Report Says Phil Spencer Shoots Down Streaming-Only Xbox Rumor

Rumors have been floating around and about for some time that Microsoft and the Xbox Team are making an Xbox device that only streams video games and other media. Well, that could not be any further from the truth according to a new report that quotes Phil Spencer shooting down the rumor regarding the “streaming-only-Xbox” coming to fruition.

If you are up to date on all things Xbox, you’ll likely know of the two rumored Xbox consoles, no? Well, the rumor has it by 2020 Microsoft will release the Xbox Scarlett and the second iteration of said device that can only stream games.

The leaks ran rampant around the web and YouTube, or for that matter any place, but it seems that the rumor is not true. According to publication site gamingbolt.com, we learn that Head of Xbox, Phil Spencer, took up an interview to put the rumor to rest.

Spencer had the following to say when asked about physical devices and cloud gaming and whether the former is out of the equation for streaming:

“We are not working on a streaming-only console right now. We are looking at the phone in your pocket as the destination for you to stream, and the console that we have allows you to play the games locally.”

All of the above should come in as no surprise given that the executives at Microsoft believe the number of gamers in the world sits at 2 billion.

Kareem Choudhry — corporate vice president of gaming cloud for Microsoft — notes that consoles won’t achieve that number since there are markets around the world that don’t abide by that lifestyle and thus they need phones/handsets:

“We know we aren’t going to sell 2 billion consoles, and there are a lot of markets around the world where a console is not necessarily part of the lifestyle.”

To access “2 billion gamers,” the team plans to shift its focus, and that requires widening its platform spectrum. Satya Nadella, Chief Executive Officer of Microsoft, wants to bring its services and apps to as many people as possible, no matter the device.

Phil Spencer, head of Xbox, says that subscription services will “ultimately help game publishers,” because “they bring a new audience of people who might be willing to try a game but don’t want to invest the money upfront to buy one.”

In other words, the Xbox team knows another console that streams video games is a lost cause. However, widening the Xbox brand to phones and other devices whilst throwing in Xbox subscriptions is “the way to go.”

So what does this mean? It means Xbox Scarlett will come out Q4 2020. Joining the device is a list of Xbox apps or subscriptions that reach multiple devices, including mobile.

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