Company News Bethesda acquired by Microsoft

[OSK]

I guess Fallout becoming console exclusive would be ironic and memetical somewhat

It's more likely that these games become Microsoft Store exclusives. They want to build that Apple-esque walled garden where the only software available is available through them for a cut. They are already practicing with Windows 10 S.

Do they?

That seemed to be their strategy 8 years ago, but they have recently gone back on Steam. Now they basically release everything on both platforms. And release a few things even on Sony's and Nintendo's consoles.

Microsoft is a company in transition. Gone are the days of subsisting off selling licenses of Windows and Office. On their enterprise side, everything is software-as-a-service. A company doesn't buy X copies of Office 20XX, they instead have X subscriptions to Office 365. They're doing pretty well in enterprise, but they aren't nearly as successful in the consumer market.

They view Apple and Google as their biggest competitors, and it's easy to see Microsoft making moves to mimic them. Safari's WebKit is a fork of KDE's open-source KHTML. Google Chrome's Blink is a fork of Safari's WebKit. Microsoft gave up on their own proprietary browser engine and now Edge is just another Chromium browser. Apple's macOS and iOS are proprietary software running on top of an open-source Unix-based kernel. Google's Android and Chrome OS are proprietary software running on top of the open-source Linux kernel. Microsoft's most recent operating system, Azure Sphere OS, is running on the Linux kernel. Apple and Google were able to leverage free and open-source software to help create robust proprietary software with a fraction of the research and development costs. Microsoft is now doing the same.

Microsoft also tried to compete in the phone and storefront market. Both Windows Phone and the Microsoft Store flopped hard. It looked like they gave up, but they just went back to the drawing board. They see how Apple and Google are making tons of money off their phones and app stores, and Microsoft isn't just going to give up on that. Microsoft has just re-entered the phone market with the Microsoft Surface Duo and now they are buying up a ton gaming companies. At least when it comes to software, I think they are going to fall back to their tried and true method of Embrace, Extend, and Extinguish.

1. Embrace: Development of software substantially compatible with a competing product, or implementing a public standard.
2. Extend: Addition and promotion of features not supported by the competing product or part of the standard, creating interoperability problems for customers who try to use the "simple" standard.
3. Extinguish: When extensions become a de facto standard because of their dominant market share, they marginalize competitors that do not or cannot support the new extensions.

https://en.wikipedia.org/wiki/Embrace,_extend,_and_extinguish#Strategy

Embrace: Buy up a bunch of developers to churn out software and release them on as many platforms as possible.
Extend: Extend their popular software with exclusive features and functionality available only when purchased through their storefront.
Extinguish: Only sell their software through their storefront, banish other storefronts, and force other developers to sell through their storefront.

Successful app stores print money, and there's no way Microsoft isn't trying to get their hands on some of that.

 

[Duraframe300]

Successful app stores print money, and there's no way Microsoft isn't trying to get their hands on some of that.

None of that really answers why they went back on Steam. I mean this happened after GamePass was already a thing. So, they still had the Microsoft Store, they already had the perfect start with keeping people in place with the $1 subscriptions and the new XBOX app. And yet they still went back to Steam.

Not only that, they went back to Steam with their biggest franchises including Halo, a game that was never before on Steam. Suddenly, they have started an expectation that Halo comes to Steam. Why? And if they went back to the drawing board they have done fuck all with said drawing board since. If anything all they have done has been counterproductive to that idea and only made it harder for themselves to fall back to EEE.

 

[Wunderbar]

Successful app stores print money, and there's no way Microsoft isn't trying to get their hands on some of that.

None of that really answers why they went back on Steam. I mean this happened after GamePass was already a thing. So, they still had the Microsoft Store, they already had the perfect start with keeping people in place with the $1 subscriptions and the new XBOX app. And yet they still went back to Steam.

same reason Sony have ported Horizon 1 on pc but won't port Horizon 2 - they are trying to lure steam users.

 

[GreyWardens Rock]

Hmm, some of the latest MS releases, including Halo MCC, support 7, even if stated otherwise (and Sony's don't!). Maybe there's some hope, but nothing to hold your breath over.

 

[RobotSquirrel]

Bethesda = shitty games
Microsoft = yet another boring and unambitious games publisher

Yeah, nothing good will come out of this.

Eh I'm just happy to see Bethesda properly leashed now. Microsoft as a publisher are way more stricter especially with Bugs (I know this first hand as I've worked with Microsoft on the QA end of things. Suffice to say Todd doesn't have a lot of hope here Microsoft's third party QA rules are very strict their first party rules are probably even stricter). It'll be interesting to see just how tolerant they are of Zenimax's overall conduct we know from how they've treated other studios that their attitudes will likely result in firings.

It depends on how much autonomy they're given. Plus now IP will no longer be what sets Bethesda apart as the IPs are interchangeable between the Xbox group. Suddenly Bethesda will find itself no longer able to rely on the things that guaranteed them success in the past.
There is a lot more pressure to perform.

