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Phil Spencer Says Xbox Demand Still Strong While Supply Chain Increasing - Gameranx

Phil Spencer talks about the current production state for Xbox. Demand is still incredibly strong while supply is strengthening.

gameranx.com

Xbox consoles are still flying off store shelves.

So there might be some difficulties still this holiday season when venturing out to find a new console platform. With that said, it doesn’t look like the supply chain is to blame as much as it is with consumer demand for Xbox. The head of Xbox, Phil Spencer, recently spoke with The Verge about the question of supply chain shortages. According to Phil, there is a massive demand right now for Xbox consoles. Phil noted that if you go back to the past generation Xbox console platform releases, you’ll find that they are selling more consoles with this generation than ever before.

We are seeing supply strengthen for us, and demand has not really weakened. All along, while we focused a lot on the supply chain during those first two years of the console generation for us, demand has never been higher for us on Xbox.

Here is the fully section of the supply demand interview with Phil Spencer

We have heard that the chip shortage is actually slowing down, especially in GPUs — GPU supply is there. Is that true for you as well? Is that what you’re experiencing as you try to have inventory for the holiday season?
We are seeing supply strengthen for us, and demand has not really weakened. All along, while we focused a lot on the supply chain during those first two years of the console generation for us, demand has never been higher for us on Xbox. If we go back to the original Xbox, Xbox 360 and Xbox One, we’re selling more consoles than we have ever sold at this point in a generation.
A lot of the discussion, because of COVID-19 and other things, has been on global supply chain and supply. Clearly, if we had more supply, we could meet more demand. I would say our stock situation has been driven as much by demand as it has been supply. That demand doesn’t really seem to be slowing down much. The fact that we’re starting to see more supply come in is why I said you’re still going to see X vacate the shelves pretty quickly. We are definitely seeing supply ease up. I suspect as we get into 2023, touch wood, you will see consoles on the shelf when you walk in the store.

Looks like demand is booming and Phil and Xbox are expecting both Xbox Series consoles to sell out during the holiday season, the X more so than the S.

He confirms that when comparing to Xbox, 360, and ONE, that they have never sold more consoles at this point in a generation, so the Xbox Series consoles are still the fastest selling and best selling Xbox consoles aligned.

Checking with retailers Phil said that he sees that demand is still going strong and that there hasn't been any decrease, even as supply has been increasing as we saw over the summer and fall.

This Black Friday and holiday season in general is going to be very interesting to say the least.

 

[Kenneth Haight]

Good, competition keeps both parties vying for our hard earned cash and will hopefully makes them both create amazing games!

 

[Barakov]

Pretty good given how infrequently MGS actually releases games.

 

[feynoob]

Hope they do the same for their games. I want strong 2023. Not just starfield.
Give us avowed and hell blade 2.

 

[Mr Hyde]

Xbox always wins, baby.

 

[Banjo64]

Hope they do the same for their games. I want strong 2023. Not just starfield.
Give us avowed and hell blade 2.

Made me laugh when I saw this earlier, as it’s made by everyone’s favourite weirdo; Klobrille.

I think it’s potentially a good year if just those games come, as long as Starfield and FM are bangers.

 

[DarkMage619]

Pretty good given how infrequently MGS actually releases games.

They released a highly rated title today. You should play it.

 

[feynoob]

Made me laugh when I saw this earlier, as it’s made by everyone’s favourite weirdo; Klobrille.

I think it’s potentially a good year if just those games come, as long as Starfield and FM are bangers.

aside of starfield, that is a weak lineup.
I wanted some other big games. Hope the later 2023 reveal is nice.

 

[feynoob]

They released a highly rated title today. You should play it.

Would you stop marketing for them?

 

[ManaByte]

Pretty good given how infrequently MGS actually releases games.

They released one today that's getting great reviews.

 

[adamsapple]

Good job, let's see if they're able to meet or exceed the 360 with the series consoles.

 

[Synless]

They released one today that's getting great reviews.

That game will be niche as fuck and is not AAA.

 

[MatrixReloaded101]

Pretty good given how infrequently MGS actually releases games.

100%

People are buying the Series consoles just for game pass but the sales will drop if they don't start delivering AAA games. Once the supply issues loosen up for Sony that's when the real test will start for them.

 

[Kacho]

aside of starfield, that is a weak lineup.
I wanted some other big games. Hope the later 2023 reveal is nice.

Agreed. Starfield and Forza 7 are top shelf stuff but the rest is either B tier or PC centric. All signs point to Redfall being another Ghostwire/Deathloop that doesn’t move the needle.

