YEAR LATER. HIS WELCOME YOUR MODERATOR, LARRY HRYB. >> WE ARE BACK! WE ARE BACK. I AM VERY EXCITED TO BE BACK ON THIS PANEL. AT A CHANCE TO DO -- THEY WOULD LIKE WHICH PANEL DO WANT TO DO, THE ELITE ONE OR THIS ONE AND I SAID I WANT TO DO BOTH. SO REALLY EXCITED TO DO THIS PANEL. WERE GOING TO HAVE AN HOUR FOR THIS PANEL TO TALK WITH MATT MOODY AND SOME OF THE FOLKS FROM OUR RECENTLY ACQUIRED STUDIOS ABOUT MAKING GAMES, WHAT IT'S LIKE TO MAKE GAMES, WHAT IT'S LIKE TO WORK FOR A LARGE COMPANY LIKE MICROSOFT AND STILL BE CREATIVE, SO WERE WE BRINGING OUT FIRST? I APOLOGIZE. LET'S START OFF WITH THE BOSS HIMSELF, MATT MOODY, THE HEAD OF XBOX GAME STUDIOS, COME ON OUT. HAVE A SEAT. ♪ ♪ WELCOME BACK. I GUESS WERE GOING TO TRY TO SEE IF DOM MATTHEWS FROM NINJA THEORY. AND OUT! AND FROM OUR GOOD FRIENDS AT OBSIDIAN ENTERTAINMENT, FEARGUS URQUHART. FEARGUS! AND FOR THIS LAST GUEST I'M GOING TO ASK EVERYONE TO PLEASE PUT ON YOUR SPLASH PONCHOS. MR. TIM SCHAFER! [APPLAUSE] >> THANKS, EVERYBODY. REALLY EXCITED TO HAVE EVERYBODY OUT HERE. THIS IS AN INCREDIBLE, INCREDIBLE AMOUNT OF TALENT WE HAVE ON THE STAGE HERE AND MATT, I WANT TO START WITH YOU A LITTLE BIT, TALK ABOUT THE ROLE OF FIRST PARTY STUDIOS AND YOUR VISION FOR XBOX GAME STUDIOS. >> SOUNDS GOOD. WE ARE -- A LOT OF FOLKS -- SOME PEOPLE MIGHT KNOW THIS, WE HAVE THREE WAYS THE CONTENT CAN MAKE ITS WAY TO AN XBOX AND WE ARE FORTUNATE I THINK AS XBOX TO HAVE OPTIONS ON THAT. ONE OF THE WAYS IS OUR IDEA AT XBOX PROGRAM, WE BRING IN SOME SMALLER SCALE INDIE STUFF. ANOTHER WAY IS WITH ALL OF OUR RELATIONSHIPS WITH THE BIGGER PUBLISHERS, EA, ACTIVISION, UBISOFT, THEY SORT OF FORM DEEP BOOKENDS OF THE BIGAMIST MALL AND THE JOB OF FIRST PARTY STUDIOS IN XBOX GAME STUDIOS IS REALLY TWOFOLD. THE FIRST IS TO MAKE SURE THAT WE HAVE GOT GAMES THAT ARE MAKING SURE THERE'S ALWAYS SOMETHING NEW AND TO MAKE SURE THAT WE'VE ALWAYS GOT GAMES TO SUPPORT NEW THINGS LIKE MIXER ENTER SUPPORT NEW THINGS LIKE GAME PASS PC AND WE'VE ALSO GOT BIG FRANCHISES FOR THINGS LIKE HALO, "MINECRAFT," GEARS OF WAR. WE SORT OF SIT SOMEWHERE IN THE MIDDLE OF THOSE TWO IN TERMS OF WHAT KINDS OF CONTENT, BUT IT'S REALLY OUR JOB TO MAKE SURE THAT WHEN XBOX IS DOING SOMETHING NEW, THAT WE GOT GAMES THAT ARE GOING TO SUPPORT IT AND MAKE SURE THAT OUR FANS HAVE GOT GREAT STUFF NO MATTER WHERE WE ARE GOING. >> IT'S BEEN A HECK OF A YEAR BECAUSE JUST ABOUT A YEAR AGO WITH THE FIRST GROUP THAT WE ANNOUNCED IN THIS SLIDE UP HERE YOU SEE WITH ALL OF OUR -- WE CALL THAT THE FAMILY SLIDE, BUT IT'S GROWN EXPONENTIALLY, HASN'T IT? >> YEAH, I WAS JUST STARING AT IT MAY BE THINKING WE COULD PLAY BINGO OR SOMETHING, TRY TO NAME SOMETHING ABOUT A GAME AND SEE IF WE CAN CONNECT ALL THOSE DOTS. >> IT'S AN AMAZING COLLECTION OF ENTERTAINMENT RIGHT THERE. >> IT IS. MORE SERIOUSLY, WE HAVE BEEN VERY FORTUNATE TO BUILD ON SOME LONG-STANDING RELATIONSHIPS WITH HAD OVER THE LAST FEW DAYS AS I'VE BEEN TALKING WITH PEOPLE THAT I'VE GOT SOME QUESTIONS ABOUT HOW TO THESE THINGS COME ABOUT AND JUST ABOUT EVERY CASE IT IS MORE THE FACT THAT WE WORK WITH PEOPLE FOR SO LONG THAT WE'VE MADE GAMES WITH THEM AND WE JUST HAVE GOTTEN TO KNOW THE GREAT PEOPLE IN THE STUDIOS, SO IT'S BEEN GREAT TO SORT OF FINALLY SORT OF SEAL THE DEAL. >> IF I RECALL A LITTLE BIT OF THE TIME ON CORRECTLY, DOM, YOU JOINED US ABOUT A YEAR AGO. LAST E3. AND THEN IN NOVEMBER, FEARGUS, YOUR TEAM FROM OBSIDIAN JOINED US AND A FEW DAYS AGO, TIM. IF YOU HELD OUT. BUT