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Phil Spencer: Fewer 3rd party exclusive deals in future; 1st party is the focus

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Hahaha. Spencer saying that he wants to focus on first party titles instead of going after exclusive third party deals is simply because Rise of the Tomb Raider is going to bomb all things considered and get crushed by Fallout 4. Hell, I would be saying the same thing now too if I was him. What's truly funny is that he wasn't saying this pre-E3. I'm sure he was all hyped and happy that Rise of the Tomb Raider was no longer going to go head to head with Uncharted 4 but then Fallout 4 gets announced for the same day at E3 and it all went down the drain. And quite honestly, this is something that Spencer and Microsoft should have been concentrating and focusing on BEFORE acquiring Rise of the Tomb Raider to be a one year timed exclusive.

Im sure Microsoft were well aware of when Fallout 4 was shipping in advance of E3, they even have the marketing deal on it, I doubt it blind sided them.

See my post above about their first parties, they were expanding before this, if anything they've slowed down.
 
Great news; I feel this is what Sony were pursuing post PS2 era. After the very rocky launch of the PS3 and losing a lot of the marketshare to the Xbox 360 (especially considering how much marketshare the PS2 held and did manage to strike a lot of third party deals/timed exclusives, eg. GTA San Andreas), Sony focused a lot on first party output, especially post 2009.

It's pretty much the same here; after the successful Xbox 360 (i.e. like the PS2, it had many third party deals and majority marketshare in many countries), Microsoft have lost majority marketshare to their competitors in countries like NA and UK, so now they will focus mainly on first party output rather than strike third party deals.

I think that's a fair assessment of the situation(s).

Sony did, but at the same time, they had a heavy 3rd party line of weird/fun Japanese games and titles that just didn't show up on the Xbox 360/Xbox. Spencer needs to look at not just creating deals but relationships with 3rd party boys, because it's completely doable to do both or go for broke.

It's very difficult for a machine to rely on 1st party only, and even more so to try and stay relevant against another that has both. Carve out your sector and go for it.
 
I found IGN's article and saw roughly 10-11 solid studios for PlayStation. Can't find anything for Xbox. Is there a thread we can discuss this, I have a feeling that the "Sony has more first party studios" line needs to be reanalyzed with all the studios Xbox created under Spencer.

I agree, however I think it tends to be that way due the output of each respective first party studio from both Microsoft and Sony, and how well established they are, particularly in the AAA space.

I mean yes, I agree, some first party studios go unnoticed; Twisted Pixel for example, is making its [first] AAA title for Xbox, and yet not that many people anticipate what they're working on (or even acknowledge that they're a first party studio) compared to some of Sony's first party studios like Sony Bend or Suckerpunch. At least that's what it seems like IMO.

I hope MS's first party studios opened under Phil Spencer can get that reputation, but it does take "breakthrough" games. I'd say LittleBigPlanet were Media Molecule's breakthrough game, and inFamous was Sucker Punch's breakthrough games, even if they weren't owned by Sony then, they got themselves a name in the AAA space.

Oh yeah, and in case you're interested, (straight from Wikipedia), here are MS's owned studios (not counting defunct ones):

343 Industries – Halo series.
Decisive Games – Working on a "beloved" strategy game
FIT – Holobuilder/Minecraft on Microsoft HoloLens and Xbox One
(FUN)ction Studios – Microsoft HoloLens and Xbox One
Good Science Studio – Kinect Adventures, Kinect Fun Labs, Microsoft HoloLens and Xbox One
Kids and Lifestyle Entertainment – Xbox Fitness
Launchworks - South Park Scott Tenorman's Revenge , South Park Let's Go Tower Defense Play!
Leap Experience Pioneers – Working on HoloStudio, building your own holograms on Microsoft HoloLens and Xbox One
Microsoft Garage – Voice Commander exclusively for Xbox One
Platform Next Studios – Microsoft HoloLens and Xbox One
SOTA - State of The Art Studios – MARS on Microsoft HoloLens
Team Dakota – Project Spark
Turn 10 Studios – Forza Motorsport series.
Twisted Pixel Games – The Gunstringer, LocoCycle, The Maw,The Adventures of Captain Smiley 'Splosion Man series


Lift London – Cloud digital games for tablets, Xbox consoles and mobiles
Lionhead Studios – Fable series
Rare Ltd. – Banjo-Kazooie series, Viva Piñata, Kameo: Elements of Power, Conker, Kinect Sports, Sea of Thieves.


