In February, Microsoft announced its intention to bring four exclusive Xbox titles to competing platforms, including Sony’s PlayStation and Nintendo Switch. Recent reports indicate that the company aims to expand this endeavor further, with plans to develop additional first-party games for the PS5 under a new initiative codenamed “Latitude.”
According to a report by Windows Central, while specific titles for the PS5 have not been identified, it is suggested that the forthcoming games are likely to be familiar franchises. The report states, “More upcoming Microsoft-owned games slated for PlayStation are already being developed,” hinting at a significant shift in Microsoft’s strategy.
During the initial February announcement, Microsoft clarified that its most significant exclusive titles, including Bethesda’s Starfield and the anticipated Indiana Jones and the Great Circle, would not be available on the PS5. However, the latest report suggests that Microsoft is now open to a broader approach regarding the distribution of its games on rival platforms. The article explained that “Microsoft is pushing for no ‘red line’ for what games could come to PlayStation,” which reflects the leadership’s directive to enhance the profitability across all departments.
Despite the push to release more titles on PlayStation and Nintendo, the “Latitude” plan has elicited some internal disagreement within Microsoft, with several employees expressing concerns about its implications.
As part of its earlier announcement, Microsoft has already made strides by releasing games such as Hi-Fi Rush, Pentiment, Grounded, and Sea of Thieves on competing consoles. This indicates a strategic pivot towards expanding its player base beyond the Xbox ecosystem.
The gaming division’s ambition saw a significant boost last year with the $69 billion acquisition of Activision Blizzard, known for the Call of Duty franchise. However, Xbox has faced challenges in realizing the benefits of its expanded roster of studios. Recently, the company disclosed it would be closing three studios and integrating another into an existing team, focusing on its “priority games.” The studios affected included Tango Gameworks, known for Hi-Fi Rush, Arkane Austin, the developer behind Redfall, and Alpha Dog Games, creators of the mobile game Mighty Doom. Meanwhile, Roundhouse Studios, which also contributed to Redfall, was merged with ZeniMax Online Studios.
In the wake of these closures, Bloomberg reported that Microsoft is preparing for additional layoffs within its Xbox division and has begun extending voluntary severance options to staff, including producers and quality assurance testers at ZeniMax, the parent company of Bethesda.
Microsoft has not issued a formal statement regarding the studio closures or the anticipated layoffs. However, the company is planning to showcase its upcoming game lineup, including exclusive and third-party titles, during an Xbox Games Showcase event scheduled for June 9.