YOU'RE HERE, SO IT'S REALLY BEEN GREAT TO SEE SOME OF THIS EXCITING ACTIVITY. LET'S WILL BACK A LITTLE BIT AND TALK ABOUT E3. AN AMAZING, AMAZING -- EARLIER THIS WEEK IT WAS GREAT TO HAVE EVERYBODY TALK ABOUT SOME STUFF ON STAGE. >> DID EVERYBODY SEE THE BRIEFING? I DON'T KNOW IF EVERYBODY GOT A CHANCE TO WATCH. I WAS BACKSTAGE, I WAS GOING TO TEASE LARRY A LITTLE BIT. EVERYBODY SAW KEANU COME ON STAGE FOR CYBERPUNK AND I'M THINKING I HAVE TO GO ON STAGE AFTER HIM? WE ARE BACKSTAGE WATCHING THE ELITE CONTROLLER AND NOW I'M LIKE I HAVE TO GO ON STAGE AFTER THE ELITE CONTROLLER? FEEL LIKE THE KIND OF SETTING APPEAR. BUT WE HAD A GREAT TIME AT THE BRIEFING. 60 GAMES THAT WE SHOWED TOTAL. 14 OF THEM FROM XBOX GAME STUDIOS, WHICH IS GREAT. OVER 30 OF THOSE WILL BE IN THE GAME PASS, SO WE THINK IT WAS A PRETTY GOOD SHOWING FOR US. ALSO TALKED ABOUT AGAIN, GAME PASS SHOWING UP ON CONSOL, PC. GAME HAS ULTIMATE, PRETTY EXCITING. OUR NEW COUNSEL, NEW STREAMING STUFF, REALLY GREAT E3 AND FOR ME COMING HAVING BEEN TO A LOT OF E3S OVER THE YEARS, IT DOES FEEL LIKE THERE'S A LITTLE SOMETHING DIFFERENT IN THE AIR, THINGS ARE CHANGING AND MAYBE WE ARE HEADING INTO SOME EXCITING TIMES. >> I WANT TO SWING IT OVER TO YOU, TELL US ABOUT YOUR E3 BECAUSE LAST YEAR YOU JOINED THE COMPANY, IT'S BEEN A YEAR SINCE YOU'VE BEEN WORKING WITH US BUT YOU HAD A NEW IP ANNOUNCED. >> YES, ANNOUNCING A NEW IP ON STAGE. THE BLEEDING EDGE IN BRIEFING. IT'S BEEN IN DEVELOPMENT FOR A NUMBER OF YEARS AND KIND OF HAS AN INDEPENDENT STUDIO WE ARE THINKING ABOUT HOW WE'RE GOING TO ANNOUNCE THIS THING, HOW WE ARE GOING TO LAUNCH THIS THING. WE THEN JOIN XBOX GAME STUDIOS SUDDENLY, WANT TO BE IN THE BRIEFING, YES. IF SO SUDDENLY WE GET TO BE IN THE BRIEFING AND THEN BE ON THE SHOW FLOOR ON THE SAME DAY TO LET PEOPLE GET HANDS ON, SO IT'S JUST BEEN INCREDIBLE TO BE ABLE TO KIND OF DO ALL OF THAT IN ONE GO WITH THE TEAM OF XBOX BEHIND US. IT'S BEEN AWESOME. AND LIKE A REAL HIGHLIGHT FOR ME HAS JUST BEEN MEETING THE FANS. NOW THAT WERE PART OF THE FAMILY, PART OF THE XBOX FANS FAMILY AS WELL. TO BE ABLE TO MEET ALL OF THEM AND FEEL THAT LOVE IS JUST INCREDIBLE. >> FEARGUS, HOW ABOUT YOU? >> I FEEL LIKE IT'S THE SAME. ADDING TO THIS FOR SO LONG AND BEING INDEPENDENT AND WORKING AND MAKING AWESOME GAMES, SOMETIMES IT ALWAYS FELT LIKE WHERE WERE WE GOING AND WHERE WE GOING TO GET TO? AND HAVING MICROSOFT LOOK AT US AND LOOK AT ALL THE OTHER STUDIOS AND SAY, HEY, WE SEE U.S. PEOPLE THAT CAN DELIVER INCREDIBLE CONTENT, INCREDIBLE EXPERIENCES AND THEN HAVE THAT SUPPORT, SO WE OPENED UP THE PRESS BRIEFING, WHICH WAS JUST CRAZY. HOWEVER MANY YEARS I'VE BEEN DOING IT, IT WAS WAS A WAS LIE THAT'S NEVER GOING TO HAPPEN, SO TO GET THAT KIND OF SUPPORT WAS GREAT AND IT REALLY KIND OF SHOWS THAT THE INTERNAL STUDIOS ARE INCREDIBLY IMPORTANT. WE GET THE SUPPORT THAT WE NEED AND WE KIND OF NOW GET TO DREAM. I DON'T KNOW IF THAT'S THE RIGHT WAY TO SAY. WE GET TO KIND OF DREAM OF WHERE WE WANT TO GO AND WHAT KIND OF GAMES AND EXPERIENCES WE CAN GIVE TO PEOPLE AND THAT'S WHY I STARTED DOING THIS 28 YEARS AGO AND GETTING TO DO IT NOW IS AWESOME. >> WHEN HE ANNOUNCED THIS, OF COURSE TIM HAD JOINED US, THAT'S GOT TO FEEL GREAT NOW FOR YOU. I HOPE IT DOES. >> YEAH. STARTED THE WEEK OFF WITH A BANG, FOR SURE. THOSE KIND OF MOMENTS ARE -- YOU FEEL REALLY FORTUNATE TO BE PART OF THE STUDIO, BUT TO ALSO HAVE THAT MOMENT ON STAGE BECAUSE WHEN YOU MAKE GAMES YOU'RE LOCKED AWAY IN A