Stuart emphasized that Game Pass, along with first-party games and advertising, is a high-margin venture for Microsoft. The company is focusing on substantial expansions in these sectors. The acquisition of Activision Blizzard is a significant step in this direction, expected to expedite Microsoft's growth in the gaming sector.
The acquisition also brings new opportunities in the advertising domain. With Microsoft now owning King, the developer behind the popular Candy Crush mobile game series, there are prospects for integrating advertising and microtransactions within their gaming services.
The initiative to introduce Game Pass to other console platforms is part of Microsoft's strategy to significantly enlarge the service's user base. The feasibility of this expansion depends on the willingness of competitors like Sony and Nintendo to integrate Game Pass into their ecosystems. Sony has previously shown reluctance to host similar services on PlayStation, citing the potential impact on the value offered to their user base.
Xbox Game Pass, offering subscribers access to a comprehensive library of games including Microsoft's first-party titles upon their release, could potentially include Call of Duty games starting from 2024. This follows the recent acquisition of Activision Blizzard by Microsoft.