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[TECHNOLOGY] · United States, South Korea · 2 sources

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Microsoft maintains Xbox Cloud Gaming despite reported losses

Microsoft is maintaining its commitment to Xbox Cloud Gaming despite reports indicating the service is currently operating at a loss. While some reports suggest the current business model may be unsustainable, the company continues to invest in the technology, including the development of controllers specifically designed for cloud gaming.

Recent changes have seen some older Samsung television models lose support for Xbox Cloud Gaming. Technical analysis suggests this may be due to hardware and software limitations rather than a strategic withdrawal. Specifically, 2020 Samsung TVs utilize Chromium 69, which lacks the Web-Worker functions required by the newer Xbox Cloud Gaming web platform that debuted with Chromium 70.

Microsoft has also adjusted its online gaming business model, where Game Pass includes a set amount of active playtime, with additional usage requiring separate payments. Despite financial challenges related to usage exceeding package limits, Microsoft views cloud gaming as a long-term strategic priority, especially as rising hardware costs for consoles and PCs may drive consumer demand for cloud-based solutions.

Entities

Microsoft · Nvidia · Samsung · Xbox