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XBox (Games)

Xbox Moving 'Full Speed Ahead' on Next Gen Console (windowscentral.com) 41

Microsoft is moving "full speed ahead" on its next generation console, an internal email from Xbox president Sarah Bond has revealed. From a report: The email, obtained by Windows Central and verified to be genuine by Microsoft, also announced the formation of a game preservation team at Xbox. "We are moving full speed ahead on our next generation hardware, focused on delivering the biggest technological leap ever in a generation," Bond said, reiterating comments made in February when the console's existence was officially announced. No further information was shared regarding the hardware itself, nor when fans might be able to buy it, but documents leaked in 2023 suggested Microsoft plans to release the next Xbox in 2028. Regardless, with Microsoft seemingly making its development a priority, it will likely be available sooner rather than later.

Alongside it looking to the future, Xbox also appears committed to the past and present. "We have formed a new team dedicated to game preservation, important to all of us at Xbox and the industry itself," Bond said in the email. "We are building on our strong history of delivering backwards compatibility to our players, and we remain committed to bringing forward the amazing library of Xbox games for future generations of players to enjoy."

Advertising

Roku's New HDMI Tech Could Show Ads When You Pause Your Game (kotaku.com) 119

An anonymous reader quotes a report from Kotaku: A new patent recently filed by TV and streaming device manufacturer Roku hints toward a possible future where televisions could display ads when you pause a movie or game. For Roku, the time in which the TV is on but users aren't doing anything is valuable. The company has started leasing out ad space in its popular Roku City screensaver -- which appears when your TV is idle -- to companies like McDonald's and movies like Barbie. As tech newsletter Lowpass points out, Roku finds this idle time and its screensaver so valuable that it forbids app developers from overriding the screensaver with their own. But, if you plug in an Xbox or DVD player into the HDMI port on a Roku TV, you bypass the company's screensaver and other ads. And so, Roku has been figuring out a way to not let that happen.

As reported by Lowpass on April 4, Roku recently filed a patent for a technology that would let it inject ads into third-party content -- like an Xbox game or Netflix movie -- using an HDMI connection. The patent describes a situation where you are playing a video game and hit pause to go check your phone or grab some food. At this point, Roku would identify that you have paused the content and display a relevant ad until you unpaused the game. Roku's tech isn't designed to randomly inject ads as you are playing a game or watching a movie, it knows that would be going too far and anger people. Instead, the patent suggests several ways that Roku could spot when your TV is paused, like comparing frames, to make sure the user has actually paused the content. Roku might also use the HDMI's audio feed to search for extended moments of silence. The company also proposes using HDMI CEC -- a protocol designed to help devices communicate better -- to figure out when you pause and unpause content. Similarly, Roku's patent explains that it will use various methods to detect what people are playing or watching and try to display relevant ads. So if it sees you have an Xbox plugged in, it might try to serve you ads that it thinks an Xbox owner would be interested in.

AI

Microsoft is Working on an Xbox AI Chatbot (theverge.com) 11

Microsoft is currently testing a new AI-powered Xbox chatbot that can be used to automate support tasks. From a report: Sources familiar with Microsoft's plans tell The Verge that the software giant has been testing an "embodied AI character" that animates when responding to Xbox support queries. I understand this Xbox AI chatbot is part of a larger effort inside Microsoft to apply AI to its Xbox platform and services.

The Xbox AI chatbot is connected to Microsoft's support documents for the Xbox network and ecosystem, and can respond to questions and even process game refunds from Microsoft's support website. "This agent can help you with your Xbox support questions," reads a description of the Xbox chatbot internally at Microsoft. Microsoft expanded the testing pool for its Xbox chatbot more broadly in recent days, suggesting that this prototype "Xbox Support Virtual Agent" may one day handle support queries for all Xbox customers. Microsoft confirmed the existence of its chatbot to The Verge.

