this post was submitted on 10 Aug 2026
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Shareholders: "Wow, Microsoft is really expanding by buying up those studios, promising great output for them in the future!". Line goes up.
Microsoft then does nothing except investing all of their money into AI.
Shareholders: "Wow, Microsoft is really streamlining their organisation by dumping all of those useless dead weight studios. Excellent management". Line goes up.
I absolutely hate how on the nose this is. sigh
TIL that this is a valid use of "on the nose" (definition 1). I was genuinely confused, I'm only familar with definition 2 there, "unimaginative; overliteral; lacking nuance; unsophisticated".
TIL about the second definition
We are the lucky ten thousand.
"Wow, I hate how on the nose this is". Line goes up.
"predictable investment"
Yeah. I would look at Microsoft's aquisition of studios as those studios exiting the space in the long term. Gaming is thriving but it's not the big studios, it's the myriad of indies and smaller games that are where the innovation and interest is. The monolithic AAA gaming space is in a crisis of it's own making - driven by shareholder demands and the view of games as nothing more than franchises to milk every year.
What I'm worried about is some of those greedy fuckhead parasites would start courting big indie studios and AA games and ruining a part of that scene
I assume that Microsoft is trying to appeal to two different groups of shareholders. The first sees Microsoft buying up studios and assumes that the studios will be able to put out better games cheaper (by firing support staff like HR). The second group sees Microsoft cutting low performing workers and assumes that Microsoft will be able to get more profits by cutting lots of cost without losing much income. If they time it right, they can get the second group to start buying just as the first group starts selling.