LITTLE ROOM THERE HOPING TO MAKE SOMETHING THAT MAKES YOU HAPPY BUT THAT IS WAY OFF AND YOU DON'T KNOW IF YOU GET TO SEE THEM LAUGH AT SOMETHING LIKE THAT, SO TO BE ABLE TO COME OUT ON STAGE AND HER PEOPLE IN THE AUDIENCE, TO HEAR THEIR REACTION LIKE WHEN THEY SAID THE THE STUDIO, DOUBLE FIND, AND EVERYONE CHEERED, IT REALLY FEELS GOOD. REALLY GOOD. >> THERE WAS A LOUD CHEER, NOT AS LOUD AS KEANU, BUT IT WAS UP THERE. >> HE HAD A SMOKE MACHINE. IN ALL FAIRNESS. >> NEXT YEAR WE ARE ALL GETTING SMOKE MACHINES. >> SMOKE MACHINES. >> MATT, IT'S BEEN A HECK OF A YEAR AS WE TALK ABOUT THE EXECUTION, WHAT DO YOU LOOK FOR WHEN PHIL COMES TO YOU AND SAYS LET'S GO GET SOME MORE STUDIOS, HERE'S THE CHECKBOOK, DO YOU GO -- WHAT ARE YOU LOOKING FOR IN TERMS OF WHAT A STUDIO, IN TERMS OF WHAT THEY'VE DONE AND WHAT THEY CAN TO? TELL ME ABOUT THAT. >> IT REALLY STARTS WITH THE PEOPLE IN THE STUDIO. JUST EVERY SINGLE ONE OF THE STUDIOS HAS GOT SUCH GREAT PEOPLE AND IT, GREAT CULTURES THAT ARE CULTURES THAT THEY'VE BUILT AND THAT ARE FUN AND BUILT AROUND THEIR COMMITMENT TO CREATIVITY AND ALSO WE FEEL THAT THEY ARE ALIGNED WITH -- THEY SHARE A PICTURE WITH US THAT GAMING CAN BE SOMETHING GOOD FOR THE PLANET, THAT GAMING CAN BE SOMETHING THAT BRINGS US ALL TOGETHER AND I THINK WE SHARE THAT. THE SECOND IS WHAT EACH OF THESE STUDIOS HAS DONE IS ACTUALLY PRETTY HARD. TO KEEP AN INDEPENDENT STUDIO INDEPENDENT FOR TEN, 20 YEARS, THAT IS VERY DIFFICULT AND A LOT OF IT -- IF YOU SPEND TIME TALKING TO THE PEOPLE IN THE STUDIO, THEY'VE HAD SOME HITS AND SOME GAMES THAT HAVE DONE WELL AND THEN THERE'S BEEN SOMETIMES WHEN THEY'VE -- WHEN THINGS DIDN'T GO SO GREAT BUT THEY STUCK TOGETHER AND THAT COMMENT TO ME, IT'S JUST A REAL REFLECTION OF THE CHARACTER AND JUST THE LEADERSHIP THAT EXISTS INSIDE THE STUDIO AND LASTLY, WHAT ARE THE IDEAS, RIGHT? WE CAN SIT HERE AND PROBABLY DO AN INVENTORY OF THREE DOZEN GAMES THAT HAVE COME OUT OF JUST THE FOLKS STATING RIGHT HERE ON STAGE RIGHT HERE. WHEN YOU ADD ALL THAT UP, THE PEOPLE IN THE STUDIOS, THE CULTURES THEY'VE BUILT IN THE VALUES THEY'VE ESTABLISHED, YOU THINK ABOUT THE STUDIOS IN THE WAY THEY'VE MANAGED TO STICK TOGETHER THROUGH A GAMES INDUSTRY WHICH IS PRETTY, AT TIMES, DYNAMIC AND A LOT CHANGES AND THEN LASTLY JUST THE ABILITY TO KEEP COMING UP WITH GREAT NEW IDEAS, THOSE ARE REALLY THE THINGS THAT WE LOOK AT. >> I WANT TO ASK THE OTHER SIDE OF THE ROOM, FROM THE STUDIO PERSPECTIVE, WHAT YOU LOOK TO DO -- WHAT DO YOU WANT FROM MATT? DO WANT HIM TO JUST STAY OUT OF OUR WAY? I'M CURIOUS TO SEE WHAT THAT DYNAMIC IS. TIM, WHAT ARE YOUR THOUGHTS? >> HAD PUT A LOT OF TRUST IN US AND HE'S BEEN REALLY CLEAR ABOUT THERE'S -- THAT THAT TRUST CAN CONTINUE IN THIS PLACES WHERE WE SHOULD SHARE INFORMATION AND THINGS WE DON'T HAVE TO SHARE, SO I FEEL LIKE WE ARE JUST STARTING ON THIS PROCESS, WE DON'T KNOW EXACT HOW IT ALL WORKS OUT AND YOU GUYS KNOW A LOT MORE ABOUT HOW IT WORKS, BUT THAT WAS PART OF WHAT MADE US FEEL COMFORTABLE ABOUT IT, KNOWING THAT IT WOULD BE A CREATIVE SPACE GNOMIC SAFE SPACE FOR US TO -- INSTEAD OF HAVING AN IDEA AND A BABY JUST BRAND-NEW IDEA AND HAVE TO GO PITCH THAT TO EIGHT PUBLISHERS OR SOMETHING OF THAT, INSTEAD OF THAT WE CAN INCUBATE THAT AND DEVELOP MAYBE A PROTOTYPE AND PROVE THESE IDEAS OUT AND THEN SHARE THEM. >> I THINK ALSO JUST THE DASH WHEN WE FIRST WERE TALKING TO MICROSOFT A YEAR AGO AND I HAD MY FIRST LUNCH WITH MATT, THE MESSAGE THEN IS THE MESSAGE NOW AND I