Games

Russia Is Making Its Own Gaming Consoles (gamerant.com) 161

Vladimir Putin has ordered Russia's government to explore the development of a series of homegrown consoles to compete with PlayStation and Xbox. Game Rant reports: Russia has taken issue with Western games and developers in recent years, leading the country to threaten the banning of certain titles like Apex Legends and The Last of Us Part 2. This is due to what the Russian government perceives as pro-LGBTQ messaging, which it openly opposes. In February, Russia's Organization for Developing the Video Game Industry (RVI) laid out a long-term plan that ended with the creation of a fully capable gaming console in 2026-2027. It seems that the Russian government may be attempting to follow through with this plan.

Following a meeting on the economic development of Kaliningrad, Putin requested government officials to research the requirements for domestic production of stationary and portable gaming consoles. The Russian president also ordered the planning of an appropriate operating system and cloud system for the consoles. The deadline for these plans is set for June 15, 2024, and Russia's prime minister was designated as the official overseeing these tasks. A Kremlin spokesperson confirmed that the orders intend to develop Russia's homegrown gaming industry.

XBox (Games)

Phil Spencer Wants Epic Games Store and Others On Xbox Consoles (polygon.com) 49

Chris Plante reports via Polygon: Phil Spencer doesn't just want Xbox games on other consoles. He wants other video game retailers on Xbox, too. In an interview with Microsoft's CEO of Gaming during the annual Game Developers Conference, Spencer told Polygon about the ways he'd like to break down the walled gardens that have historically limited players to making purchases through the first-party stores tied to each console. Or, in layperson terms, why you should be able to buy games from other stores on Xbox -- not just the official storefront. Spencer mentioned his frustrations with closed ecosystems, so we asked for clarity. Could he really see a future where stores like Itch.io and Epic Games Store existed on Xbox? Was it just a matter of figuring out mountains of paperwork to get there? "Yes," said Spencer. "[Consider] our history as the Windows company. Nobody would blink twice if I said, 'Hey, when you're using a PC, you get to decide the type of experience you have [by picking where to buy games]. There's real value in that." Spencer believes console players would benefit from that freedom too -- and so would console makers like Microsoft.

Spencer explained how, in the past, console makers would typically subsidize the cost of expensive hardware, knowing that a portion of every dollar spent on games for the platform over the years would eventually make it back to the console maker. Then, in time, the console maker would recoup the subsidy -- and hopefully more. But, Spencer said, "Moore's Law has slowed down. The price of the components of a console aren't coming down as fast as they have in previous generations." Worse, he explained, the console market isn't growing, with more gamers moving to PC and handheld options. Now, the notion of subsidizing a console -- and forcing players to purchase games through the official storefront to help recoup costs -- might not make sense. The walls meant to lock people into consoles might be motivating them to stay out.

"[Subsidizing hardware] becomes more challenging in today's world," Spencer said. "And I will say, and this may seem too altruistic, I don't know that it's growing the industry. So I think, what are the barriers? What are the things that create friction in today's world for creators and players? And how can we be part of opening up that model?" The answer, in part, is scrapping exclusivity on more and more Xbox games. Spencer explained that the game experience is hindered when it matters what consoles we play on or what shops sell us our games. As an example, he pointed to Sea of Thieves. A player, he explained, shouldn't have to worry about what hardware they or their friends own. They should just know if their friends have and want to play Sea of Thieves. Now, Spencer said, "if I want to play on a gaming PC, then I feel like I'm more a continuous part of a gaming ecosystem as a whole. As opposed to [on console], my gaming is kind of sharded -- to use a gaming term -- based on these different closed ecosystems that I have to play across."

XBox (Games)

Xbox Cloud Gaming Now Has Mouse and Keyboard Support In Select Games 30

Tom Warren reports via The Verge: Microsoft is starting to preview mouse and keyboard support for Xbox Cloud Gaming today. Xbox Insiders will be able to start playing with their mouse and keyboard in Edge, Chrome, or the Xbox app on Windows PCs, nearly two years after Microsoft announced it was preparing to add mouse and keyboard support to its Xbox Cloud Gaming (xCloud) service. Not every game will be supported during the preview, but there's a large selection, including Fortnite, Sea of Thieves, and Halo Infinite. Microsoft warns that some games will display controller UI elements briefly before adapting to mouse and keyboard input after you start interacting with the game.