 

[Citizen]

From now on the new windows machines would have skyrim and fallout 76 as the pre-installed games instead of space cadet pinball and minesweeper

 

[RobotSquirrel]

From now on the new windows machines would have skyrim and fallout 76 as the pre-installed games instead of space cadet pinball and minesweeper

they still haven't ported Skyrim to Hololense yet. THERE'S STILL TIME TODD!

 

[Wunderbar]

Eh I'm just happy to see Bethesda properly leashed now. Microsoft as a publisher are way more stricter especially with Bugs (I know this first hand as I've worked with Microsoft on the QA end of things. Suffice to say Todd doesn't have a lot of hope here Microsoft's third party QA rules are very strict their first party rules are probably even stricter). It'll be interesting to see just how tolerant they are of Zenimax's overall conduct we know from how they've treated other studios that their attitudes will likely result in firings..

yes they are so strict Fable Legends, Sea of Thieves, Crackdown 3, Halo Infinite and other games were never in a development hell and came out just in time.

 

[rusty_shackleford]

old microsoft is sadly no more
gone are the days where you'd get your kneecaps busted for being 2 hours late on releasing your project

 

[RobotSquirrel]

yes they are so strict Fable Legends, Sea of Thieves, Crackdown 3, Halo Infinite and other games were never in a development hell and came out just in time.

I didn't mean development standards I meant QA standards. But again I can't vouch for first party only third so chances are their first party is the total opposite. If I go based on Lionhead's track record then yeah internally they don't care.
Keep in mind this was 9 years ago from my perspective so who knows at this stage.

 

[Sabba]

I've a hunch that Bethesda (or rather the investors behind Zenimax) needed Microsoft more than Microsoft needed Bethesda and its IP portfolio.

https://youtu.be/WI2IPeocbAA Pete Hines looks emotionless, almost bothered and he's just repeating the stuff you would expect from somebody working in his position. Todd looks almost depressed, still in the acceptance stage.

 

[IDtenT]

They have a massive studio and haven't released anything worthwhile in half a decade.

Given the success and the high-roller lifestyle that would have come with Skyrim I'm not surprised they were sold off. Not to mention Trump's death obviously had a big impact.

 

[Duraframe300]

Successful app stores print money, and there's no way Microsoft isn't trying to get their hands on some of that.

None of that really answers why they went back on Steam. I mean this happened after GamePass was already a thing. So, they still had the Microsoft Store, they already had the perfect start with keeping people in place with the $1 subscriptions and the new XBOX app. And yet they still went back to Steam.

same reason Sony have ported Horizon 1 on pc but won't port Horizon 2 - they are trying to lure steam users.

First off Sony will continue to port if its lucrative, then nope. They are past that point. As in they have now a perfectly good lure that doesn’t require to ever be reeled in.

Gamepass.

There’s no incentive other than that and that incentive doesn’t expire. So, no I don’t believe Microsoft will pull out of Steam or the few games they have multiplatform. Because why refuse the extra money you get from store sales when your ecosystem expands anyways?

 

[RobotSquirrel]

https://youtu.be/WI2IPeocbAA

That interview holy hell. God its so satisfying. When Todd drops the fact that no one was told mmm.
This is how the industry operates Todd! He should've known the board would betray him after what they did to Chris Weaver.

 

[Deleted member 28561]

Ballmer era Microsoft was much better than now. Curry Microsoft has been terrible so far.

 

[Ol' Willy]

Keep in mind this was 9 years ago from my perspective so who knows at this stage.

Remember Windows Vista? Up to company standards, I recon.

 

[RobotSquirrel]

Remember Windows Vista? Up to company standards, I recon.

Well you have a point there. Keep in mind though and this checks out I was working there when 7 was the standard and Balmer was taking a shotgun to every project he ever spearheaded out of embarrassment they wanted to pretend none of that happened hence the strict rules. I was used to working at EA and THQ's standards when we did work for them so it was a bit of a step up from what I was used to.

Of course 9 years is a long time in this business and so their standards might have completely fallen to bits after Balmer retired. Judging from the direction the company is on now chances are they make Todd even worse than he is now and every game going forward is a Fallout 76. I mean yeah you're all right I should be leaning against giving Bethesda benefit of the doubt... what the hell was I thinking lol.

 

[Sailor Woedica]

IDK if people already posted about this but there was a deleted tweet that I saw on youtube that Microsoft has been planning to buy Bethesda since 2018 the same year they bought Obsidian and Inxile!

Tho I don't know if the person that tweeted it would really know if Microsoft and Bethesda were talking to each other about it?

 

[Ol' Willy]

. I mean yeah you're all right I should be leaning against giving Bethesda benefit of the doubt... what the hell was I thinking lol.

The only difference it makes with Shittesda is them possibly releasing more polished turds instead of worm infested, bloody, AIDS infested turds. But it still gonna be turds regardless.

 

[baud]

Technically Activision still has most of the Blizzard stuff, which even if, say, WoW stops being played tomorrow, there are still things there they could work with, including: WarCraft, StarCraft, Defense of the Ancients, Diablo and so on.
And then Ubisoft is being piddled by Tencent. Even though they're French, they're not going to surrender that easily.