Press Play – Max: The Curse of Brotherhood, Tentacles, Kalimba
Mojang – Minecraft

The Coalition – Gears of War series
BigPark – Joy Ride series, Kinect Sports: Season Two
 
Sony did, but at the same time, they had a heavy 3rd party line of weird/fun Japanese games and titles that just didn't show up on the Xbox 360/Xbox. Spencer needs to look at not just creating deals but relationships with 3rd party boys, because it's completely doable to do both or go for broke.

It's very difficult for a machine to rely on 1st party only, and even more so to try and stay relevant against another that has both. Carve out your sector and go for it.

I agree, especially regarding the Japanese games and what Spencer needs to do regarding that too, but you also have to remember, the machine is obviously not going to just be first party games and that's it (pretty much like Nintendo). I mean Microsoft will still have third party games, but just not third party exclusives.

But yeah, I get ya.
 
Phil Spencer,

post-45308-thank-you-my-good-man-gif-Imgu-L4pd.gif
 
I found IGN's article and saw roughly 10-11 solid studios for PlayStation. Can't find anything for Xbox. Is there a thread we can discuss this, I have a feeling that the "Sony has more first party studios" line needs to be reanalyzed with all the studios Xbox created under Spencer.
Inconsequential. The number isn't the focal point here. Sony has a higher number of established developers, if not more developers outright. Microsoft definitely has more developers now compared to 3 years ago, that cannot be disputed. But Sony has a large number of established, AAA developers who create year-round releases. Microsoft does not. They are playing catch-up and have yet to actually catch up.

I fear that while it's great and wonderful that Papa Spencer is focusing on 1st party now, this is simply PR with no substance. In reality, we won't be seeing the benefits of this "first party focus" for another few years, late 2016 at the very earliest but more likely mid-2017. Until then, it's the same Halo/Gears/Forza with the occasional timed deal (Tomb Raider).

Great news; I feel this is what Sony were pursuing post PS2 era. After the very rocky launch of the PS3 and losing a lot of the marketshare to the Xbox 360 (especially considering how much marketshare the PS2 held and did manage to strike a lot of third party deals/timed exclusives, eg. GTA San Andreas), Sony focused a lot on first party output, especially post 2009.

It's pretty much the same here; after the successful Xbox 360 (i.e. like the PS2, it had many third party deals and majority marketshare in many countries), Microsoft have lost majority marketshare to their competitors in countries like NA and UK, so now they will focus mainly on first party output rather than strike third party deals.

I'd say that's a fair assessment of each respective situation. What do you guys think?
Not a fair assessment. If you compare the libraries, Sony put out more 1st party games on PS2 compared to PS3, or at least it was very close in number. The notion that Sony only kicked PS3 1st party production into high gear because they were losing marketshare to Xbox is revisionist history.

It was not so much a matter of "Sony really fought hard to win back marketshare on PS3 by pushing 1st party games". Sony was following the same game-plan they had with the PS1 and PS2. Only difference is they didn't have as much support from 3rd party devs.
 

daTRUballin

Member
I hope Rare shows something at Gamescom. Phil Spencer is saying that Gamescom will show that MS will be focusing on investing on first party games, so that sorta gives me hope that Rare maybe has something else next week. ._.
 

lostcauz

Member
I don't get the trend of MS can't afford third party exclusives.

It doesn't make sense in a long term strategy to money hat one title in a franchise for 6-12 months when you can own the IP and get publisher, developer and platform fees from first party games or second party games where they might not develop the game but still publish it and in most instances own the IP.

I believe Phil will always be on the look out for games like sunset overdrive, scale bound and quantum break where it makes more sense to invest in them over the titanfalls and tomb raiders.

Can they make good successful first party games (outside forza, halo and gears), time will tell.
 