If you're interested in trying games with mouse and keyboard in the browser version of Xbox Cloud Gaming, then you'll need to be in full-screen mode, according to Microsoft. This is so the game can correctly capture your pointer as input. If you want to exit out of mouse and keyboard mode and use an Xbox controller instead, there's an ALT+F9 shortcut to do so.
The full list of supported games include: Fortnite (browser only), ARK Survival Evolved, Sea of Thieves, Grounded, Halo Infinite, Atomic Heart, Sniper Elite 5, Deep Rock Galactic, High on Life, Zombie Army 4 Dead War, Gears Tactics, Pentiment, Doom 64, and Age of Empires 2.
Businesses

Former Activision CEO Bobby Kotick Considering Buying TikTok (nytimes.com) 42

According to the Wall Street Journal (paywalled), former Activision CEO Bobby Kotick is reportedly considering buying TikTok. PCMag reports: Kotick floated the idea at a dinner at an Allen & Co. conference earlier this week with a group of potential partners, including OpenAI CEO Sam Altman, the Journal says. Kotick left Activision in late December after more than 30 years following the approval of the Microsoft merger and a tumultuous period that included a damaging discrimination lawsuit. And while he got a hefty golden parachute, it's probably not enough to buy TikTok, so he'll need partners with deep pockets. The report comes amid a vote in the House that would require TikTok to be sold or banned in the United States.
AMD

AMD Stops Certifying Monitors, TVs Under 144 Hz For FreeSync (arstechnica.com) 49

An anonymous reader quotes a report from Ars Technica: AMD announced this week that it has ceased FreeSync certification for monitors or TVs whose maximum refresh rates are under 144 Hz. Previously, FreeSync monitors and TVs could have refresh rates as low as 60 Hz, allowing for screens with lower price tags and ones not targeted at serious gaming to carry the variable refresh-rate technology. AMD also boosted the refresh-rate requirements for its higher AdaptiveSync tiers, FreeSync Premium and FreeSync Premium Pro, from 120 Hz to 200 Hz.

Here are the new minimum refresh-rate requirements for FreeSync, which haven't changed for laptops. AMD will continue supporting already-certified FreeSync displays even if they don't meet the above requirements. Interestingly, AMD's minimum refresh-rate requirements for TVs goes beyond 120 Hz, which many premium TVs max out at currently, due to the current-generation Xbox and PlayStation supporting max refresh rates of 120 frames per second (FPS). Announcing the changes this week in a blog post, Oguzhan Andic, AMD FreeSync and Radeon product marketing manager, claimed that the changes were necessary, noting that 60 Hz is no longer "considered great for gaming." Andic wrote that the majority of gaming monitors are 144 Hz or higher, compared to in 2015, when FreeSync debuted, and even 120 Hz was "a rarity."

XBox (Games)

Microsoft's Gaming CEO Says Xbox Won't Go All-Digital Just Yet (pcmag.com) 78

It's no surprise that the broader tech industry has largely moved away from physical disks to digital subscription-based models. But Microsoft's Gaming CEO Phil Spencer says Xbox isn't trying to do away with disks just yet -- even though making disk slots could become challenging in the future. From a report: "Our strategy does not hinge on people moving all-digital," Spencer said in a recent interview with Game File. "Getting rid of physical, that's not a strategic thing for us." While Spencer implied that disk slots have become somewhat old-school at this point, Xbox consoles will continue to offer both disk-compatible and diskless options if gamers still want to choose. Xbox hasn't confirmed yet whether the previously leaked diskless Xbox refresh of the Series X console is still coming, though.

"Gaming consoles themselves have kind of become the last consumer electronic device that has a drive," Spencer conceded, calling it a "real issue." Because so few manufacturers are still making physical disk slots, it's possible making consoles with them could become cost prohibitive in the future. "When you think about cogs that we're going to go put in a console -- and as you have fewer suppliers and fewer buyers -- the cost of the drive does have an impact," Spencer said.