THINK FOR US, IT'S JUST CONSISTENCY. A LOT OF WHAT OUR BUSINESSES HAVE BEEN, IT'S KIND OF THIS. KIND OF WORKING WITH THIS GROUP AND THEN WORKING WITH THIS GROUP AND TRYING TO DO STUFF INTERNALLY AND KNOWING WITH MATT, WHAT HE SAYS IS GO MAKE THE GAMES YOU WANT TO MAKE, WE ARE GOING TO SUPPORT YOU THAT IS -- LIKE EVERY SINGLE PHONE CALL I HAVE WITH MATT, THAT'S THE THEME, HOW CAN HE HELP US AND WE UNDERSTAND WITH GREAT POWER COMES GREAT RESPONSIBILITY. OUR ABILITY TO DO -- WE HAVE A RESPONSIBILITY ON OUR SIDE BUT THAT FEELS LIKE IT IS NOW -- IT'S OUR POWER TO GO INTO THESE THINGS. WE HAVE THIS CONTROL, WE CAN GO DO THE AMAZING THINGS THAT WE WANT TO DO AND JUST HAVING THAT CONSISTENT MESSAGE HAS BEEN AWESOME. >> AND I KNOW IT'S GOT TO BE EASIER BECAUSE TO YOUR POINT, TEN, AND YOU'VE ALL MADE THE POINT THAT YOU DON'T HAVE TO GO VISIT DIFFERENT PUBLISHERS NOW COME UP MATT'S TEAM CAN HANDLE THAT. YOU GUYS CAN DO WHAT YOU DO GREAT, WHICH IS MAKE GREAT GAMES, AND THEN THE TEAM CAN WORK ON A LOT OF THE OTHER ELEMENTS, IS THAT ACCURATE? >> ABSOLUTELY. >> A LONG WAY TO GO. WE GOT A GREAT MIX OF TALENT HERE ON THE SCREEN BUT ALSO HERE ONSET. WHAT'S IT LIKE TO CREATE -- THIS ISN'T REALLY A FAIR QUESTION BECAUSE, TIM, YOU ARE OFF THE HOOK BECAUSE YOU'VE ONLY BEEN WITH THE COMPANY SIX DAYS. >> I'M GOING TO MAKE SOMETHING UP. >> WHAT IS IT BEEN LIKE FOR YOU FOR THE PAST YEAR AND THE FIRST FEW MONTHS, SIX OR SEVEN MONTHS? >> IT'S BEEN A NIGHTMARE. [LAUGHS] IT'S BEEN GREAT AND I THINK KIND OF TO ECHO WHAT'S BEEN SAID, I THINK FROM DAY ONE IT'S BEEN ABOUT PLACING THE FAITH IN THE CREATORS AND LET'S TRY AND REMOVE ANY OTHER STRUGGLES AND WORRIES YOU MIGHT HAVE THAT GET IN THE WAY OF THE CREATING. IN THE TEAM HAS REALLY BEEN TRUE TO THAT, SO DAY-TO-DAY, FOR US AT NINJA. BEFORE JOINING XBOX GAME STUDIO STUDIOS, WE HAD A BUNCH OF PEOPLE IN THE STUDIO THAT WERE WORKING ON WORK FOR HIRE PROJECTS REALLY TO TRY AND FUND OUR OWN IP AND OUR OWN WORK AND SINCE THE ACQUISITION WE'VE BEEN ABLE TO JUST HAVE OUR ENTIRE TEAM JUST DO WHAT WE WANT TO MAKE. GAMES THAT WE LOVE TO MAKE FOR THE FANS THAT LOVE THEM. THAT'S OUR FOCUS. IN THE GREAT KING IS THE BALANCE THAT WE HAVE WITH MATT AND THE VARIOUS TEAMS WITH XBOX IS WHEN WE FEEL THAT WE NEED SUPPORT, WHETHER IT'S IN THE MARKETING TEAM OR USE A RESEARCH TEAM OR THE LEGAL TEAM OR FINANCE TEAM, IT'S THERE FOR US WHEN WE WANT IT, BUT OTHER THAN THAT WE ARE LEFT TO GET ON WITH OUR JOB, WHICH IS MAKING AWESOME COMPELLING GAMES FOR FANS. >> A LOT OF FOLKS FORGET THAT MAKING GREAT GAMES IS VERY HARD. I'VE NEVER DONE IT. YOU GUYS HAVE MADE SOME AMAZING STUFF, BUT THAT'S JUST PART OF THE PUZZLE BECAUSE YOU TALK ABOUT THERE'S THE I.T. INFRASTRUCTURE, THERE'S THE GETTING THE EQUIPMENT, THERE'S THE MARKETING. THERE'S JUST THE BUSINESS SIDE OF IT THAT HOPEFULLY MATT AND HIS TEAM CAN HELP, HOPEFULLY. >> YEAH, AND IT'S MORE THAN THAT. AS AN INDEPENDENT STUDIO AND RUNNING YOUR OWN BUSINESS, I'M SURE THIS IS TRUE FOR EVERYONE, IT IS TOUGH AND IT'S ABOUT SURVIVAL, IT'S ABOUT TRYING TO SURVIVE SO YOU CAN MAKE THAT CREATIVE THING THAT BURNS WITHIN THE TEAM TO MAKE. AT TIMES WE HAVEN'T BEEN ABLE TO INVEST IN OUR TEAMS ENOUGH, GIVE THEM WHAT THEY NEED, BUT NOW WERE IN A POSITION WHERE WE CAN FUND THE TEAMS WITH SIMPLE STUFF LIKE THE BEST I.T. KIT. WE'RE TRYING TO MAKE THE BEST GAMES IN THE WORLD, LET'S MAKE SURE PEOPLE HAVE GOT THE BEST MONITORS THAT THEY CAN HAVE. I KNOW THAT SOUNDS LIKE A SMALL THING, BUT REALLY FOR