Nesther

Member
I hope Rare shows something at Gamescom. Phil Spencer is saying that Gamescom will show that MS will be focusing on investing on first party games, so that sorta gives me hope that Rare maybe has something else next week. ._.

Rare is large enough to work on several projects, no doubt they're working on something besides Sea of Thieves. I don't think we're going to see it at Gamescom though.
 

Dynasty

Member
Hahaha. Spencer saying that he wants to focus on first party titles instead of going after exclusive third party deals is simply because Rise of the Tomb Raider is going to bomb all things considered and get crushed by Fallout 4. Hell, I would be saying the same thing now too if I was him. What's truly funny is that he wasn't saying this pre-E3. I'm sure he was all hyped and happy that Rise of the Tomb Raider was no longer going to go head to head with Uncharted 4 but then Fallout 4 gets announced for the same day at E3 and it all went down the drain. And quite honestly, this is something that Spencer and Microsoft should have been concentrating and focusing on BEFORE acquiring Rise of the Tomb Raider to be a one year timed exclusive.
How much is Tomb Raider going to sell? Please tell since you have a crystal ball.
He been saying for a while they are focusing on 1st party support.
http://www.polygon.com/2015/4/20/8456445/phil-spencer-e3-2015-first-party-exclusive-games
 

etta

my hard graphic balls
Inconsequential. The number isn't the focal point here. Sony has a higher number of established developers, if not more developers outright. Microsoft definitely has more developers now compared to 3 years ago, that cannot be disputed. But Sony has a large number of established, AAA developers who create year-round releases. Microsoft does not. They are playing catch-up and have yet to actually catch up.

I fear that while it's great and wonderful that Papa Spencer is focusing on 1st party now, this is simply PR with no substance. In reality, we won't be seeing the benefits of this "first party focus" for another few years, late 2016 at the very earliest but more likely mid-2017. Until then, it's the same Halo/Gears/Forza with the occasional timed deal (Tomb Raider).
Yea, I suppose, I overlooked the "established" component. But yea, Microsoft has been adding a bunch of studios lately, let's hope in 3-5 years they turn as good as Sony's.
 
Inconsequential. The number isn't the focal point here. Sony has a higher number of established developers, if not more developers outright. Microsoft definitely has more developers now compared to 3 years ago, that cannot be disputed. But Sony has a large number of established, AAA developers who create year-round releases. Microsoft does not. They are playing catch-up and have yet to actually catch up.

Exactly this; it's what I was trying to get at in my reply to etta. It's not just about the numbers, it's about the respective output of each studio, particularly in the AAA space where studios can make or break their career. It's how well known they are and how good the games do, commercially or critically. At least that's how I see it as to why that narrative revolves around Sony's WW studios vs Microsoft's.
 
I believe Phil will always be on the look out for games like sunset overdrive, scale bound and quantum break where it makes more sense to invest in them over the titanfalls and tomb raiders.

Can they make good successful first party games (outside forza, halo and gears), time will tell.

I have no doubt that they can. They just have to take some initiative and stop pussyfooting around.
 
D

Deleted member 471617

Unconfirmed Member
Im sure Microsoft were well aware of when Fallout 4 was shipping in advance of E3, they even have the marketing deal on it, I doubt it blind sided them.

See my post above about their first parties, they were expanding before this, if anything they've slowed down.

So, Microsoft is pissed off AND stupid? Why they would release Rise of the Tomb Raider on the same day as Fallout 4 is beyond me. Microsoft should flip it with Halo 5 as Halo 5 is going to sell either way. Tomb Raider I see being a huge waste of money for Microsoft and a huge disappointment. And that's just head to head. Imagine when you add in Halo 5, Uncharted Collection, AC Syndicate, Battlefront and COD all around it. Even Just Cause 3 could impact it's sales but to a much lesser extent. Seriously, Microsoft should move up Rise of the Tomb Raider to October.

I saw your list of first party studios but what are they working on for Xbox One?
 

Sydle

Member
Microsoft added 6 new studios to their first-party (MS Vancouver, Victoria, Lift London, Team Dakota, Twisted Pixel and Press Play, although Victoria was shut down and Lift are on Hololens now) line-up by around 2012 and before that they added a couple of others too, 1st party "expansion" was the plan before Xbox One came out, now they're owning almost all the IP they are making too.

