In a new interview, Xbox CEO Phil Spencer discussed the Xbox Series S, the future of Xbox, and its approach to hardware innovation and the future.
In recent years, the Xbox Series S has been the subject of at least some controversy. The Xbox Series S is the yin to the Xbox Series X yang, offering the current most affordable path to entry for this generation of gaming hardware. The Xbox Series S retails for $299, far less than the PlayStation 5 or Xbox Series X, while boasting the ability to play all current gen games. The Xbox Series S targets 1080p HD resolution using more affordable chips, helping Microsoft pass on savings to consumers who don’t feel the need to hit 4K resolution. Typically, the Xbox Series S sacrifices other visual milestones like 60 FPS in some cases, but well-optimized games can still hit 60 or even 120 FPS in rare cases, when built with the console in mind.
Therein lies the controversy with the Xbox Series S, though. Many games simply aren’t built with the Xbox Series S in mind — and to ship on Xbox Series X, Microsoft requires developers to build for the Xbox Series S. Games like Black Myth Wukong and previously Baldur’s Gate 3 were either delayed or outright omitted from Xbox in its entirety, with blame falling on the Xbox Series S’ 10 GB RAM allocation, compared to the PS5 and Xbox Series X’ 16 GB. Developers that build games for PS5 or Xbox Series X first struggle to retroactively port the game to the Xbox Series S, which has created headaches for some. Xbox CEO Phil Spencer isn’t worried, though.
In a new interview with industry heavyweight and generally lovely bloke Destin Legarie, Xbox CEO Phil Spencer discussed the Xbox Series S, essentially confirming that the so-called “parity clause” will not go away. The parity clause stipulates that games need to ship with feature-parity between Xbox Series X and S, although exceptions have been made for RAM-intensive features like couch co-op in Baldur’s Gate 3 — which, by the way, just arrived earlier today for the Xbox Series S.
When asked if Microsoft would ever consider dropping the “parity clause,” Spencer described how the Xbox Series S spec “maps pretty well” to lower-power battery-bound devices like the Steam Deck, ROG Ally, and Nintendo Switch 2.
“In a way, I think about it in almost exactly the opposite way. With the rise of handheld PCs and the Nintendo Switch 2 — as developers we’re building on more device specs from lower power devices, battery powered devices, all the way to things that plug into the wall. I actually think we have a real advantage, because we’ve been targeting the [Xbox Series S] for quite a while,” Spencer explained. “I think that helps us. Frankly, the scalability of engines today allows [games] to scale from ray-trace enabled multi-thousand dollar graphics cards on desktop, all the way through to a battery-powered handheld device. So, for me, [Xbox Series] S has been helpful in our portfolio.”
Spencer says it’s “an important design point” for developers to consider, given the rise of battery powered devices. Legarie asked Spencer about the previously-teased “Xbox handheld,” which Microsoft confirmed were in a prototype state. Spencer remained coy about Microsoft’s own handheld efforts, describing how the firm has been working to improve Windows on OEM partner handhelds, like the Lenovo Legion Go. It remains true that having a library of games that target Xbox Series S-like specs should help Microsoft’s developer partners target any potential “handheld” Xbox, if Microsoft can actually ship one, that is.
What type of differentiator could Xbox have in hardware?
Microsoft has been working to reduce its reliance on the Xbox hardware ecosystem in recent years. Microsoft has begun shipping games on PlayStation and Nintendo Switch, but has also been growing out its own Xbox cloud and PC operation too. When asked why someone should buy an Xbox console in that universe, Spencer emphasized that he wants to return to hardware innovation as the key differentiator between platforms.
“I want us to innovate and make hardware the differentiator. We’ve got into this space where the differentiation on the hardware has gone down, and it’s really been ‘locked games’ that have become the identity of the hardware. I love when I see handhelds, when I see unique things that hardware manufacturers do. I want our hardware to compete on power, and on innovation. So let’s have our platform continue to innovate with services and the hardware work that we’re doing — whether it’s controller, power, or mobility.”
I have to say, what brought me into the Xbox ecosystem in the first place wasn’t necessarily some gimmicky hardware feature, but instead, pure value. The modularity of the Xbox 360 helped Microsoft severely undercut the PlayStation 3, giving it its first real anchor in the console market space.
Microsoft has Xbox Game Pass, and Microsoft gives me a PC license alongside an Xbox console license with every game it sells. But what if the plan is to go even further? Given that console hardware is subsidized by software and service sales, could Microsoft pull off a similar price coup with the next Xbox against the PlayStation 6? If its games are shipping everywhere, that would mean more subsidization, right? Could we see the death of the Xbox multiplayer paywall? Could we see Xbox win on price and power? Might the next Xbox console have some kind of space-age brain implant tech that simulates how it feels to get incinerated by a dragon? Who knows, but Microsoft’s recent attempts at “hardware innovation” haven’t exactly lit the world on fire … it’ll be interesting to see what emerges from Microsoft’s labs in the future.