US AS A STUDIO IT'S BEEN PENNY-PINCHING AT TIMES, WHICH YOU NEED TO BE, BUT NOW WE GET THAT BACKING TO BE ABLE TO GO YOU GUYS GO AND MAKE WHAT YOU WANT TO MAKE AND WE WILL BACK YOU TO MAKE IT. >> IN YOUR POINT ABOUT THE ACCESS, BUT THERE'S ALSO THIS OTHER NEAT THING, WE HAVE THIS INCREDIBLE COLLECTION OF STUDIOS AND INSIDE OF IT IS THIS AMAZING TALENT, SO IF YOU WANT TO LEARN ABOUT, HEY, WHAT'S THE BEST -- WHAT DO YOU THINK THE BEST CONTROLLER FIGURATION IS FOR A FIGHTING GAME, YOU CERTAINLY CAN DO THAT BUT I'M SAYING THERE'S ALL THIS OTHER TALENT YOU CAN LEAN ON AND KNOWLEDGE BASE ACROSS -- >> WE ARE PART OF A GROUP OF 15 STUDIOS NOW AND IT'S SUPER COLLABORATIVE AND IT FEELS LIKE A VERY SAFE SPACE, SO NOW WE HAVE A BUNCH OF -- FROM BEING AN INDEPENDENT STUDIO OR WORKING WITH PUBLISHERS WHERE EVERYTHING IS KIND OF UNDER WRAPS AND YOU CAN'T BE TOO FRIENDLY WITH PEOPLE, NOW WE HAVE STUDIOS ALL IN THE WORLD WE CAN KIND OF KNOCK ON THE DOOR AND GO HAVE YOU DONE THIS THING BEFORE AND I SAY WE CAN TALK TO ABOUT THAT AND A PERFORMANCE CAPTURE THAT YOU'VE BEEN DOING, CAN YOU TALK TO US ABOUT THAT, SO IT'S AWESOME TO BE COLLABORATIVE RIGHT ACROSS THE BOARD TO TRY AND SOLVE THESE PROBLEMS TOGETHER. AND THE NICE THING IS I SAT IN THE BRIEFING AND IT'S GREAT TO FEEL LIKE WE ARE ALL GUNNING FOR THE SAME THING. WHAT WE GET TO DO IS MAKE THE GAMES THAT WE WANT TO MAKE, BUT IF WE CAN MAKE THE GROUP AS A WHOLE SUCCESSFUL, THEN WE CAN KEEP DOING THAT FOR YEARS TO COME. PART OF THAT SORT OF FEELING OF BEING PART OF THAT GROUP IS THAT I CAN CHEER ON EVERYONE ELSE'S GAMES. >> THE THING THAT I THINK IS SUPER KEY ASPECT, WHICH MATT PUSHES ANYBODY ELSE PUSHES IS THE IDEA THAT WE ARE OBSIDIAN AND WE GET TO BE OBSIDIAN, DOM GETS TO BE NINJA THEORY. >> OUR CULTURE IS SUPER IMPORTANT IN BEING ABLE TO -- IT'S INTERESTING ACTUALLY AS BUSINESSES, WE ARE STILL OUR BUSINESSES AND WE STILL DO CERTAIN THINGS THAT MICROSOFT IS NEVER GOING TO DO LIKE SOME OF THE BORING STUFF LIKE FIGURING OUT MEDICAL INSURANCE AND A VARIETY OF OTHER STUFF AND BY BEING ABLE TO KIND OF HAVE OUR OWN COURSE WHEN A LOT OF THOSE THINGS, WE CONTINUE TO FEEL LIKE THE STUDIO WE WERE THE DAY BEFORE THE ACQUISITION AND THAT DRIVES OUR ABILITY AND JUST REINFORCES, WE MAKE GAMES THAT ARE LIKE THIS AND OBSIDIAN FEELS LIKE THIS WE ARE GOING TO CONTINUE TO FEEL LIKE THAT BUT STILL AS A PART OF THIS BROADER THING, I THINK FOR A BIG COMPANY LIKE MICROSOFT SOMETIMES IT CAN BE SORTED AND EASY THING, WE HAVE THE MICROSOFT WAY AND ARE ALL GOING TO COMPLY AND IT'S GOING TO BE LIKE THIS AND YOU HAVE YOUR BLUE BADGE AND SO FORTH AND SO ON. AND THAT'S NOT THE GOAL HERE. THE GOAL HERE IS TO LET US BE US, SO NOW WHAT SORT OF NOT HAVING TO HANDLE ALL OF THE THINGS, WE CAN JUST PUT THAT ALL INTO OUR NINJA THEORY GAME, DOUBLE FINE GAME, OBSIDIAN GAME TO BE MORE OF WHAT THEY -- WHAT THEY WERE BEFORE. >> I KNOW A LOT OF FOLKS OF COME KNOCKING ON YOUR DOOR IN THE PAST TO COME BY YOUR COMPANY, I BELIEVE. WHAT MADE YOU CHOOSE US? >> MATT MAKES A REALLY NICE PITCH. IT IS TRUE. IT REALLY IS TRUE. WE WEREN'T REALLY LOOKING, BUT WHEN MATT STARTED TALKING ABOUT WHAT HE'S BEEN DOING WITH THESE COMPANIES, THAT IS NOT ABOUT ABSORBING THEM AND CHANGING THEM, BUT ABOUT LETTING THEM STAY CREATIVELY WHAT THEY WERE BEFORE AND JUST HELPING THEM DO IT BETTER, NOT DOES SOUND REALLY NICE AND THAT DOES SOUND LIKE A GREAT THING FOR OUR WHOLE TEAM AND BEING ABLE TO MAKE BETTER GAINS, THAT WAS A LOT OF THE APPEAL FOR