Yesterday there were rumors that Microsoft would abandon its production plan for the next-generation Xbox console and completely turn to third-party distribution and Xbox cloud games. However, today Microsoft refuted the rumors through foreign media Windows Central.

Microsoft issued the following statement:

"We are actively investing in our future first-party consoles and devices, all designed, developed and built by Xbox. For more details, please refer to the announcement of the agreement between us and AMD."

Yesterday's rumors do sound a bit incredible.Foreign media Windows Central quoted its own sources as saying that this rumor is not true, at least "for now."

But Windows Central also expressed concerns about the future of Xbox.

Foreign media pointed out:

Game Pass is still Xbox’s core revenue source, especially on the console side. In other words, most subscribers are still using Xbox consoles, not the cloud;

For cloud games, cloud games are subject to geographical restrictions (cannot be used in some areas), and server costs are high (because Microsoft has to pay electricity bills, maintenance fees, bandwidth, etc.);

Using the same hardware (chip), Microsoft could have sold consoles directly to players, allowing players to run games at their own homes using their own electricity - this is logically more cost-effective and efficient than cloud gaming;

From a business logic or technical perspective, Microsoft's transformation direction seems unreasonable.But the reality is - Microsoft is actually doing this.