is very appealing. There are 0:10:21.040 --> 0:10:23.600 parts of it where there is still a fair barrier 0:10:23.640 --> 0:10:26.000 to entry if you've never played the game before. So 0:10:26.000 --> 0:10:28.559 I think all of our teams, including the Call of 0:10:28.679 --> 0:10:32.640 Duty team, are looking at how can we provide what 0:10:32.679 --> 0:10:38.760 I would call user adjustable, user customized on ramps that 0:10:38.840 --> 0:10:42.520 provide a way to get into the franchise. You know, 0:10:42.559 --> 0:10:46.280 franchises have been around for ten or twenty years. They 0:10:46.360 --> 0:10:51.000 sort of collect a lot of institutional sort of lore 0:10:51.280 --> 0:10:54.120 and a lot of institutional understanding about how to play 0:10:54.160 --> 0:10:56.840 the game, and at times it can be intimidating coming 0:10:56.880 --> 0:10:59.280 into a game, and that can be everything from game 0:10:59.360 --> 0:11:03.440 mechanics to making sure even that we do a very 0:11:03.440 --> 0:11:06.520 smart job of how we put together our multiplayer matches. 0:11:06.760 --> 0:11:08.640 You know, one of the things that we use AI 0:11:08.840 --> 0:11:11.320 for is to make sure in a game like Years 0:11:11.320 --> 0:11:13.520 of War that if you're in a multiplayer game, you 0:11:13.559 --> 0:11:16.319 are matched up with someone who is an equal skill level. 0:11:16.480 --> 0:11:18.480 You know, there's nothing more frustrating to be new to 0:11:18.520 --> 0:11:21.120 a game. You get dumped into a multiplayer match with 0:11:21.200 --> 0:11:23.600 somebody and you just you know, you survived for a 0:11:23.600 --> 0:11:25.840 few seconds. That's not a person who is going to 0:11:25.840 --> 0:11:28.640 become a new fan of a franchise. So I think 0:11:28.640 --> 0:11:32.000 it's important for us, as you point out, to not 0:11:33.120 --> 0:11:35.960 compromise the existing game. We don't want to water it down. 0:11:36.000 --> 0:11:38.000 We want to make sure that we provide a game 0:11:38.040 --> 0:11:41.080 that existing fans love. But all of our teams are 0:11:41.120 --> 0:11:44.040 focused on providing these more broad on ramps to how 0:11:44.080 --> 0:11:45.160 we can grow audiences. 0:11:47.120 --> 0:11:50.239 I was very excited to see this Skyline Valley expansion 0:11:50.280 --> 0:11:53.439 coming for follow Out seventy six, but with the immense 0:11:53.480 --> 0:11:57.480 popularity of Amazon's Followed TV series, I had suspected there 0:11:57.520 --> 0:11:59.240 might be a new game in the works that you 0:11:59.240 --> 0:12:01.760 would announced. So I'd like to know the thought process 0:12:01.760 --> 0:12:05.680 and decision making that goes into deciding to build on 0:12:05.760 --> 0:12:09.640 an existing game versus put a new game in the works. 0:12:09.920 --> 0:12:12.439 Not that I don't think you don't have something going on, 0:12:12.720 --> 0:12:16.120 or at least announce what the what the life cycle 0:12:16.200 --> 0:12:17.800 is of a game essentially. 0:12:17.640 --> 0:12:21.280 Well, that is such an insightful question and is just 0:12:21.400 --> 0:12:24.400 I would say, one of the core pieces of art 0:12:24.480 --> 0:12:27.200 that we wrestle with in the game industry and in 0:12:27.240 --> 0:12:31.160 game design, which is, for example, you've got a game 0:12:31.240 --> 0:12:35.160 like Minecraft, at some point, do you continue to evolve 0:12:35.200 --> 0:12:38.600 Minecraft and build on it and expand it, or do 0:12:38.679 --> 0:12:41.480 you at some point say we're going to pause, stop 0:12:41.760 --> 0:12:45.080 and we're going to make Minecraft two point zero, for example. Now, clearly, 0:12:45.080 --> 0:12:47.360 in the case of Minecraft, we have continued to build 0:12:47.760 --> 0:12:52.240 and grow on it. A game like forts a Horizon five, 0:12:52.720 --> 0:12:55.280 you know, it is the fifth iteration of the series, 0:12:55.320 --> 0:12:59.760 So clearly we're committed to ongoing discrete iterations of that 0:12:59.800 --> 0:13:03.840 game and that franchise. But even within that franchise, we 0:13:03.920 --> 0:13:07.480 have ongoing