Microsoft May Make a Strong Entry into Mobile Industry

The software giant may enter the mobile industry soon, according to a source. Microsoft’s growing influence in the mobile industry has given its CEO, Satya Nadella, the confidence to discuss the prospect of launching their own gaming app store. It seems like the company is in a strong position to catch up with its competitors. Recent acquisitions by the company, such as Activision Blizzard, have boosted their smartphone and Xbox divisions.

Notably, the “Candy Crush Saga” has remained a significant contributor to their mobile revenue, with more than 5 billion downloads. Moreover, the company’s investment in OpenAI enables it to tap the AI market via ChatGPT. These two significant investments by Microsoft enhance its ability to examine consumer behavior via the data obtained from in-app purchases and cloud gaming subscriptions.

Moreover, the company previously showed support for Epic Games (the parent company of Fortnite) by testifying in their ongoing lawsuit against tech giants Google and Apple. The lawsuit accuses these tech giants of exploiting their monopoly power by compelling developers to use their proprietary payment systems, which take a 30% cut in purchases.

Therefore, with Microsoft’s powerful brand presence, its own Xbox store could turn out to be an appealing option and pose a danger to the fees collected by Apple and Google.

Perhaps regulators will now pay more attention to dominance in the mobile industry, which could lead to increased regulatory scrutiny. This is a major shift, as Microsoft has successfully managed to avoid such attention for the past 25 years since its involvement in a major US antitrust case.

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