Microsoft

Phil Spencer Wants Sony and Nintendo Games on Xbox, But Says He Doesn't Expect It (videogameschronicle.com) 19

Microsoft announced this week that four of Xbox's previously-exclusive games are going cross-platform to PlayStation and Switch. Xbox head Phil Spencer says in a new interview that he'd like to see Sony and Nintendo bring their games to Xbox -- but that he isn't holding his breath. From a report: In an interview for journalist Stephen Totilo's Game File newsletter, Spencer said the decision to bring four Xbox games to other consoles wasn't intended to make its rivals follow suit. "This is not for me, like, some kind of bartering system," Spencer explained. "We're doing it for the better of Xbox's business." Despite this, Spencer said he would of course welcome other consoles' games on Xbox, and noted that it would be beneficial for multiplayer games in particular, where building a large online community is important for a game's lifespan.

"I will say, when I look at a game like Helldivers 2 -- and it's a great game, kudos to the team shipping on PC and PlayStation -- I'm not exactly sure who it helps in the industry by not being on Xbox," he said. "If you try to twist yourself to say, like, somehow that benefited somebody somewhere. But I get it. There's a legacy in console gaming that we're going to benefit by shipping games and not putting them on other places. We do the same thing." Spencer also noted that Helldivers 2 -- which Sony released on PlayStation and PC on the same day -- is doing well on the latter. "I will say shipping more games in more places and making them more accessible to more people is a good part of the gaming business," he said.
Further reading: Phil Spencer Puts Apple's Money Where His Mouth Is.
Microsoft

Microsoft Teases Next-Gen Xbox With 'Largest Technical Leap', New 'Unique' Hardware (theverge.com) 51

Tom Warren reports via The Verge: Microsoft is teasing the potential for unique Xbox hardware in the future and a powerful next-gen console. Four previously exclusive Xbox games are officially coming to the PS5 and Nintendo Switch soon, and Microsoft wants to reassure Xbox fans that it's still very much invested in the future of its platform and hardware. In an official Xbox podcast today, Xbox president Sarah Bond teased that Microsoft will deliver 'the largest technical leap' with the next-generation Xbox: "We've got more to come. There's some exciting stuff coming out in hardware that we're going to share this holiday. We're also invested in the next-generation roadmap. What we're really focused on there is delivering the largest technical leap you will have ever seen in a hardware generation, which makes it better for players and better for creators and the visions that they're building."

Speaking to The Verge, Microsoft Gaming CEO Phil Spencer went a step further, teasing that the Xbox hardware teams are thinking about building different kinds of hardware. "I'm very proud of the work that the hardware team is doing, not only for this year, but also into the future," says Spencer. "[We're] really thinking about creating hardware that sells to gamers because of the unique aspects of the hardware. It's kind of an unleashing of the creative capability of our hardware team that I'm really excited about."

Perhaps that unique hardware is an Xbox handheld. "We see a lot of opportunity in different types of devices, and will share specifics on our future hardware plans as soon as we are ready," says Microsoft in an Xbox blog post today.

XBox (Games)

Xbox Boss Tells Employees Microsoft Has No Plans To Stop Making Consoles (ign.com) 97

Amid increasing speculation about the future of Xbox, its exclusives, and even its status as a hardware manufacturer, Phil Spencer reportedly told employees last week that it has no plans to stop making consoles. From a report: Reporter Shannon Liao said in her weekly Substack industry newsletter that Spencer moved to reassure staff during an all-hands meeting on Tuesday. "The company held an internal Tuesday townhall where Spencer told employees that there were no plans to stop making consoles, and that Xboxes would continue to be part of a strategy that involves multiple kinds of devices," Liao reported.
Microsoft

Microsoft Weighs Launching Some Games, Including Indiana Jones, on the PS5 (theverge.com) 15

An anonymous reader shares a report: Bethesda's upcoming Indiana Jones game is also tentatively set to launch on Sony's PlayStation 5 console. We got our first glimpse of Indiana Jones and the Great Circle during Microsoft's Xbox Developer Direct event last month, where it was announced for Xbox and PC. A source familiar with Microsoft's plans tells The Verge that Bethesda is also considering bringing Indiana Jones and the Great Circle to PS5.