updates with DLC new content, and at some 0:13:07.559 --> 0:13:10.000 point you make a decision that we've sort of built 0:13:10.040 --> 0:13:13.160 all the content for that iteration and we're now going 0:13:13.240 --> 0:13:15.240 to move on to sort of the next discrete turn 0:13:15.280 --> 0:13:17.640 of the crank. In the case of Fallout, one of 0:13:17.640 --> 0:13:21.960 the great things that happened to coincide with the show 0:13:22.000 --> 0:13:25.120 on Amazon, which is fantastic and they've been great partners, 0:13:25.640 --> 0:13:28.320 is that there are just a number of ways that 0:13:28.360 --> 0:13:31.480 you can engage with the Fallout franchise. Right there's not 0:13:31.679 --> 0:13:34.360 just one game. There's Fallout four, there's Fallout seventy six, 0:13:34.400 --> 0:13:36.880 there's ongoing content for all of those. You can even 0:13:36.960 --> 0:13:40.160 go all the way back to og Fallout one. There's 0:13:40.200 --> 0:13:43.520 Fallout in New Vegas, so much like a franchise like 0:13:43.559 --> 0:13:46.559 say Star Trek or a Mission Impossible or a Star Wars, 0:13:46.720 --> 0:13:49.080 just a lot of ways that you can engage. To 0:13:49.120 --> 0:13:52.520 your question about how do we line up a game 0:13:52.600 --> 0:13:56.120 with a movie, that is one thing that has gotten 0:13:56.240 --> 0:13:59.720 very different in the last five to ten years, given 0:13:59.800 --> 0:14:03.480 that both games and movies have such long production cycles. 0:14:03.720 --> 0:14:06.760 You know, a major triple A video game can take three, 0:14:06.840 --> 0:14:09.600 four or five years to put together. You know, movies 0:14:09.640 --> 0:14:11.720 are in development for a long time before they actually 0:14:11.760 --> 0:14:14.600 start shooting, and then they've got their own schedules. So 0:14:14.960 --> 0:14:18.600 I think that when we can get linear media that 0:14:18.720 --> 0:14:21.920 lines up with an existing franchise that provides a lot 0:14:21.960 --> 0:14:24.640 of ways for a new audience to engage, that's the 0:14:24.680 --> 0:14:27.640 big win. I think it's much harder and probably more 0:14:27.720 --> 0:14:31.280 risky to try to think five years into the future 0:14:31.360 --> 0:14:33.200 how you might sync up a new game with a 0:14:33.240 --> 0:14:35.360 new new movie or a new TV show. 0:14:36.480 --> 0:14:40.080 Talking about among the announcements made one that I found 0:14:40.160 --> 0:14:42.520 that kept coming and coming coming as the titles were 0:14:42.560 --> 0:14:46.200 announced was we'll be available day and date Game Pass. 0:14:46.480 --> 0:14:48.800 And that's a really big deal to have a new 0:14:48.840 --> 0:14:53.440 title available immediately to those subscribe to game Pass plans, 0:14:53.520 --> 0:14:56.800 So asking about that choice and what that means, and 0:14:57.120 --> 0:15:00.000 what that means for Xbox and Microsoft's overall strategy push 0:15:00.120 --> 0:15:02.120 in game Pass and pushing the subscription model. 0:15:02.560 --> 0:15:06.680 You know, it really is a core part of what 0:15:06.720 --> 0:15:09.440 I would just call our Xbox promise. Right in the 0:15:09.600 --> 0:15:13.720 Xbox promises to the players are that our first party games, 0:15:13.760 --> 0:15:16.200 the games that our internal studios make, that those are 0:15:16.200 --> 0:15:19.040 going to be available on day one in game Pass. 0:15:19.120 --> 0:15:23.400 Right that you're going to have the availability of what 0:15:23.400 --> 0:15:27.160 we call Xbox Play anywhere where those entitlements are, both 0:15:27.200 --> 0:15:30.640 on console and on PC. That we've got a commitment 0:15:30.760 --> 0:15:33.120 to letting you play where you want, on the devices 0:15:33.120 --> 0:15:35.760 you want, which is why we support cloud streaming in 0:15:35.800 --> 0:15:38.040 a number of ways. You know, why we're looking at 0:15:38.040 --> 0:15:41.160 games that expand to mobile, and that really is part 0:15:41.200 --> 0:15:44.120 of that core promise. So when we get all of 0:15:44.160 --> 0:15:49.000 our internal studios committed to launching day one into game Pass, 0:15:49.320 --> 0:15:52.600 it's really kind of part of that overall tapestry of 0:15:52.680 --> 0:15:55.520 what we see as our ongoing promise going forward is 0:15:55.760 --> 0:15:57.160 you know, what is what does it mean to be 0:15:57.160 --> 0:15:59.960 an Xbox player and what is the Xbox promise? 