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Microsoft is considering stopping console sales in the Middle East region, will focus on PC Gamepass and Accessories

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
No. Playstation has had multiple games altered or banned by some countries, but they sell most games here just fine.

Xbox basically has no share in this region (MENA), we already had reports of a slashed marketing budget a month or two ago. This is pure cost cutting IMHO.

Which also goes to show you that Microsoft does not view this next Generation handheld to be as good as or as popular as the Steam deck 2.

It's just another way to get Xbox consumers to play games and another reason to be subscribed to game pass. It is very clear that Microsoft is trying to narrow their scope Hardware wise and just want to give people as many options as possible to play and be subscribed to game pass.
 

Cakeboxer

Member
Aren't they stopping console sales worldwide, just not voluntarily?
WmineYk.jpeg
 

Astray

Member
No, as someone who have lived in the region for over a decade now, it's because their localisation sucks in every aspect possible.

They thought they could literally come here and just google translate their American style marketing and products and that it would work, it's quite laughable really.
I recall the local Xbox influencers were pushing a petition to have Starfield get an Arabic localization, with a lot of people participating, it even got on Jez's radar (and to his credit, he actually amplified it).. And basically nothing happened. They didn't even reply to it from what I've seen.

Which also goes to show you that Microsoft does not view this next Generation handheld to be as good as or as popular as the Steam deck 2.

It's just another way to get Xbox consumers to play games and another reason to be subscribed to game pass. It is very clear that Microsoft is trying to narrow their scope Hardware wise and just want to give people as many options as possible to play and be subscribed to game pass.
I wouldn't call this action an indication on the quality of their upcoming devices. Their hardware has been quite well-built and engineered lately. It's just that management sucks and doesn't know how to penetrate any region that isn't the US or UK.

This is cost-cutting via withdrawal from a region they never even tried to actually penetrate, pure and simple.

I predict Europe will be next on the list.
 

Brucey

Member
The whole EMEA territory is PlayStation and Nintendo, MS was never able to gain significant market share there, maybe excluding the UK (historically) so no really surprised with the decision - Maybe that it came so late.
Microsoft have never really done well in non English speaking countries. Failure to invest in localisation, plus reputational damage.
 

Brucey

Member
I recall the local Xbox influencers were pushing a petition to have Starfield get an Arabic localization, with a lot of people participating, it even got on Jez's radar (and to his credit, he actually amplified it).. And basically nothing happened. They didn't even reply to it from what I've seen.


I wouldn't call this action an indication on the quality of their upcoming devices. Their hardware has been quite well-built and engineered lately. It's just that management sucks and doesn't know how to penetrate any region that isn't the US or UK.

This is cost-cutting via withdrawal from a region they never even tried to actually penetrate, pure and simple.

I predict Europe will be next on the list.

Xbox marketing crying poor...


EPczV1Z.jpeg
 

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
Just imagine, didn't Steam Deck sell <5M so far?

I doubt Steamdeck 2 will do double that number.
Seems like a waste of investment for MS.

I really do believe Steam Deck 2 can sell 10 million units. Mainly because they'll be picking up some Xbox gamers that decide to leave that platform over the next 2 years.

I wouldn't call this action an indication on the quality of their upcoming devices. Their hardware has been quite well-built and engineered lately. It's just that management sucks and doesn't know how to penetrate any region that isn't the US or UK.

This is cost-cutting via withdrawal from a region they never even tried to actually penetrate, pure and simple.

I predict Europe will be next on the list.

If MS truly feels that they can't sell in the Middle East and potentially half of Europe, then that'll absolutely lower their ambitions for their next device.
 

Astray

Member
If MS truly feels that they can't sell in the Middle East and potentially half of Europe, then that'll absolutely lower their ambitions for their next device.
This is something I might actually make a thread on, but I think the customer acquisition phase for gaming ecosystems is largely over and the spoils have all been distributed. This isn't limited to consoles, it also includes PCs and Mobile too.

So the idea that Xbox can come up with a killer Showcase or release an amazing console and immediately take all of Sony's or Nintendo's audience in a single stroke is no longer true (and the same largely follows for most of the other big ecosystems too), and so, the way each ecosystem has to grow is going to differ moving forward according to their individual strengths and weaknesses.
 
