Xbox is experiencing a surge in popularity in Asia, particularly in Japan, where it has seen a significant increase in its user base. This growth is a testament to Microsoft’s strategic efforts to expand its gaming presence in the region. Xbox Gaming CEO Phil Spencer, during the Tokyo Game Show 2024, highlighted the positive momentum: “We’re continuing to see growth in the region. This year, more people are playing with Xbox, across all devices in Asia, than ever before. We’ve seen the largest number of Xbox console players in the region to date.” He also emphasized the exciting lineup of upcoming games from studios like Activision, Bethesda, Blizzard, and Xbox Game Studios, destined for Xbox consoles, PC, and Game Pass before the year’s end.
This expansion is the culmination of years of dedicated work in overseas markets where Xbox has traditionally struggled to gain traction. The growth signifies a positive shift in Xbox’s global footprint. While acknowledging the relatively small user base of Xbox consoles in Japan, Final Fantasy XIV director Yoshi-P affirmed the current realities. Microsoft, however, is determined to alter this landscape. One of the key strategies has been to hire Mena Kato, a former Sony executive, as a regional liaison. Kato, recognizing the potential for growth, emphasizes the need for Asian developers and publishers to embrace Xbox: “We face a challenge and that means there are still a lot of things we can and should change. Japanese publishers will definitely need us in expanding their business. It would be difficult to do that just with the PlayStation.”
The introduction of Xbox Game Pass, particularly its PC subscription service, has seen remarkable growth in Japan. In 2023, Phil Spencer announced a quadrupling of PC subscribers in the country. This success has spurred collaborations with prominent companies like Square Enix, breaking long-standing exclusivity agreements with PlayStation to bring more games to the Xbox platform. Final Fantasy XIV recently made its debut on Xbox, with the Final Fantasy Pixel Remaster collection also set to follow. More games are expected to follow this trend.
Further bolstering Xbox’s appeal in Asia is the commitment to localizing first-party games. During TGS ’24, Spencer confirmed that both the Shattered Space expansion for Starfield and the Indiana Jones game will feature full Japanese localization. This focus on accessibility and cultural relevance is a key element in attracting players in the region. Additionally, Microsoft’s Game Pass platform is further expanding its reach in Asia, with the launch of two popular games, StarCraft Remastered and StarCraft II, for PC Game Pass subscribers in South Korea, starting in November. This strategic move targets a highly active gaming community in South Korea, further solidifying Xbox’s presence in the region.
Xbox’s expanding presence in Asia, driven by partnerships, localization, and the allure of Game Pass, points towards a future where the platform plays a more prominent role in the region’s gaming landscape. The combination of these factors suggests a growing commitment from Microsoft to cater to the unique preferences of Asian gamers, ultimately leading to a more diverse and vibrant gaming experience.
