Besides these, the Windows-maker said it would soon form a brand-new studio called The Initiative, by acquiring four content studios – Undead Labs, Compulsion Labs, PlayGround Games and Ninja Theory.
Netflix of gamers
Microsoft officially announced its plans to launch a game-streaming service that lets users play games online without the need for a disc. AlphaStreet had earlier reported on Microsoft’s intention to create a Netflix-model gaming service to fend off competition from Sony (SNE). Sony has a PlayStation Now streaming service at $19.99 a month.
In the recently completed third-quarter, Microsoft’s gaming revenue climbed 18% to $2.3 billion and its Xbox Live monthly active users grew 13% to 59 million.
It is expected that Microsoft will soon bring out a cheaper Surface tablet in the second half of 2018, to compete with Apple’s (AAPL) iPad. The new tablet is predicted to have a 10-inch screen, round edges and USB-C connectivity, and is expected to be 20% lighter than high-end models. It will feature Intel (INTC) processor and graphics chips, 64 or 128 GB storage models, Windows 10 Pro, LTE network, and will be priced at around $400, according to market observers.