A new multi-platform approach for certain Xbox games is emerging inside Microsoft, we're told, with the company weighing up which titles will remain exclusive and others that will appear on Switch or PS5 in the future. Indiana Jones appears to be part of this new wave of multi-platform games. While Bethesda will launch its Indiana Jones game first as an Xbox console exclusive, it's currently set to have a rather short period of exclusivity we're told. A release for PS5 is being considered for some months later, with Bethesda tentatively targeting a December 2024 launch for the Xbox and PC versions.

XBox (Games)

Microsoft Says Palworld Is the Biggest Ever Third-Party Game Pass Launch (engadget.com) 40

Palworld, a viral "Pokemon with guns" game, has become Microsoft's biggest third-party launch on Game Pass. According to developer Pocketpair, the game sold 12 million copies on Steam and seven million on Xbox since its January 19 launch. A million of the copies were sold in its first eight hours. Engadget reports: In addition to being the biggest third-party Game Pass launch ever, Palworld had the largest third-party day-one launch on Xbox Cloud Gaming (included with Game Pass Ultimate). The game's highest peak since launch was nearly three million daily active users on Xbox. Microsoft says it was the most-played game on Xbox platforms during that period.

Palworld uses Pokemon-esque characters and themes -- enough to catch the attention of Nintendo's lawyers. It has battles with monsters similar to those in the creature-collecting series, including the ability to capture them inside a sphere after winning. But Palworld also includes biting social commentary and incorporates themes you'd never see in Pokemon -- like labor exploitation. "Don't worry, there are no labor laws for Pals," a game FAQ reads. One of the title's trailers showed a player circling hard-at-work Pals with an assault rifle. "Creating a productive base like this is the secret to living a comfortable life in Palworld," the narration reads.

Microsoft

Microsoft's Gaming Revenue Is Up 49 Percent In Q2, Mostly Thanks To the Activision Deal (engadget.com) 10

For the first time, Microsoft's Q2 earnings report includes the impact of the company's $68.7 billion Activision Blizzard acquisition. "While Microsoft isn't breaking out specific numbers, it says that its overall gaming revenue increased by 49 percent, 44 points of which came from the 'net impact' of the Activision deal," reports Engadget. From the report: Microsoft's More Personal Computing division, which includes Xbox, Surface and Windows, was up 19 percent ($16.9 billion) since last year. The company says the Activision deal accounted for 15 points of that increase. It's a huge change for a division that's been severely impacted by dwindling PC sales (which affects Windows licenses and Surfaces) and struggling Xbox consoles. PC device revenues were down 9 percent for the quarter, while Xbox hardware sales were up 3 percent. Xbox content and services revenue is also up 61 percent since last year, 55 points of which comes from Activision. Overall, Microsoft reported revenues of $62 billion, up from $52.7 billion a year earlier. Microsoft's cloud division posted revenue growth of 28%, with its intelligent-cloud revenue up 20% to $25.9 billion. Meanwhile, its productivity and business-processes segment generated $19.2 billion.
Television

Halo's Trailer for Season 2 Teases More Covenant (youtube.com) 30

Halo — the TV series — launches its second season on February 8th. But today a trailer premiered during halftime of the pre-Super Bowl football playoff.

Gizmodo reports: Even though the Covenant are the other side of Halo's ongoing conflict, the first season of Paramount+'s TV series largely represented them through a human proxy named Makee. With the upcoming second season, the coalition of alien races is set to become a more prominent threat, and that means they'll be getting more proper screentime.
IGN had written that Season 1 "isn't a perfect adaptation of the games, but it ultimately succeeds in expanding the series' mythology and taking a more character-driven approach to Master Chief's adventures." This week Paramount+ also released a 28-minute compilation of "Epic Battle Scenes from Season 1, a season which reportedly cost $200 million to film.