 

[ManaByte]

That game will be niche as fuck and is not AAA.

Who cares? It's at 86 on metacritic.

 

[S0ULZB0URNE]

Bought 3

 

[ReBurn]

That game will be niche as fuck and is not AAA.

Doesn't count because reasons.

 

[Synless]

Who cares? It's at 86 on metacritic.

Sales will care, owners of the system wanting more quality games that speak to them will care. The point in this thread are referring to a AAA game, not some artistic pet project that few will want to play.

 

[adamsapple]

Made me laugh when I saw this earlier, as it’s made by everyone’s favourite weirdo; Klobrille.

I think it’s potentially a good year if just those games come, as long as Starfield and FM are bangers.

There's definitely gonna be more than that. The 2nd half of the year is an enigma, plenty of time and potential for games like Hellblade, Avowed (to a lesser extent), InXile's next game and the smaller scale project that Coalition is making to come out.

Not expecting that Kojima thing to surface before 2024/2025 at the earliest.

 

[noise36]

Time and time again we see the markets leaders in this and other industries being very anti consumer just because they can be, so healthy competition is very important for everyone.

 

[DenchDeckard]

Sales will care, owners of the system wanting more quality games that speak to them will care. The point in this thread are referring to a AAA game, not some artistic pet project that few will want to play.

Depends on what you view as a good game. Just because the game isn't a huge triple A commercial game that the masses can enjoy makes it irrelevant?

Doesn't matter that it's a great game?

 

[fatmarco]

Made me laugh when I saw this earlier, as it’s made by everyone’s favourite weirdo; Klobrille.

I think it’s potentially a good year if just those games come, as long as Starfield and FM are bangers.

I mean that is basically rubbish isn't it.

After a completey barren 2022, we've got 3 ports, 2 small titles, Redfall which, who knows whether they'll be able to sustain player populations (let alone whether it will actually be that great a game), a sim racer in Forza 8 which while cool, just doesn't have the broad appeal even Forza Horizon 5 has, and then one genuine potential killer app in Starfield.

Thank god we have potentially Atomic Heart on Gamepass and maybe Stalker but jesus this has been a rough run for Xbox/ Gamepass, and its disastrous as far as exclusivity goes.

 

[Synless]

Depends on what you view as a good game. Just because the game isn't a huge triple A commercial game that the masses can enjoy makes it irrelevant?

Doesn't matter that it's a great game?

It’s clear you are missing my point. Which clearly was who gives a shit if it has a high score? Is that going to make the majority of people feel better about their fall release after looking at god of war? No, it won’t… but keep making it seem like most people will give a shit about that game and use it as a great example why they should own an Xbox (hint: they won’t).

 

[Punished Miku]

That game will be niche as fuck and is not AAA.

Sony used to do that too. Most of my favorite games from them.

 

[The_Mike]

What xbox game got released today?

I can see people talk about it here but no one mentions the name.

 

[adamsapple]

I mean that is basically rubbish isn't it.

After a completey barren 2022, we've got 3 ports, 2 small titles, Redfall which, who knows whether they'll be able to sustain player populations (let alone whether it will actually be that great a game), a sim racer in Forza 8 which while cool, just doesn't have the broad appeal even Forza Horizon 5 has, and then one genuine potential killer app in Starfield.

Thank god we have potentially Atomic Heart on Gamepass and maybe Stalker but jesus this has been a rough run for Xbox/ Gamepass, and its disastrous as far as exclusivity goes.

That's just one created person's twitter image, not anywhere near close to the entire lineup of 2023.

What xbox game got released today?

I can see people talk about it here but no one mentions the name.

Pentiment. 86~87 on Open critic.

 

[Oddvintagechap]

more than xbox one isnt really impressive, which will probably be the last xbox I ever owed.

 

[SportsFan581]

Good job, let's see if they're able to meet or exceed the 360 with the series consoles.

Agreed. Would be quite a rebound if they can pull it off.

 

[adamsapple]

more than xbox one isnt really impressive, which will probably be the last xbox I ever owed.

More than One may not be, but more than 360 definitely is.

 

[SportsFan581]

More than One may not be, but more than 360 definitely is.

Especially at this point, 360 was really starting to come into its own, if I remember right the first year of 360 wasn't all that impressive at the time. Those years after though the sales would have been quite good.

 

[fatmarco]

That's just one created person's twitter image, not anywhere near close to the entire lineup of 2023.




Pentiment. 86~87 on Open critic.

So what other Xbox Exclusive games are even potentially releasing this coming year? Microsoft hasn't exactly made a habit of announcing and releasing games within the same year.