I don't really see much changing since that expansion period of 2011/12, since then we've added some Hololens studios (undetermined size), Decisive Games which haven't been officially announced or detailed and Mojang which employs 40~ people I think?

Im sure that the PS4s success has dented their ability to get third-party exclusives but a focus on 1st party as I said isn't exactly a new thing.



Would you consider Bloodborne and The Order first-party Sony games? I think anything they own is reasonably a first-party game, although he also considers SO/Ryse first party because they funded and published them, which also seems somewhat reasonable although others may not agree so much.

Exactly. I'll never understand why people can't process the idea of a first-party IP being developed by a third-party studio.

State of Decay, Forza Horizon, Quantum Break, ReCore, Scalebound, Killer Instinct, and Crackdown are all first-party IP being developed by third-party studios. I suspect it's easier to find strong teams than it is to build them from scratch.

Rare is large enough to work on several projects, no doubt they're working on something besides Sea of Thieves. I don't think we're going to see it at Gamescom though.

I believe they said 60% of the studio (I think Rare is around 120-130 total) was on SoT and about 20 people were on Rare Replay. They have hinted at a third project and even teased something around Gamescom.
 
Yea, I suppose, I overlooked the "established" component. But yea, Microsoft has been adding a bunch of studios lately, let's hope in 3-5 years they turn as good as Sony's.
I definitely think there's potential for them to rank up there with the best of Sony's devs. Microsoft has the money and the talent and (hopefully) the long-term vision to accomplish it.

If Microsoft wants to follow Sony's example, though, they'll need to give their devs more freedom (something MS is not exactly known for, unfortunately). We wouldn't have Uncharted (or Last of Us) unless Sony allowed ND to move on from Crash and J&D. We wouldn't have Horizon: New Dawn unless Sony allowed Guerilla to move on from Killzone. We wouldn't have inFamous unless Sucker Punch was allowed to move past Sly Cooper. You get the idea.
 

Chobel

Member
So, Microsoft is pissed off AND stupid? Why they would release Rise of the Tomb Raider on the same day as Fallout 4 is beyond me. Microsoft should flip it with Halo 5 as Halo 5 is going to sell either way. Tomb Raider I see being a huge waste of money for Microsoft and a huge disappointment. And that's just head to head. Imagine when you add in Halo 5, Uncharted Collection, AC Syndicate, Battlefront and COD all around it. Even Just Cause 3 could impact it's sales but to a much lesser extent. Seriously, Microsoft should move up Rise of the Tomb Raider to October.

I saw your list of first party studios but what are they working on for Xbox One?

MS is gonna make TR2 their main bundle this Fall (similar to ACU last year) so the game won't bomb.
 
Not a fair assessment. If you compare the libraries, Sony put out more 1st party games on PS2 compared to PS3, or at least it was very close in number. The notion that Sony only kicked PS3 1st party production into high gear because they were losing marketshare to Xbox is revisionist history.

Well no, I don't agree with the notion that Sony only emphasised first party support in the PS3 era; of course they did with the PS1 and PS2. I guess it just "felt" more emphasised due to the lack of previous third party exclusives like Final Fantasy, Tekken, Ominusha Devil May Cry, Kingdom Hearts, Metal Gear Solid (yes I know MGS4 was, but I mean it was the norm with MGS2 being timed exclusives and MGS1/3 being wholly an exclusive), and GTA being timed exclusive too and other third party deals etc

But yeah I get what you mean. And hell, it might just be my subjective preference of Sony's first party output in the PS3 era compared to the PS2. I'm probably in the minority, but regarding the games that I played from each of their now first party studios, I actually prefer the PS3 output over the PS2.
 

Jigorath

Banned
It's funny. Between Microsoft and Sony, Microsoft is actually the publisher sitting on a gold mine of IPs that they're simply not utilising. Which is why Sony continues to come up with new ones to try and create franchises.

So you'd think that all these years it would have been Microsoft pumping out the 1st party exclusives instead of Sony. Funny how that works. Hopefully this means Microsoft will start to put these IPs to work. From Rare's stable alone they have a shitload sitting there.