SHORT. NO ONE WHO MAKES AN INDEPENDENT STUDIO IS LIKE I WANT THIS TO ALL BE CHANGED BY SOME BIG CORPORATION. THAT'S NOT WHERE WE STARTED. >> THOSE ARE ALL THE VIDEO GAMES WE PLAYED WITH THE BIG BAD CORPORATION COMES IN AND RUINS EVERYTHING, RIGHT? >> I THINK ALL HER STUDIOS HAD ENOUGH TIME INDEPENDENT ON HER OWN WHERE WE COULD ESTABLISH WHO WE ARE AND I THINK WE ALL KNOW WHO WE ARE, SO WE WILL KNOW IF SOMEONE'S CHANGING IT. I THINK WE ALL HAVE STRONG IDENTITIES IN OUR COMPANIES AND CULTURES THAT CAN WITHSTAND THAT KNOWING THAT XBOX DSN'T WANT TO CHANGE IS A BIG PART OF THE PROMISE. >> I WANT TO TALK TO ABOUT THE COLLECTION OF STUDIOS THAT ARE NOW UNDER YOUR CHARGE. IT'S NOT JUST THIS COLLECTION OF STUDIOS, BUT NOW MOST OF THE STUDIOS ARE YEAR AND A HALF AGO WEREN'T IN THE SEATTLE AREA. NOW WE ARE ALL OVER THE WORLD. CAN YOU TALK ABOUT WHAT'S THAT LIKE WORKING GLOBALLY? >> I THINK THE FIRST THING IS JUST THAT THERE'S A HUGE TEAM THAT MAKES THIS ALL WORK AND I'M ALSO VERY FORTUNATE TO WORK WITH A NUMBER OF PEOPLE BUT COULD ALSO BE DOING THIS JOB. BONNIE ROSS, WHO RUNS 343, LONGTIME MICROSOFT VETERAN, SHE RUNS A TEAM OF HUNDREDS OF PEOPLE WORKING ON HALO. EVEN -- I THINK ABOUT EVEN NINJA THEORY, WHICH IS A FAIRLY LARGE GROUP AND IT'S GOT TREMENDOUS LEADERSHIP, THERE ISN'T A LOT OF HOUSEKEEPING TO DO. SO FOR ME TO GO VISIT THE STUDIOS, IT'S MUCH LESS WE'VE GOT TO GO CHECK IN ON WHAT TIM IS DOING, IT'S MORE THE EXCITEMENT OF LET'S GO SEE WHAT THEY'RE WORKING ON, LET'S GO CHECK THIS STUFF OUT. SO IT REALLY IS -- I THINK OF IT AS A PRIVILEGE, IT'S AN HONOR I GET TO SAY MY JOB AS WE GET TO GO TO MONTREAL AND WE GET TO GO TO CAMBRIDGE AND GO DOWN TO SoCAL. TO BE ABLE TO VISIT ALL THESE PLACES AND THEN THERE'S THE STUDIOS IN REDMOND NOT ALL HAVE TREMENDOUS SENIOR LEADERSHIP ON THEM. I WAS OUT, I JUST HAD A BABY SO I WAS OUT FOR A MONTH. >> CONGRATULATIONS. [APPLAUSE] >> THANK YOU. BONNIE ROSS TOOK OVER RUNNING THINGS FOR A MONTH AND IT WAS KIND OF FUNNY BECAUSE I THINK WITHIN THE FIRST DAY OR TWO EVERYBODY STARTED SUBMITTING CAN WE ALL GET NEW COMPUTERS? >> GET IT IN NOW. >> BONNIE IS LIKE EMAILING ME, I DON'T THINK I'M SUPPOSED TO JUST APPROVE THESE THINGS, RIGHT? BUT TO BE ABLE TO HAVE PEOPLE LIKE ROD FERGUSON AND INDUSTRY VETERAN AND TIM HAS BEEN AT THIS, JUST TO FAN BOY OUT, WHEN I FIRST STARTED WORKING ON GAMES I WAS PLAYING GAMES TIM WORKED ON. SO THE WORD THAT WE USE AND IF SOMEBODY'S GOT A BETTER ONE, I'M OPEN TO IT. BUT IT'S REALLY KIND OF THIS FEDERATION OF STUDIOS AND I FEEL LUCKY THAT AT ANY POINT IN TIME ANYBODY COULD TAKE OVER LEADING ANYTHING. IT'S REALLY I THINK MY JOB TO MAKE SURE THAT WE'VE GOT A GOOD NORTHSTAR OF WHERE WERE TRYING TO GO AND WE ALL HAVE GOT KIND OF A COMMON SET OF PRINCIPLES, BUT BEYOND THAT, THE BEST PART OF MY JOB IS BEING ABLE TO BE LIKE LET'S GO SEE WHAT FERGUS IS WORKING ON. LET'S GO OVER AND VISIT RARE. WHAT'S GOING ON THERE? LET'S GO TO STOCKHOLM AND SEE WHAT'S GOING ON AND THAT'S JUST AN AMAZING PART OF THIS JOB. >> THAT'S ALSO SOMETHING I WANT TO POINT OUT. A LOT OF FOLKS, I WANT TO WORK IN THE GAMES INDUSTRY BUT DO I NEED TO MOVE TO SEATTLE? NO. WE'VE GOT ALL THESE AMAZING -- EVERY STUDIO IS LOOKING FOR GREAT TALENT, THERE'S ALWAYS LOVELY OPPORTUNITIES THAT CAN EXIST NOW OR IN THE FUTURE. >> I WOULD OFFER UP ESPECIALLY TO PEOPLE THAT ARE STARTING OUT IN THE INDUSTRY, MORE AND MORE AND YOU GUYS PROBABLY KNOW WAY MORE BUT I DO, BUT YOU DON'T HAVE TO BE IN THE SAME PLACE TO MAKE A