And now the entertainment site Collider reports on what comes next: While on the set for Halo Season 2, Collider's Steve Weintraub and some other reporters got the chance to sit down with stars Schreiber and Kate Kennedy to discuss how the show will further flesh out the Covenant in the upcoming episodes. Part of that involves expanding their arsenal with new vehicles like the corvette, a class of ships used in the Halo canon by the Covenant for reconnaissance, stealth, and much more. Kennedy placed it among her favorite Season 2 set designs, saying... "It's huge, and what the set guys did for it, and the art department, is really, really impressive. They turned it around so quickly, and it's, like, awe-inspiring, it's huge."

Aside from making the Covenant more formidable, Season 2 will also focus on making them more understandable. Part of that involves diving into the thought process of key players within the alien faction, including two that Schreiber could tease. "Yeah, we definitely go into the Covenant mind-state, mentality," he said... In future seasons, Schreiber believes Halo will only continue to develop the Covenant, their motives, and the relationships and allegiances within the coalition as the story of intergalactic war unfolds.

Businesses

Tech Stocks Hit New Records as Tech Layoffs Rise Amid AI Hiring Sprees (cnbc.com) 61

An anonymous Slashdot reader shared this report from CNBC: The S&P 500 is trading at a record and the Nasdaq is at its highest in two years. Alphabet shares reached a new pinnacle on Thursday, as did Meta and Microsoft, which ran past $3 trillion in market cap.

Don't tell that to the bosses.

While Wall Street cheers on Silicon Valley, tech companies are downsizing at an accelerating clip. So far in January, some 23,670 workers have been laid off from 85 tech companies, according to the website Layoffs.fyi. That's the most since March, when almost 38,000 people in the industry were shown the exits. Activity picked up this week with SAP announcing job changes or layoffs for 8,000 employees and Microsoft cutting 1,900 positions in its gaming division. Additionally, high-valued fintech startup Brex laid off 20% of its staff and eBay slashed 1,000 jobs, or 9% of its full-time workforce... Earlier in the month, Google confirmed that it cut several hundred jobs across the company, and Amazon has eliminated hundreds of positions spanning its Prime Video, MGM Studios, Twitch and Audible divisions. Unity said it's cutting about 25% of its staff, and Discord, which offers a popular messaging service used by gamers, is shedding 17% of its workforce...

Investors lauded the cost-cutting measures that companies put in place last year in response to rising inflation, interest rates hikes, recession concerns and a brutal market downturn in 2022. Even with an improving economic outlook, the thriftiness continues. Layoffs peaked in January of last year, when 277 technology companies cut almost 90,000 jobs, as the tech industry was forced to reckon with the end of a more than decade-long bull market. Most of the rightsizing efforts took place in the first quarter of 2023, and the number of cuts proceeded to decline each month through September, before ticking up toward the end of the year.

One explanation for the January surge as companies budget for the year ahead: They've learned they can do more with less... Nigel Vaz, CEO of consulting firm Publicis Sapient, told CNBC that some companies are probably looking at the boon that Meta and Salesforce got after their hefty cost-cutting measures last year... At the large publicly traded companies, there's an "intense focus" on profitability, margins and cost cutting, said Tim Herbert, chief research officer at CompTIA, which tracks trends across the tech sector.

CNBC emphasizes that layoff numbers are much lower than last year, according to the CEO of the company that owns the tech-recruiting site Dice — and that the layoffs aren't limited to the tech industry. But the article also argues that "AI demand is so great that some tech companies are cutting headcount in parts of the business to invest more heavily in developing AI products." (SAP specifically said its restructuring aimed to boost "focus on key strategic growth areas, in particular Business AI.")

And elsewhere CNBC writes that "As tech firms prioritize investments into artificial intelligence and go on a hiring spree, other segments are likely to see layoffs continue into 2024, according to industry experts."
Apple

Apple Opens App Store To Game Streaming Services (theverge.com) 8

Starting today Apple is opening up its App Store to allow game streaming apps and services. From a report: This means that services like Xbox Cloud Streaming and GeForce Now, which previously were only accessible on iOS via a web browser, will be able to offer full-featured apps. "Developers can now submit a single app with the capability to stream all of the games offered in their catalog," Apple wrote in a blog post. These changes apply "worldwide," according to the company.