For Blizzard, I don't think they have the Defense of the Ancients brand, since DotA 2 was done by Valve and Blizzard's MOBA is called Heroes of the Storm

Ubisoft has already been through one or two takeover attempts and so far the company line was to avoid acquisition at all costs.

 

[The_Mask]

For Blizzard, I don't think they have the Defense of the Ancients brand, since DotA 2 was done by Valve and Blizzard's MOBA is called Heroes of the Storm.

They do. That's why Valve used Dota (<- spelt exactly like that) because they wanted to stay as afar as possible from Blizzard's lawyers. And then Blizzard did HotS because they wanted to stay far from Valve's lawyers. Can of worms eating each other.

Ubisoft has already been through one or two takeover attempts and so far the company line was to avoid acquisition at all costs.

I, honestly, don't know anything about Ubisoft other than the fact that they don't make the games that I like and the fact that the 2nd studio they ever opened was in Romania (but that's just because I'm Romanian, so...) - so you might be right.

 

[OSK]

Successful app stores print money, and there's no way Microsoft isn't trying to get their hands on some of that.

None of that really answers why they went back on Steam. I mean this happened after GamePass was already a thing. So, they still had the Microsoft Store, they already had the perfect start with keeping people in place with the $1 subscriptions and the new XBOX app. And yet they still went back to Steam.

Not only that, they went back to Steam with their biggest franchises including Halo, a game that was never before on Steam. Suddenly, they have started an expectation that Halo comes to Steam. Why? And if they went back to the drawing board they have done fuck all with said drawing board since. If anything all they have done has been counterproductive to that idea and only made it harder for themselves to fall back to EEE.

Let's say you're a PC gamer who doesn't bother with consoles and you primarily buy your games through Steam. As a gamer, you've heard of Halo. Maybe you've even played it at a buddy's place. You enjoyed it, but you're not going to go out and spend hundreds of dollars on a console just to play it. Microsoft releases the game on PC. Either you don't hear about it or you don't care about yet another storefront. But then one day you log into Steam and see Halo on the front page. You're intrigued, but you pass. Then a Steam sale comes around and the price is cut just low enough for you to take a chance on it. You play it and you enjoy the hell out of it. You're hooked. You're now paying attention to Halo news eagerly awaiting the next sequel. That's the embrace. They need to get their software to consumers, and that means putting their software in storefronts where the consumers are actually buying games. Of course they're going to put their biggest franchises there. Those are the ones most likely to reel people in.

While paying attention to Halo news learn that the next game will be available directly from Microsoft as well as on Steam, Epic, etc, but if you buy it directly from Microsoft it comes with additional features. Further, you learn that the multiplayer will now be compatible with your console playing buddies... but only if you purchase it through Microsoft. There's now two versions of the game available to you. You can either stick with Steam and buy the objectively worse version or you can make the jump to Microsoft for the ultimate experience. Maybe it's not enough for you to make the jump. But you slowly start realizing that a lot of your favorite games now being made by companies owned by Microsoft and they are all better on their storefront. How long are you going to continue buying inferior versions? That's extend.

As for extinguish? Well, you can't buy Halo on Steam anymore now that enough people have moved over to Microsoft's store. And maybe Microsoft eventually gets bold enough to release a patch that prevents installation of software outside their store. For your security, you know.

 

[OSK]

Imagine how pissed Microsoft must be that they need to sell their software through Steam. They spend time and resources on making a game that they have to sell through a storefront (owned by a former employee no less!) that takes 30% just so the customer can then play the game on an operating system that they also spend time and resources on! The customers are there! They just can't get to them!

Apple, a company with a fraction of the user base of Microsoft, is able to compete with them because nearly every time one of their users buys something on their system, whether that's applications, movies, music, etc., they nearly always get a cut of every sale. On Windows, the user might buy their copy of Windows, but then spend all their money at other places where Microsoft gets nothing. This must piss Microsoft off to no end.

 

[baud]

For Blizzard, I don't think they have the Defense of the Ancients brand, since DotA 2 was done by Valve and Blizzard's MOBA is called Heroes of the Storm.

They do. That's why Valve used Dota (<- spelt exactly like that) because they wanted to stay as afar as possible from Blizzard's lawyers. And then Blizzard did HotS because they wanted to stay far from Valve's lawyers. Can of worms eating each other.

Interesting, I hadn't realized that the Dota from Valve wasn't an acronym. But the rights around this must be a can of worms

Ubisoft has already been through one or two takeover attempts and so far the company line was to avoid acquisition at all costs.

I, honestly, don't know anything about Ubisoft other than the fact that they don't make the games that I like and the fact that the 2nd studio they ever opened was in Romania (but that's just because I'm Romanian, so...) - so you might be right.

At least it was the case a few years ago when Vivendi was trying to buy them. But then I have mostly stopped following gaming news websites (except the 'dex of course) where such information might be published; I'm just more interested in what's happening in this company as they're from France, even if now they got studios all over the globe

 

[KeighnMcDeath]

I liked Space Cadet Pinball.