I was curious to see what this division could do back in April. Six series were reported to be in the line-up. The shut-down does not impact them, but we won’t see anything else from the studio. This is part of the 18,000 job cuts plan announced today.
Re/code has several details:
Xbox Entertainment Studios fit with Microsoft’s plan to dominate the living room through its game console. But the unit has struggled to deliver on its promise. Sources paint a picture of a disorganized studio that struggled to close deals and lacked a fully fleshed-out business model. This inability to execute has turned off potential studio partners, they say, complicating the process of securing premium content.
Because of slow Xbox One sales, the studio probably did not seem like a good idea anymore:
Microsoft has moved away from positioning the Xbox One as an all-in-one entertainment system — a message that appeared to alienate gamers who are the most likely first buyers of a new game system. At this year’s E3 game industry trade show in Los Angeles, it was all about the games.
Yes, you buy a gaming console to play games. It’s nice if you can stream TV or buy/rent other content, but you bought the console because it can play good games otherwise you would have bought an Apple TV.