As far as announced titles we know that Fable and Perfect Dark are struggling and have essentially zero chance of a 2023 release, Hellbade 2 who knows whats going on with that game, State of Decay 3 doesn't sound like its that far in development given its switch to Unreal Engine 5, Outer Worlds 2 obviously not, Everwild is basically a dead game, Avowed unlikely because its likely to stylistically clash with Starfield and again, its moved to Unreal Engine 5.

I mean sure we could have a few smaller titles like Pentiment come along but come on, as good as smaller titles are or can be, Xbox is still currently on a run of not having a single exclusive title nominated for the Game Awards "Game of the Year" for an entire decade. Sony has had 12 during this time, Nintendo has had 9. Not that it's the be all end all of quality (Forza Horizon has been hard done by), but the extremity of that situation does speak to just how behind or backwards Microsoft has been and continues to be.

 

[adamsapple]

So what other Xbox Exclusive games are even potentially releasing this coming year? Microsoft hasn't exactly made a habit of announcing and releasing games within the same year.

As far as announced titles we know that Fable and Perfect Dark are struggling and have essentially zero chance of a 2023 release, Hellbade 2 who knows whats going on with that game, State of Decay 3 doesn't sound like its that far in development given its switch to Unreal Engine 5, Outer Worlds 2 obviously not, Everwild is basically a dead game, Avowed unlikely because its likely to stylistically clash with Starfield and again, its moved to Unreal Engine 5.

Anything they announced at E3 was coming in the next 12 months, so anything between June-Dec 2023 is completely unknown at this point. Hellblade, Avowed, inXile, Coalition have reportedly been working on projects for a while, some of them should be done in the next year.

We may get some release dates and new trailers at TGA, we may not, can't say until the show happens.

I mean sure we could have a few smaller titles like Pentiment come along but come on, as good as smaller titles are or can be, Xbox is still currently on a run of not having a single exclusive title nominated for the Game Awards "Game of the Year" for an entire decade. Sony has had 12 during this time, Nintendo has had 9. Not that it's the be all end all of quality (Forza Horizon has been hard done by), but the extremity of that situation does speak to just how behind or backwards Microsoft has been and continues to be.

Various Xbox games have won multiple awards in the last couple of years, TGA is not the end-all-be-all of goty awards.

 

[DarkMage619]

It’s clear you are missing my point. Which clearly was who gives a shit if it has a high score? Is that going to make the majority of people feel better about their fall release after looking at god of war? No, it won’t… but keep making it seem like most people will give a shit about that game and use it as a great example why they should own an Xbox (hint: they won’t).

I highly doubt people bought an Xbox expecting to play something like God of War. It's also pretty clear people on gaming forums don't represent normal consumers. People buy consoles to play CoD, Fortnite, and Madden football. Pretty sure all those games are available on Xbox and can be played for less than buying a different game system. There is no need to worry about the Xbox I'm sure they will be OK.

Various Xbox games have won multiple awards in the last couple of years, TGA is not the end-all-be-all of goty awards.

The fact that the TGA had not nominated a single Xbox game in 10 years says more about the TGA than Xbox. Last year alone had fantastic, high scoring releases and still nothing? Clearly they don't have much credibility.

 

[The_Mike]

Pentiment. 86~87 on Open critic.

Oh cool, didn't know it was a Microsoft game.

I play games regardless of who's making them, so anything not Forza halo or gears is not obvious for me lol

 

[Kacho]

I mean sure we could have a few smaller titles like Pentiment come along but come on, as good as smaller titles are or can be, Xbox is still currently on a run of not having a single exclusive title nominated for the Game Awards "Game of the Year" for an entire decade.

Yep those smaller games hit better when they’re sprinkled in between the AAA behemoths. On their own they don’t have the same impact and only serve to highlight the real problem.

 

[Captain Toad]

Tell us the actual numbers, Microsoft or stop talking about sales altogether. You say we have "no need to know our sales numbers", yet you continue telling us "trust us, they're great".

 

[Synless]

I highly doubt people bought an Xbox expecting to play something like God of War. It's also pretty clear people on gaming forums don't represent normal consumers. People buy consoles to play CoD, Fortnite, and Madden football. Pretty sure all those games are available on Xbox and can be played for less than buying a different game system. There is no need to worry about the Xbox I'm sure they will be OK.

The fact that the TGA had not nominated a single Xbox game in 10 years says more about the TGA than Xbox. Last year alone had fantastic, high scoring releases and still nothing? Clearly they don't have much credibility.

