Xbox's New Game Strategy Signals a Major Shift in Direction

Asha Sharma appears ready to put Microsoft's biggest franchises and studios at the center of Xbox's future, with an ambitious lineup that could help strengthen the brand ahead of its next-generation hardware.

It seems Xbox is pivoting its game-creation strategy, with a larger portfolio of key franchises and established studios that signal a more commercial focus on hit games. Microsoft has several highly anticipated projects in the works, with recent announcements that could shape the company’s future, especially as it prepares for its next generation of Xbox hardware.

These games include The Elder Scrolls Sentinel, Diablo I, StarCraft, Fizz Inge, OD, Fallout 3 Remastered, Fallout: New Vegas Remastered, and Fallout 5. The lineup also includes another Fallout title from Obsidian, Wolfenstein 3, a new id Software title that seems tied to Doom, and a Halo title from Activision.

The Fable footage shown recently also made headlines, but the wider range of shows suggests Xbox is increasingly looking to put its most recognizable properties back at the forefront.

These are either projects from well-known properties with huge commercial value, or projects from large development houses that can draw a lot of attention. That’s a noteworthy shift from the policy under former Xbox CEO Phil Spencer. Under his tenure, Microsoft pushed hard to acquire studios and give creators lots of creative freedom.

That mentality let teams try numerous concepts, but it also led to ventures that couldn’t quite connect with viewers or find a solid business niche. The issue is that certain initiatives were under development for too long, with little clear market potential. Xbox enabled studios to operate fairly independently, rather than exert more control or kill bad ideas sooner.

So while the business released a lot of games over the generation, it couldn’t translate that output into sustained economic success. Xbox seems to be taking a different approach under Asha Sharma's leadership. The studio doesn’t seem to want each studio to chase whatever idea it wants, but rather to put developers on existing franchises with name recognition.

One such example is Obsidian Entertainment, which apparently isn't moving forward with Avowed 2 and could instead develop a Fallout project.

Likewise, Microsoft’s investment in Kojima Productions indicates it’s eager to encourage big-name developers who can draw crowds. Xbox's decision to fund another id Software project also suggests it intends to keep building around established development talent. This principle could apply to other franchises like Halo and StarCraft.

Xbox fans have asked time and time again for the comeback of several dormant brands, with Banjo-Kazooie being one of the smaller franchises that comes up often. But one big question remains unanswered: Will these next titles be Xbox exclusives? If Microsoft uses key releases to convince people to buy its hardware, the plan could be far more effective.

Smaller games like Goalkeeper, Kiln and South of Midnight may not have the commercial pull to entice many people into the Xbox ecosystem. But games like Fallout 5 and The Elder Scrolls Sentinel might be so much more interesting. With Xbox Helix on the horizon, Microsoft’s ability to produce big exclusives could be key to its future success.