VIDEO GAME. SO IF YOU SAW THE TRAILER THAT WE SHOWED DURING OUR BRIEFING, AMAZING TRAILER, THAT TEAM, NONE OF THEM LIVE IN THE SAME -- >> THERE'S NO OFFICE. >> THERE'S NO OFFICE. THEY ALL WORK VIRTUALLY OVER THE INTERNET. THEY ALL WERE COMMUNICATING THROUGH SKYPE AND THINGS, SO IT IS POSSIBLE TO MAKE AN AMAZING GAME WITHOUT EVEN LIVING IN THE SAME CITY TOGETHER. >> WORKING WITH A GROUP AROUND THE WORLD, WHICH IS KIND OF WHAT EVERYBODY DOES NOW. TALK ABOUT YOUR ACCESS TO THE GUYS AT RARE, BUT YOU'RE TALKING TO FOLKS IN THE COALITION, OBVIOUSLY HERE AT MICROSOFT AND ALL OVER THE PLACE SO WE HAVE THIS GLOBAL FAMILY. >> YEAH. AND OCCASIONALLY WE WANT TO TRY TO BRING EVERYBODY TOGETHER. WE'VE GOT SOME EVENTS -- I THINK IT'S OUR JOB TO REALLY FACILITATE SOME CONNECTIONS SO WE TRY TO -- HEY, LET'S GET ALL THE ARTISTS TOGETHER AND SEE WHAT THEY WANT TO TALK ABOUT. IT'S CALLED A PROGRAM. >> WE'RE GOING TO SHIFT GEARS A LITTLE BIT, WE HAD A LOT OF PC GAMES IN THE BRIEFING THIS YEAR. ONE OF YOURS OPENED THE SHOW, I WANT TO ASK ALL OF YOU GUYS, JUST KIND OF PC, WE HAVE PC GAME PASS. THERE'S A LOT OF PC EXCITEMENT RIGHT NOW. THERE ALWAYS IS BUT WE ARE GETTING BACK INTO IT. BUT I WANT TO TALK -- WHAT DO YOU THINK PC GAMERS LOOK FOR? WE WILL START WITH YOU FIRST. >> SOMETIMES I THINK -- TALK ABOUT A OBSIDIAN, WITH FOCUS MH ON AGAIN, WE WANT OUR GAMES, THE LETTER BY PLAYING THEM SO WE DON'T WANT TO JUST BE CONSUL, WE DON'T WANT TO JUST BE PC. WE MAKE GAMES, WE MAKE OUR PG ADVENTURES THAT WE WANT PEOPLE TO GO ON. WE CREATE THESE AWESOME WORLDS AND IT'S SUPER IMPORTANT. IT RELATES JUST TO PC, THAT'S WHERE I STARTED. I STARTED MAKING RPGs WITH FALLOUT ONE AND FOLLOW-UP 2 IN THE LATE '90s WE WERE VERY PC FOCUS. THERE IS DIFFERENCE BETWEEN YOUR STRATA CONSUL OR PC ABOUT WHY ALSO SEE AS TIME GOES ON WITH NEW X BOXES AND THE NEW GENERATION PCs AND X CLOUD AND ALL THAT KIND OF STUFF, AGAIN, I JUST WANTED TO FOCUS ON THAT EXPERIENCE. SO THAT EVERYBODY GETS THAT AMAZING IMMERSION, GETS TO HANG OUT WITH KEANU. THAT'S OUR BRAIN. OUR BRAIN IS -- AND I GUESS ALSO THERE'S A LITTLE BIT OF THAT FROM THE STANDPOINT OF WE ALSO WANT PEOPLE TO FEEL GOOD ABOUT THE GREAT VIDEO CARD THEY HAVE IN THEIR PC BOX AND WHAT DOES IT DO AND DOES IT RETRACE SHADOWS AND ALL THAT STUFF. SO THERE CERTAIN SUPPORT THERE THAT'S IMPORTANT TO PC PLAYERS, BEING ABLE TO CONFIGURE. IN THE END IT REALLY IS ABOUT THAT HOW DO WE GET AS MANY PEOPLE AS POSSIBLE PLAYING IN OUR WORLDS AND ALL ENJOYING IT IN A VERY SIMILAR WAY? >> TIM, YOU'VE MADE SOME AMAZING GAMES FOR CONSUL IN THE PC, HOW DO YOU THINK ABOUT THAT? >> I GOT MY START DOING ALL OF THOSE ADVENTURES IN THE '90s AND ALL PC AND I THINK ABOUT WHAT FERGUS WAS SAYING IS THERE ARE SOME SMALLER DIFFERENCES, BUT IF YOU LIKE IN THE END, THE THINGS WE FOCUS ON LIKE CHARACTER NARRATIVE AND THINGS EXIST ACROSS ALL THESE PLATFORMS AND WE DO WANT TO HAVE THEM -- HAVE THE FREEDOM THEY WANT ON P PC. THEY DEFINITELY WANT TO CONFIGURE ALL THESE MODES SO THEY CAN SEE YOUR GAME AND REALLY OWN IT, REALLY OWN THAT GAME BUT I THINK IN THE END THE NUTS AND BOLTS OR THE GUTS, THE NUTS AND BOLTS AND GUTS OF THE GAME ARE VERY SIMILAR. >> YOU BROUGHT UP SOMETHING WE WERE CHATTING A LITTLE BIT EARLIER. WE'VE GOT X CLOUD ON THE FLOOR, THAT WILL BE COMING IN THE FUTURE. THAT'S AN INTERESTING WAY, INSTEAD OF CREATING FOR THE PC, YOU'RE CREATING KIND OF FOR THE CLOUD, RIGHT? YOU HAD AN INTERESTING EXPERIENCE WHERE YOU BROUGHT IT TO X CLOUD, YOU