In 2020, Apple appeared to have carved out a space for these cloud gaming services in the App Store. But that turned out not to be the case, as all games available through each service had to be submitted and reviewed as a standalone app. So the shift to allow one app with a large catalog of games marks a major change. As part of today's announcement, Apple said that "each experience made available in an app on the App Store will be required to adhere to all App Store Review Guidelines and its host app will need to maintain an age rating of the highest age-rated content included in the app."
Apple also says that developers will now "be able to provide enhanced discovery opportunities for streaming games, mini-apps, mini-games, chatbots, and plug-ins that are found within their apps," and that "mini-apps, mini-games, chatbots, and plug-ins will be able to incorporate Apple's In-App Purchase system to offer their users paid digital content or services for the first time, such as a subscription for an individual chatbot."
Microsoft

Microsoft Cuts 1,900 Activision Blizzard and Xbox Jobs (ign.com) 72

Microsoft is laying off 1,900 workers -- or around 8% of Microsoft Gaming's 22,000 employees. The majority of layoffs are at Activision Blizzard, though cuts will impact Xbox and ZeniMax employees, too. The memo from Microsoft Gaming chief Phil Spencer: It's been a little over three months since the Activision, Blizzard, and King teams joined Microsoft. As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business. Together, we've set priorities, identified areas of overlap, and ensured that we're all aligned on the best opportunities for growth.

As part of this process, we have made the painful decision to reduce the size of our gaming workforce by approximately 1900 roles out of the 22,000 people on our team. The Gaming Leadership Team and I are committed to navigating this process as thoughtfully as possible. The people who are directly impacted by these reductions have all played an important part in the success of Activision Blizzard, ZeniMax and the Xbox teams, and they should be proud of everything they've accomplished here. We are grateful for all of the creativity, passion and dedication they have brought to our games, our players and our colleagues. We will provide our full support to those who are impacted during the transition, including severance benefits informed by local employment laws. Those whose roles will be impacted will be notified, and we ask that you please treat your departing colleagues with the respect and compassion that is consistent with our values.

Looking ahead, we'll continue to invest in areas that will grow our business and support our strategy of bringing more games to more players around the world. Although this is a difficult moment for our team, I'm as confident as ever in your ability to create and nurture the games, stories and worlds that bring players together.

AI

Palworld Embroiled in AI and Pokemon 'Plagiarism' Controversy (videogameschronicle.com) 101

Steam's newest hit survival game, Palworld, has been accused of plagiarising designs from Pokemon, as social media users negatively highlight its creator's historical association with generative AI tools. VideoGamesChronicle: Palworld by Japanese studio Pocketpair released into early access on PC and Xbox on Friday, and immediately became a breakout success, with its creator claiming 2 million sales in 24 hours. The huge launch exposure inevitably reignited discourse that has followed Palworld since its announcement, around its character designs' apparent similarities to Pokemon. Although the gameplay of Palworld is closer to survival games like Ark and Rust than Game Freak's series, many social media users have noted the obvious influences its character designs have taken from the Nintendo series.

Following Palworld's release on Friday, some X users collated perceived similarities between Palworld's 'Pals' and Pokemon. "It's not even subtle about its rip offs, how much else has it stolen?" wrote one user. Another added: "I want to like Palworld, but I don't know if I can support running existing Pokemon through a fusor and passing them off as 'new' IP." The situation is further muddled in the eyes of some by Pocketpair's historical relationship with generative AI tools. Artist Zaytri noted on X that one of its previous titles was 'AI: Art Imposter,' a game which literally utilises an AI image generator as its core mechanic. The user also highlighted multiple historical X posts by Pocketpair's CEO Takuro Mizobe, in which he appeared to praise the potential of AI image generators for content creation.

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