Amidst the flood of information emerging from the FTC v Microsoft legal proceedings, one revelation stands out – Xbox’s ambitious acquisition aspirations. Unredacted emails have brought to light how Xbox, under Phil Spencer’s guidance, seriously contemplated acquiring giants such as Nintendo, Valve, and Warner Bros. Games.

Setting Eyes on Nintendo and Valve

In these correspondences, Xbox chief Phil Spencer expressed a strong interest in acquiring Nintendo. He referred to Nintendo as the “prime asset” in the gaming sector for Xbox. However, he was pragmatic, realizing the challenges that lay ahead, mentioning, “I don’t see an angle to a near-term mutually agreeable merger of Nintendo and MS.” He was also cautious against any hostile acquisition strategies, believing in the benefits of a long-term strategy. Spencer highlighted that the Microsoft board of directors was well-informed about the acquisition prospects of both Nintendo and Valve and was supportive.

Other Prospective Acquisitions

Furthermore, Phil Spencer revealed, “Confidentially we have two fairly active M&A discussions in gaming right now, Warner Brothers Interactive and ZeniMax.” While we now know that Microsoft went on to acquire ZeniMax, leading to exclusivity for games like Starfield and Redfall on Xbox, the discussions regarding Warner Bros. Games did not lead to an acquisition.

Though Spencer’s aspiration to merge with Nintendo is evident, he did stress the importance of patience, emphasizing the “long game.” He expressed a belief that acquiring Nintendo would not only be a significant milestone in his career but also beneficial for both parties involved. Despite this, given the regulatory pushback from the Activision Blizzard King acquisition, the probability of acquiring major players like Nintendo and Valve remains questionable.

Peek into Future Xbox Console Plans

Beyond acquisition strategies, the leaked documents have also provided insights into Xbox’s future console plans. Xbox appears to be preparing for a mid-generation refresh for the Series X, which will be exclusively digital, eliminating the disc drive. Additionally, this new model will come equipped with 2TB of storage. Interestingly, despite these features, the price point will remain unchanged as the hardware specifications do not surpass the current model.

This revamped console is projected to make its debut in October of the following year. Gamers can also look forward to a new controller named ‘Sebile,’ incorporating advanced features like gyro and haptic feedback.

In Conclusion

The revelations from the FTC v Microsoft case have provided a unique window into Xbox’s strategic thinking and future plans. While the acquisition strategies around giants like Nintendo and Valve raise eyebrows, it is clear that Xbox under Phil Spencer’s leadership has ambitious plans to expand and innovate in the gaming space. The upcoming console plans further underscore Xbox’s commitment to providing enhanced gaming experiences to its user base. Whether these acquisition discussions will bear fruit remains to be seen.

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