Xbox head says studio acquisitions are a ‘healthy part’ of games industry

It is no secret that Microsoft is constantly in acquisition mode at this point and is always keeping an eye out for studios that can bring additional value to Xbox Game Pass. After the Bethesda acquisition, a lot of people questioned whether larger publishers buying up studios is a good or bad thing. This week, Xbox head, Phil Spencer, weighed in on that debate.

In the weeks following E3, Xbox head, Phil Spencer, has been doing the rounds amongst the press, participating in various interviews and giving additional insight into the game development world. In Spencer's latest interview with IGN, he was asked about studio acquisitions and whether or not they are good for the industry, to which he explained that acquisitions are “a natural and healthy part” of business.

“Sometimes I see dialogue out in the industry about, ‘well, are acquisitions a good thing or a bad thing?’”, Spencer said. “I understand some of the sentiment from the community about whether these are a good thing or a bad thing when acquisitions happen”.

“But one thing I’ll put out there is, starting a new studio, starting any small business, frankly, is a very risky proposition, starting a video game studio is even more so. And if a team actually takes the risk of starting a new company, starting a studio, building that over years, building value in that, to say that they shouldn’t sell I think is just short-sighted.”

Spencer goes on to explain that “not every team has to end up selling their studio”, but adds that small business is a “risk-filled journey” in any field, not just the games industry.

KitGuru Says: Microsoft certainly caused a stir when it bought up Bethesda but I doubt we'll see another major publisher acquisition like that again any time soon. What do you all think of the recent trend of independent studios being acquired? 

Become a Patron!