0:16:01.120 --> 0:16:03.760 Talking a little more about game Pass. I'd love to 0:16:03.760 --> 0:16:06.800 know our results you've been seeing there since adding Diablo 0:16:07.040 --> 0:16:11.360 for and how you maybe have seen those results inform 0:16:11.480 --> 0:16:14.240 what you're moving forward doing with the day and date results, 0:16:14.280 --> 0:16:16.720 what you're really looking for end quote. What is a 0:16:16.760 --> 0:16:18.600 success on game Pass for you all? 0:16:18.880 --> 0:16:22.200 Yeah, Well, Diablo is an interesting one that we were 0:16:22.200 --> 0:16:24.320 watching because, of course it was a game that had 0:16:24.360 --> 0:16:28.440 previously launched right it had launched prior to the acquisition closing. 0:16:28.840 --> 0:16:32.120 But when we put the game into game Pass this 0:16:32.240 --> 0:16:35.960 past March, in terms of the number of hours and 0:16:36.000 --> 0:16:39.200 the number of players engaged, it was our biggest first 0:16:39.240 --> 0:16:42.640 party launch into game Pass ever. So what we saw 0:16:43.280 --> 0:16:48.320 was new players coming in, and we saw people coming 0:16:48.360 --> 0:16:50.920 in that had not played Diablo for So this was 0:16:50.960 --> 0:16:53.960 great for the franchise in terms of new players expanding 0:16:54.000 --> 0:16:57.160 that audience. And then we also saw, because of that 0:16:57.240 --> 0:16:59.800 new cohort of people coming in, overall engagement in the 0:16:59.800 --> 0:17:02.080 game going up. So that's sort of the best of 0:17:02.480 --> 0:17:04.640 both worlds for us, that we not only bring in 0:17:05.119 --> 0:17:09.640 new players, but that that influx of new players actually 0:17:09.680 --> 0:17:13.159 caused more excitement in the game and engagement across the 0:17:13.160 --> 0:17:16.800 board to go up. I think the number was roughly 0:17:16.880 --> 0:17:20.800 that we saw people playing over ten million hours in 0:17:20.840 --> 0:17:23.560 the game in the first ten days. So that is 0:17:23.920 --> 0:17:27.879 certainly something that we see as a success, But most importantly, 0:17:28.880 --> 0:17:31.040 I look at it as success for the game team. 0:17:31.400 --> 0:17:33.840 In other words, do they see it as being additive 0:17:33.880 --> 0:17:36.679 to what they're doing, do they see new players coming in, 0:17:36.720 --> 0:17:39.399 and do they see it generating growth and excitement in 0:17:39.480 --> 0:17:42.080 the franchise? And we certainly saw those things. 0:17:43.000 --> 0:17:44.520 Kind of opening it up to a little bit of 0:17:44.520 --> 0:17:48.159 a broader question about what marks a successful game for 0:17:48.200 --> 0:17:50.520 you all in general? What you see and you have 0:17:50.600 --> 0:17:54.359 games in different buckets, different areas, what is the measure 0:17:54.400 --> 0:17:56.600 of success or are there different measures based on the 0:17:56.640 --> 0:17:57.200 kind of game? 0:17:57.520 --> 0:18:01.159 Well, it really is unique to each game, and the 0:18:01.240 --> 0:18:05.640 underlying reason for that is that our portfolio covers such 0:18:05.680 --> 0:18:09.080 a diversity of game types and content. If you think 0:18:09.080 --> 0:18:13.280 about it, roughly, we have got three broad categories of content. 