Xbox Could’ve Wound Down In 2021

It’s no secret that 2020 through the following year weren’t the greatest years for Xbox, but it turns out it acquiring studios was their alternative to winding the console down altogether. Now, we have to stress this as a rumor.

The rumor stems from the (paywalled) report from The Information (via Pure Xbox), basically Microsoft CEO Satya Nadella was put in a situation to either acquire studios or fold their gaming business altogether. Ultimately, he decided on the former in order to boost the subscriptions.

“In 2021, Microsoft CEO Satya Nadella faced a choice involving the company’s Xbox and cloud gaming business. The company could either acquire major game studios to drive more subscriptions to its nascent Game Pass subscription service. Or it could wind down its games business entirely, Nadella told two people at the time.

Nadella took the first path, acquiring Elder Scrolls maker Bethesda Studios for $7 billion in 2021 and Call of Duty maker Activision Blizzard for $75.4 billion in the fall of 2023.”

Man, this could’ve been a very different console generation, and frankly, could’ve led to an even more controlled console world if Xbox did, indeed shutter. That said, it’s still a hard to believe rumor.