Microsoft completely closes Xbox movie store, strategic focus returns to the main game business
Microsoft recently officially closed the movie and TV purchasing functions of the Xbox store, marking the end of this digital entertainment service that has lasted for more than ten years. This decision was not sudden, but a strategic choice for Microsoft to gradually divest its non-core business and refocus on its main game business. From the launch of Xbox One as a "family entertainment center" in 2013 but suffered a Waterloo, to the gradual weakening of entertainment functions of this generation of Xbox Series, to the complete closure of the film and television store now, Microsoft is completing a strategic transformation that lasts for ten years.
This transformation is the joint effect of multiple factors. With streaming platforms such as Netflix and Disney+ accounting for 95% of the digital film and television market, traditional on-demand services have gradually declined. At the same time, after 1,900 people layoffs this month, closing The Initiative studio, and cutting off projects such as "Perfect Darkness", Microsoft is focusing on developing core game IPs such as "Doom: Age of Darkness" and creating a pure gaming experience for the upcoming ROG Xbox Ally handheld console.
Although existing users can still access purchased content through the Xbox movie and TV app, considering the precedent of Microsoft's previous shutdown of Groove Music Service, it is recommended that film and TV enthusiasts use the Movies Anywhere service for cross-platform content management. Industry analysts generally believe that this marks that Microsoft has finally realized the reality that "competing with Sony and Nintendo depends on game content rather than entertainment ecosystem". At a time when competition in the game industry is in full swing, this strategic focus may bring new vitality to Xbox.