0:18:13.359 --> 0:18:15.800 I would say there are the sort of big pillars 0:18:15.840 --> 0:18:19.280 of games, the you know, the Call of Duty, There's Minecraft, 0:18:19.720 --> 0:18:23.800 you know, the Warcraft. Right then we've got games that 0:18:23.840 --> 0:18:27.879 I would say are our Triple A and sustained games, 0:18:27.880 --> 0:18:30.320 things like Sea of Thieves, things like forts a horizon 0:18:30.680 --> 0:18:34.359 that are predictable hits, are very ongoing games that have 0:18:34.359 --> 0:18:38.200 been successful like Elder Scrolls Online. Then there's a third category, 0:18:38.600 --> 0:18:41.840 which are games that are meant to push the art 0:18:41.920 --> 0:18:44.280 form forward, that are meant to show what our teams 0:18:44.320 --> 0:18:48.600 are capable of, right that bring brand Prestige two Xbox 0:18:48.640 --> 0:18:51.080 into game Pass, And I would put in that category 0:18:51.160 --> 0:18:54.359 smaller games like Pentiment and even hell Blade two that 0:18:54.400 --> 0:18:56.760 we just launched to you know, a lot of critical 0:18:56.800 --> 0:18:59.720 acclaim a number I think almost you know, a well 0:18:59.760 --> 0:19:02.680 over a dozen perfect scores for that game and really 0:19:02.720 --> 0:19:05.280 being called out as such a technical achievement. So within 0:19:05.359 --> 0:19:10.159 those categories of sort of the blockbuster pillars, the predictable hits, 0:19:10.280 --> 0:19:14.080 the frank, the ongoing franchises, and then the new ip 0:19:14.359 --> 0:19:16.640 and things that are meant to push forward the art form, 0:19:16.920 --> 0:19:20.040 each of those really have unique metrics in terms of 0:19:20.040 --> 0:19:22.520 how we measure success. You know, for a game like 0:19:22.600 --> 0:19:24.760 Call of Duty that is one of the biggest games 0:19:24.800 --> 0:19:27.919 on the planet where we make a significant investment in 0:19:27.960 --> 0:19:31.160 the development, they're going to have certain targets and certain 0:19:31.200 --> 0:19:33.399 goals of what we need, you know, to see for 0:19:33.440 --> 0:19:36.800 them to be successful. That's going to be different than 0:19:37.000 --> 0:19:40.080 a team like Ninja Theory that made a game like 0:19:40.160 --> 0:19:43.960 Helblad two with about one hundred people. Right, so every 0:19:44.440 --> 0:19:47.760 you know, every game is really looked at differently. But 0:19:48.000 --> 0:19:51.440 you know, we're committed to the teams and supporting them 0:19:51.440 --> 0:19:53.040 to make the best game they can. That's one of 0:19:53.040 --> 0:19:55.480 the first questions we ask is, you know, did they 0:19:55.560 --> 0:19:58.199 do the best that they're capable of doing? And I 0:19:58.240 --> 0:19:59.679 think in a lot of cases we can say that 0:19:59.720 --> 0:20:02.520 they did. And then are they supporting our devices? Are 0:20:02.560 --> 0:20:06.200 they supporting our services? And then are we again delivering 0:20:06.240 --> 0:20:08.680 back on what I would call that Xbox player promise? 0:20:08.960 --> 0:20:12.359 But there it's not a sort of fixed set of 0:20:12.400 --> 0:20:15.320 metrics that I could apply across such a broad portfolio. 0:20:15.960 --> 0:20:18.240 I'll be back with more from that after this break. 0:20:23.640 --> 0:20:27.320 Now that we've nerded out extensively about showcase, I would 0:20:27.400 --> 0:20:31.040 like to go back and just have you start a 0:20:31.080 --> 0:20:33.280 little bit by just breaking down what your day to 0:20:33.359 --> 0:20:36.080 day role is, how you got to this position. 0:20:36.680 --> 0:20:39.639 Yeah, well, I it's really a privilege. You know. I 0:20:39.680 --> 0:20:44.840 get to support the leaders who lead our studios and 0:20:44.920 --> 0:20:48.159 business units, which are you know, roughly broken down as 0:20:48.320 --> 0:20:51.880 Xbox Game studios, which are mostly based that leadership here 0:20:51.880 --> 0:20:55.399 in Redmond, and that includes things like Halo and Forts 0:20:55.480 --> 0:20:59.119 and Sea of Thieves and our smaller studios like Double 0:20:59.160 --> 0:21:02.360 Fine and come Pulsion Games. So there's Xbox Game Studios, 0:21:02.400 --> 0:21:06.399 then Zenemax Bethesda, another grouping of course, which includes you know, 0:21:06.480 --> 0:21:09.440 Todd Howard and his team who delivered Starfield and Elder 0:21:09.480 --> 0:21:13.240 Scrolls Online, the team making Indiana Jones the Great Circle. 0:21:14.000 --> 0:21:19.639 And then we've got uh, you know, Activision, which is 0:21:19.720 --> 0:21:23.040 really the sort of overall arching group for Call of Duty. 0:21:23.240 --> 0:21:25.840