Microsoft has revealed that it will launch an Xbox mobile gaming store in July 2024, aimed at challenging Apple’s and Google’s dominance in the mobile gaming industry.
This major development was disclosed by Xbox President Sarah Bond during an on-stage interview at the Bloomberg Technology Summit.
A New Mobile Gaming Store on Web Browsers
Microsoft’s upcoming mobile gaming store will be accessible through web browsers instead of a dedicated app, allowing it to bypass restrictive app store policies and reach users across all devices.
Bond explained that this approach ensures global accessibility. The intention is to start on the web to allow users access from all compatible devices and countries (independent of the policies of closed ecosystem stores).
The store will feature Microsoft’s first-party mobile games, including its popular sandbox game Minecraft and the wildly addictive Candy Crush Saga, as flagship titles. Candy Crush Saga has generated over $20 billion in revenue since its launch in 2012 and will undoubtedly attract a massive player base to the store.
Later down the line, the Xbox mobile game store will offer third-party titles too. Bond hasn’t got into the specifics such as the rules developers will have to follow in order distribute an app on the upcoming platform, the planned payment split with devs, the kind of games it will or will not allow and so on.
If you wanted to visit a new casino online, Microsoft’s forthcoming games store would be capable of letting you do so without having you download a separate app due to its browser-based nature. Google’s Play Store and the Apple App Store already feature gambling apps in certain regions. But you still have to install a specific app for that.
Apart from the possibility of permitting real-money gaming, it’ll also be interesting to see what the company’s policy will be on adult content in its games. Since its store will be open to users of all ages and regions on any compatible device, Microsoft would have to find a way to efficiently age-gate and geo-block restricted content, if any.
Bond took great pains to emphasize that Microsoft’s mobile gaming store aims to provide a unique cross-platform experience, where a player’s identity, rewards, and game library are not confined to a single ecosystem.
Aiming to Compete with Apple and Google
Microsoft appears to have been playing the long game (pardon the pun) – creating its mobile gaming store in the hopes that regulatory changes would coerce Apple and Google into opening up their app stores to third parties.
Even though CEO of Microsoft Gaming, Phil Spencer, was heard openly hinting about an Xbox mobile store only in December 2023, the idea has clearly been in development for years. Back in 2022, the company said that nearly 95% of all players globally were enjoying games on mobile.
The EU’s Digital Markets Act which was passed in March 2024 has forced an unwilling Apple to allow users access to third-party app stores, but this will only apply in Europe. Microsoft doesn’t face any such issues with launching its store on Android since side-loading is permitted.
The company’s upcoming store launch sets the stage for direct competition between itself and the mobile gaming giants, Apple and Google, who currently control the distribution of most mobile games through their respective app stores.
With Candy Crush and Call of Duty in its kitty (via acquisition of Activision Blizzard in 2023), Microsoft is positioning itself to become a major player in the mobile gaming market.
The Lucrative Mobile Gaming Industry
Mobile gaming is the fastest-growing sector in the gaming industry. Emerging markets are driving this growth, where smartphones are more prevalent than gaming consoles or PCs. Games like Genshin Impact and PUBG Mobile boast tens of millions of players on mobile devices globally, underscoring the immense potential of this market.
Microsoft’s acquisition of Activision Blizzard for $68.7 billion added several lucrative franchises to its portfolio, including Candy Crush Saga and Call of Duty: Mobile. These titles will be instrumental in attracting players to the new store and providing a unique gaming experience.
Despite the ambitious launch plans, Microsoft faces challenges in convincing players to switch from existing app stores to its web-based platform. Bond hinted that the store would eventually expand beyond web browsers to provide a more comprehensive alternative to Apple’s and Google’s app stores.
Microsoft’s announcement follows its recent decision to shutter several Bethesda Softworks studios, including Tango Gameworks in Japan and Arkane Austin. The closures were attributed to a reallocation of internal resources and challenges in managing multiple projects under publisher, Xbox Game Studios.
Microsoft’s mobile gaming store represents a significant strategic move in challenging Apple’s and Google’s stronghold in mobile gaming. With its cross-platform approach, extensive first-party gaming library, and plans for future third-party partnerships, the store aims to redefine the mobile gaming landscape.
Gamers and industry observers alike eagerly await the store’s launch in July, which could set a new standard for cross-device gaming.