Microsoft is reportedly working on a "hybrid" Xbox platform that combines the power of the client and the cloud to deliver immersive gaming experiences, according to leaked documents.
Leaked documents reveal that Microsoft underestimated the success of Baldur's Gate 3, referring to it as a "second-run Stadia PC RPG," but the game has proven to be a major hit.
Microsoft's court document leak revealed plans for new consoles, a new controller, and a list of game projects, with Xbox chief Phil Spencer stating that Nintendo could be Microsoft's best bet for consumer relevance in gaming.
Microsoft's leaked documents reveal discussions of the company considering acquisitions of Nintendo, Valve, and Warner Bros. Games, as well as potential remasters of Bethesda's Oblivion and Fallout 3, and the majority of Xbox gamers using the lower-powered Series S console.
Microsoft is looking into bringing the Xbox to other form factors, including a "Cloud Device" and a "Handheld" similar to the Steam Deck, potentially using ARM with a thin client OS and custom-designed silicon.
Microsoft is one step closer to acquiring Activision Blizzard after UK regulators accepted their concessions on cloud gaming, a move that is seen as a brilliant strategy similar to Netflix's business model by industry experts.
Console strategy gaming has seen a surge in popularity and success, marked by the release of games like Halo Wars and the porting of PC classics such as Age of Empires 2 to Xbox platforms, as hardware advancements and a shared understanding of controller use make strategy games more accessible to console players.
Microsoft is making strides in artificial intelligence and gaming, with plans to unveil its own AI chip and finalize the $69 billion acquisition of Activision Blizzard, solidifying its position as a global technology leader.