Forget stuff like Crimson Skies, MechAssault, RalliSport, N3 (loved those games), Black & White and stuff like that. They're really sitting on a LOT of genuinely worthwhile IPs and if you can combine that with new stuff, they could really build themselves a pretty good library of 1st party exclusives if they so chose to.

That's true for Sony and Microsoft.
 
So, Microsoft is pissed off AND stupid? Why they would release Rise of the Tomb Raider on the same day as Fallout 4 is beyond me. Microsoft should flip it with Halo 5 as Halo 5 is going to sell either way. Tomb Raider I see being a huge waste of money for Microsoft and a huge disappointment. And that's just head to head. Imagine when you add in Halo 5, Uncharted Collection, AC Syndicate, Battlefront and COD all around it. Even Just Cause 3 could impact it's sales but to a much lesser extent. Seriously, Microsoft should move up Rise of the Tomb Raider to October.

I saw your list of first party studios but what are they working on for Xbox One?

I think a large part of the TR deal is that they are going to bundle it heavily. I don't think you can do a particularly good job of avoiding other games in the holiday period, sure November 10th itself might not be the best date, but if CD need that time to get it right, better than that than shove it out weeks/a couple of months before when it might not be.

I don't think they are stupid or pissed at Fallout 4 release date, it happens.

All of their known studios are working on various Xbox One games, Halo, Gears, Forza, Fable (...), Sea of Thieves, whatever TP/PP are doing, Team Dakota are doing Project Spark stuff and looking at something else, Lionhead have a new IP too, with the exception of Lift London who I'm not sure if they are wholly Hololens now or not.

Their first party still needs to be beefed up but its not like they haven't made significant waves on that in recent years, a large majority of their current line-up either didn't exist or weren't owned by them as recently as 4 years ago
 
I definitely think there's potential for them to rank up there with the best of Sony's devs. Microsoft has the money and the talent and (hopefully) the long-term vision to accomplish it.

If Microsoft wants to follow Sony's example, though, they'll need to give their devs more freedom (something MS is not exactly known for, unfortunately). We wouldn't have Uncharted (or Last of Us) unless Sony allowed ND to move on from Crash and J&D. We wouldn't have Horizon: New Dawn unless Sony allowed Guerilla to move on from Killzone. We wouldn't have inFamous unless Sucker Punch was allowed to move past Sly Cooper. You get the idea.

Again, I completely agree with this. I feel they need to get their devs outside of their comfort zone if they are to succeed and give them the creative freedom they fully deserve. Which once again, makes me happy that Guerilla are working on Horizon :p
 

Tagyhag

Member
That's fine, but I'm also ok with 3rd party exclusives if those games would have never been made without funding from the Big 3.

Stuff like Tomb Raider? Sure, that can go.
 

etta

my hard graphic balls
I definitely think there's potential for them to rank up there with the best of Sony's devs. Microsoft has the money and the talent and (hopefully) the long-term vision to accomplish it.

If Microsoft wants to follow Sony's example, though, they'll need to give their devs more freedom (something MS is not exactly known for, unfortunately). We wouldn't have Uncharted (or Last of Us) unless Sony allowed ND to move on from Crash and J&D. We wouldn't have Horizon: New Dawn unless Sony allowed Guerilla to move on from Killzone. We wouldn't have inFamous unless Sucker Punch was allowed to move past Sly Cooper. You get the idea.
That's true. I was just thinking, maybe with this Windows 10 synergy in play, maybe Microsoft themselves will think about investing more into studios. It would give the Windows Store and edge over Steam if they get AAA exclusives up on it.

So, Microsoft is pissed off AND stupid? Why they would release Rise of the Tomb Raider on the same day as Fallout 4 is beyond me. Microsoft should flip it with Halo 5 as Halo 5 is going to sell either way. Tomb Raider I see being a huge waste of money for Microsoft and a huge disappointment. And that's just head to head. Imagine when you add in Halo 5, Uncharted Collection, AC Syndicate, Battlefront and COD all around it. Even Just Cause 3 could impact it's sales but to a much lesser extent. Seriously, Microsoft should move up Rise of the Tomb Raider to October.