You don’t think that people bought Xbox to play an epic AAA title with the budget and like of God of War but with a Microsoft franchise? Your out of your fucking mind. No matter how you spin this, its a disappointing year and certainly fall season for Xbox.

 

[ManaByte]

You don’t think that people bought Xbox to play an epic AAA title with the budget and like of God of War but with a Microsoft franchise? You’re out of your fucking mind. No matter how you spin this, it’s a disappointing year and certainly fall season for Xbox.

People who only play AAA must lead boring gaming lives as they’re missing out on some of the best games out there.

 

[diffusionx]

Meaningless fluff statement without actual numbers.

 

[Synless]

People who only play AAA must lead boring gaming lives as they’re missing out on some of the best games out there.

Maybe, I wouldn’t know. I play most things except I won’t be playing Pentiment as it looks like nothing to write home about.

Still doesn’t change this is an awful fall season for Xbox all things considered. Honestly, it’s an awful season for Nintendo and Sony too… but it’s a little less so for Sony because of god of war.

 

[MOTM]

It’s clear you are missing my point. Which clearly was who gives a shit if it has a high score? Is that going to make the majority of people feel better about their fall release after looking at god of war? No, it won’t… but keep making it seem like most people will give a shit about that game and use it as a great example why they should own an Xbox (hint: they won’t).

More Xbox consoles are being sold at record pace while you’re typing this rubbish

 

[freefornow]

Xbox is still currently on a run of not having a single exclusive title nominated for the Game Awards "Game of the Year" for an entire decade.

FH5 was robbed!!!!

 

[GhostOfTsu]

They released a highly rated title today. You should play it.

How far are you in the game? Do you like it?

I look forward to read your comments about your playthrough in the Pentiment OT

 

[[Sigma]]

 

[Synless]

More Xbox consoles are being sold at record pace while you’re typing this rubbish

Record pace, sure. The most supply constrained launch in recent years with no big titles and they are shattering records somehow? I’d like to see the numbers and PR spin to make that a reality.

 

[MOTM]

Record pace, sure. The most supply constrained launch in recent years with no big titles and they are shattering records somehow? I’d like to see the numbers and PR spin to make that a reality.

Nobody cares about providing numbers to a random Sony fanboy on GAF bro. What you think is totally irrelevant in case you haven’t figured that out yet.

 

[The_Mike]

Record pace, sure. The most supply constrained launch in recent years with no big titles and they are shattering records somehow? I’d like to see the numbers and PR spin to make that a reality.

The majority of gamers buy the most popular console to play fifa and call of duty.

Unbelievable we still have to go through this.

PlayStation has always been more visible in Europe than xbox. Ps has dominated as the "go to" console since PS1.

I remember back when I was in school, the majority of my friends played fifa and stuff like medal of honor and twisted metal.

When a new console came, they bought them to play better versions of fifa.

Fast forward today, the same people use these to play fifa and call of duty, two huge titles everyone has heard of.

Everyone in here knows which console has what exclusives, but many people who buys an playstation buys it because their friends has it, and they want to play with them.

Yes call of duty has cross play, but if you are used to use a PlayStation to play these games then there's literally no reason to pick up an Xbox as the games are available on both and you are already in the eco system.

The only PR in here is playstation sell better than xbox because of exclusives when the reality is playstation is a more known and popular brand in Europe.

 

[Synless]

Nobody cares about providing numbers to a random Sony fanboy on GAF bro. What you think is totally irrelevant in case you haven’t figured that out yet.

You act like I give a shit what console is in the lead, I own all and play all of them. I care about games and I can be critical of any company that deserves it. Maybe your the one who needs to quit white knighting on Microsoft’s behalf if you can’t be at all critical of their shortcomings.

 

[Kacho]

Record pace, sure. The most supply constrained launch in recent years with no big titles and they are shattering records somehow? I’d like to see the numbers and PR spin to make that a reality.

The OG Xbox and Xbox One weren’t exactly lighting up the charts when they launched.

The 360 had a slow start until Gears dropped and then it went lightspeed after the release of Halo 3.

Now we wait to see if we get the same PR at the end of 2023. Maybe Starfield picks up the slack? We’ll see.

 

[Synless]

The OG Xbox and Xbox One weren’t exactly lighting up the charts when they launched.

The 360 had a slow start until Gears dropped and then it went lightspeed after the release of Halo 3.

Now we wait to see if we get the same PR at the end of 2023. Maybe Starfield picks up the slack? We’ll see.

I have high hopes for Starfield but even more so for Elder Scrolls. No way those don’t light up the charts… those are going to be good days to be thrilled about.