This is something I might actually make a thread on, but I think the customer acquisition phase for gaming ecosystems is largely over and the spoils have all been distributed. This isn't limited to consoles, it also includes PCs and Mobile too.

So the idea that Xbox can come up with a killer Showcase or release an amazing console and immediately take all of Sony's or Nintendo's audience in a single stroke is no longer true (and the same largely follows for most of the other big ecosystems too), and so, the way each ecosystem has to grow is going to differ moving forward according to their individual strengths and weaknesses.

A lot of people don’t realise this.

PS4 and Xbox One were where this trend really started.

Neither console was backwards compatible at launch and Sony won hands down. Now that they’ll have BC going forwards and most people have switched to digital libraries the market has matured with the big players (Sony, Nintendo, Valve) able to have a strangle hold.

It’s similar to the loyalty people have to iPhone or Android, and how Windows Phone couldn’t get a look in.
 
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mckmas8808

Mckmaster uses MasterCard to buy Slave drives
This is something I might actually make a thread on, but I think the customer acquisition phase for gaming ecosystems is largely over and the spoils have all been distributed. This isn't limited to consoles, it also includes PCs and Mobile too.

So the idea that Xbox can come up with a killer Showcase or release an amazing console and immediately take all of Sony's or Nintendo's audience in a single stroke is no longer true (and the same largely follows for most of the other big ecosystems too), and so, the way each ecosystem has to grow is going to differ moving forward according to their individual strengths and weaknesses.

Great point!
 

yazenov

Gold Member
The whole EMEA territory is PlayStation and Nintendo, MS was never able to gain significant market share there, maybe excluding the UK (historically) so no really surprised with the decision - Maybe that it came so late.

I agree with what you said but apply it worldwide. Xbox outside of the US is irrelevant. Even in the US, their market share is decreasing.

The Middle East is only the beginning if this is true. Asia and Europe are next to follow.
 

Killjoy-NL

Member
A lot of people don’t realise this.

PS4 and Xbox One were where this trend really started.

Neither console was backwards compatible at launch and Sony won hands down. Now that they’ll have BC going forwards and most people have switched to digital libraries the market has matured with the big players (Sony, Nintendo, Valve) able to have a strangle hold.

It’s similar to the loyalty people have to iPhone or Android, and how Windows Phone couldn’t get a look in.
Spencer addressed this as well during the Easy Allies interview, when he said that Xbox lost the most important gen last-gen, when people started building their digital libraries.
 
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I agree with what you said but apply it worldwide. Xbox outside of the US is irrelevant. Even in the US, their market share is decreasing.

The Middle East is only the beginning if this is true. Asia and Europe are next to follow.

Are they losing money by operating in these regions?

If not, then it seems silly to close up shop. as you’re throwing away a brand awareness that has taken decades to build up.

I’m sure Coca-Cola doesn’t make profit in a lot of countries where it operates, but it continues to do business there to prevent anyone else gaining a foothold.

This is why PlayStation is focusing on China and India to prevent anyone else (including startups) gaining traction there.

It makes someone like Tencent think twice about even getting a start in their own home market.
 
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yazenov

Gold Member
Are they losing money by operating in these regions?

If not, then it seems silly to close up shop. as you’re throwing away a brand awareness that has taken decades to build up.

I’m sure Coca-Cola doesn’t make profit in a lot of countries where it operates, but it continues to do business there to prevent anyone else gaining a foothold.

This is why PlayStation is focusing on China and India to prevent anyone else (including startups) gaining traction there.

It makes someone like Tencent think twice about even getting a start in their own home market.

They are forced to close up shop. It's not by choice. Consumers just aren't buying what they are selling. It's as simple as that.

And I know for a fact that retail stores aren't going to waste valuable limited space on products with no demand, collecting dust.

Unless they open a MS Xbox online store and sell their consoles there. But is it feasible? I don't think so. You still need warehouses and employee which costs money on something people are not interested in.

Also add fuel to the fire that is Gamepass. Retail loves Nintendo and Sony because people are buying physical copy of games on these platforms, unlike with Xbox where they don't buy games :p.
They get a lot of money from ps5 and switch because of software sales.
 
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