I saw your list of first party studios but what are they working on for Xbox One?
Oh look, another arm chair analyst. Have you thought that Microsoft may have bundle plans for ROTR? A $299 Black Friday bundle with ROTR and DE will sell like nuts.
 

nubbe

Member
MS certainly tried really hard with OX to create original universally appealing games
It is hard to "order" a timeless classic or design one with spreadsheets

But being completely dependent on 3rd parties makes you extremely vulnerable
 

kevin1025

Banned
I'd love more first party games! So far they have a great line-up, and splitting it up at E3 and at Gamescom in a few days was a great move. Looking forward to seeing what else is next.
 

daTRUballin

Member
Exactly. I'll never understand why people can't process the idea of a first-party IP being developed by a third-party studio.

State of Decay, Forza Horizon, Quantum Break, ReCore, Scalebound, Killer Instinct, and Crackdown are all first-party IP being developed by third-party studios. I suspect it's easier to find strong teams than it is to build them from scratch.



I believe they said 60% of the studio (I think Rare is around 120-130 total) was on SoT and about 20 people were on Rare Replay. They have hinted at a third project and even teased something around Gamescom.

It's more than likely Battletoads :p
 

Piggus

Member
I can't imagine they have much of a choice, just like Sony didn't have much of a choice early last gen. When you're way behind the market leader in sales, its a lot harder to secure exclusive deals with third parties.
 

Ray Down

Banned
why don't they have a choice? MS shits money. If they want an exclusivity deal they'd probably get it easily.

Microsoft might be rich but it not like all the departments have free access.

All them have a budget, some smaller or larger then others.

Budget wish completely securing a third party game completely might be too expensive for what they want now. TR will probably be one of the last major ones.
 
That's true. I was just thinking, maybe with this Windows 10 synergy in play, maybe Microsoft themselves will think about investing more into studios. It would give the Windows Store and edge over Steam if they get AAA exclusives up on it.


I actually believe putting their first party games on PC will be a good move for Microsoft. Yes you'll get people arguing what this means and its implications for Xbox, but I don't see how it can be a bad thing getting more people to know their franchises and getting more sales as a results. I honestly think it's a win-win for MS.
 
I actually believe putting their first party games on PC will be a good move for Microsoft. Yes you'll get people arguing what this means and its implications for Xbox, but I don't see how it can be a bad thing getting more people to know their franchises and getting more sales as a results. I honestly think it's a win-win for MS.

Yup. Especially with Windows 10 and cross-buy items. They may end up selling fewer Xbox's, but they'll sell more software.
 

Piggus

Member
why don't they have a choice? MS shits money. If they want an exclusivity deal they'd probably get it easily.

You're right they could. But they're also a business who needs to make a return on their investments, and throwing obscene amounts of money at third party devs is not a very good way to do that. Can you imagine how much it must cost them to keep third party content off the PS4?
 

hawk2025

Member
As much as I'm looking forward to Rare Replay next week, Rare needs to prove they can deliver even *one* decent new product at a time again.

All this talk of two or three different brand new games is crazy to me.
 
Yup. Especially with Windows 10 and cross-buy items. They may end up selling less Xbox's, but they'll sell more software.

Yup exactly!

I mean, I always see people arguing "oh, that will give people less of a reason to buy an Xbox", but if you actually think about it, there will always be people who will prefer buying and playing on consoles, even if a game is a console exclusive i.e. on PC too. And with a bit of marketing, you can still get a game on PC/Xbox to sell quite a few Xbox's too.

Worst comes to worst, it sells less Xbox's than usual, but then MS get's that revenue from PC and a larger playerbase playing their games and getting their franchises more well known. A win-win IMO.
 
How did that work out for Nintendo?

Edit: I think that his back is against a wall and MS can't lock in the third party exclusives like sony can (or even if 3rd parties want exclusivity anymore).

This puzzles me greatly. You do realise not having third party exclusives anymore is different to not having third party support at all?

The latter is Nintendo, which is what you don't want to be in. MS still has that third party support, they'll just focus more on first party this time which isn't all that bad.

I'm sorry to say but it's a pretty shoddy comparison bud!
 
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