Microsoft Working On Xbox Game Store For Smartphones To Compete With Apple, Google

Last Updated on October 20, 2022 by Anu Joy

The UK Competition and Markets Authority (CMA) is currently investigating Microsoft’s acquisition of Activision Blizzard, and Microsoft’s CMA filings revealed some interesting details. According to the filings, the software giant is working on its own mobile game store. The new “Xbox Mobile Platform” will bring the Xbox Store to mobile, taking advantage of the booming mobile gaming industry.

Microsoft stated in its filings that its upcoming offering will arrive as a next-gen game store that will function on a variety of devices, including smartphones. The company added, “Building on Activision Blizzard’s existing communities of gamers, Xbox will seek to scale the Xbox Store to mobile, attracting gamers to a new Xbox Mobile Platform.”

The new Xbox game store for mobile, when it launches, will have to compete with Google’s Play Store and Apple’s App Store. Microsoft acknowledged that attracting users will require effort, but hopes that they’ll be open to trying out a new platform. The company stated, “Shifting consumers away from the Google Play Store and App Store on mobile devices will, however, require a major shift in consumer behavior. Microsoft hopes that by offering well-known and popular content, gamers will be more inclined to try something new.”

When it comes to app store downloads, mobile games rule the roost. In a graph shared by Microsoft’s Activision Blizzard acquisition site, in 2020, the gaming market was worth $165 billion. Within this segment, consoles accounted for $33 billion, PCs for $40 billion, and mobile gaming emerged at the top, at $85 billion with a 51 percent share. It’s clear that Microsoft wants to dip its toes in the ever-expanding mobile gaming industry and bring in some extra revenue.

Microsoft’s acquisition of Activison Blizzard provides it an opportunity to take a step in that direction. Microsoft stated, “The transaction gives Microsoft a meaningful presence in mobile gaming. Mobile gaming revenues from the King division and titles such as Call of Duty: Mobile, as well as ancillary revenue, represented more than half of Activision Blizzard’s … revenues in the first half of 2022.”

The company added, “Microsoft currently has no meaningful presence in mobile gaming and the Transaction will bring much needed expertise in mobile game development, marketing and advertising. Activision Blizzard will be able to contribute its learnings from developing and publishing mobile games to Xbox gaming studios.”

With the new Xbox game store for mobile, Microsoft will compete with Google’s Play Store and Apple’s App Store. Netflix had also joined the fray last year, and recently announced that it is working on 55 more games as well as a cloud gaming service. As big players enter the mobile gaming field, users will be spoilt for choice as they’ll have a wide variety of platforms to choose from.