PLAYED IT. TELL US ABOUT THAT. >> FOCUS WAS SAYING LIKE FOR US WE WANT TO GET OUR GAME TO AS MANY PEOPLE AS POSSIBLE AND I THINK RESPECTING THE NUANCE OF DIFFERENT TYPES OF GAMERS AND FOR ME, IT'S ABOUT -- X CLOUD IS ABOUT CONVENIENT CONTENTS. CAN YOU MAKE THAT THING SUPER CONVENIENT FOR PEOPLE? WE BRING SUPER COMPELLING CONTENT AND IT WILL BE SUCCESSFUL. THE FIRST TIME I REALLY SAW X CLOUD WAS ON A TRIP OUT TO REDMOND AND WE HAD A HALF AN HOUR SLOT BOOKED IN TO TAKE A LOOK. I THOUGHT THIS WOULD BE COOL AND THEY HAD HELLBLADE SET UP ON A MOBILE DEVICE WITH A PAD. I PLAYED IT FOR MAYBE 5 MINUTES AND I PUT IT DOWN AND SAID HOW CAN WE HELP? HOW CAN WE BE PART OF THIS? BECAUSE IT JUST FELT AND LOOKED AMAZING. SO FROM THERE ON OUT IT'S ON THE SHOW FLOOR HERE, YOU CAN GO AND PLAY -- HELLBLADE IS ACTUALLY ON -- IT'S ON A MOBILE AND TABLET. AND IT JUST WORKS. THE TEAM HAVE TAKEN IT AND JUST MADE IT WORK, SO IT'S INCREDIBLE. SO FOR ME, X CLOUD, I THINK FOR ME PERSONALLY AS A FATHER OF TWO YOUNG CHILDREN, I LOVE THE IDEA OF BEING ABLE TO HAVE MY KIND OF 4K SET UP AT HOME WHERE I CAN PLAY MY GAMES AND THEN LIFE HAPPENS AND I NEED TO GO AND PUT THE KIDS TO BED OR GO TO WORK AND THE 4K VERSION OF MY LIFE IN THE NAME THEM OFF, BUT I CAN PICK UP THAT GAME AGAIN AND I CAN PLAY IT ON MY PHONE OR MY TABLET WHEN I'M ON THE TRAIN ON THE WAY TO WORK. I THINK IT'S SUPER, SUPER SPECIAL. AND AS WE WERE TALKING WHAT EARLIER, AS DEVELOPERS, WE CAN MAKE ONE VERSION OF THE GAME AND EVERYONE CAN ENJOY THAT, THE GAME AS WE AS CREATORS INTENDED. >> REGARDLESS OF WHAT -- YOU DON'T HAVE TO WORRY ABOUT THE SCREEN SIZE. THE MOUSE AND KEYBOARD BINDINGS OR ALL OF THAT STUFF, IT JUST WORKS. >> YEARS AND YEARS AGO WE ARE IN IRVINE, CALIFORNIA, AND BLIZZARD IS RIGHT NEXT TO US AND I KIND OF GREW UP IN THE INDUSTRY EARLY ON DOING SOME STUFF WITH BLIZZARD SO I GOT TO THE TO KNOW MICHAEL REALLY WELL AND IT'S BLIZZARD STARTED TO BE SUPER SUCCESSFUL, ONE OF THE RECENT THINGS I ASKED HIM, HOWEVER MANY YEARS AGO, IT MIGHT HAPPEN WHEN WHEN STARCRAFT WAS COMING OUT AND I SAID "WHY DO YOU THINK A LOT OF YOUR GAMES ARE BEING SO SUCCESSFUL" BECAUSE THE KIND OF WENT FROM KNOWING TO THE TOP OF THE INDUSTRY VERY QUICKLY. AND HE SAID AT THE TIME, HE SAID AS A GAME DEVELOPER YOU CAN SOMETIMES GO -- WE WANT OUR GAME TO SUPPORT EVERYTHING, SO YOU'RE JUST PUSHING THE POOR PC AND THE HEAT IS MELTING THINGS IN THE BACK OF IT IN THE CARD IS DYING AND ALL THIS KIND OF STUFF AND HE SAID BLIZZARD WORKED -- ONE OF MY MAIN THINGS IS TO CONSTANTLY SAY HOW DO WE HAVE THERE NOT BE A REQUIREMENT OF HAVING THE HIGHEST CARD IN THE HIGHEST THIS. >> MAKE IT AS BROAD AS POSSIBLE. >> THAT'S EXACTLY WHAT HIS FEELING WAS. HE WAS DOING IT FOR TWO REASONS. THE REASON FOR IT LIKE THAT'S HOW YOU SELL AS MANY AS POSSIBLE BACK IN THAT DAY BUT I THINK THE SECOND THING WAS IT MEANT THAT EVERYBODY COULD ENJOY THE SAME EXPERIENCE AND THEY WEREN'T HAMPERED BY WHAT THEY COULD AFFORD. >> RIGHT. RIGHT. >> GOT ANYTHING TO ADD? >> WHAT HE SAID. >> ONE OF THE OTHER COMMON THEMES THAT WE SAW WHEN YOU WERE ON STAGE, AND MANY OF YOU WERE ON STAGE WHERE GAME PASS. GAME PASS, HUGE PRIORITY FOR US, STARTED A COUPLE OF YEARS AGO. HOW DO YOU THINK ABOUT GETTING PAST IS THAT OF THE STUDIO? I WANT TO TALK TO YOU GUYS ABOUT DEVELOPERS, HOW IT HAS HELPED YOU. >> IT IS ABSOLUTELY A GREAT PLACE TO DISCOVER GAMES. I COULD SIT UP AND DO THE SALES PAGE, HEY, IT IS WHERE YOUR NEXT GREAT GAME IS, I WILL GIVE A VERY SPECIFIC EXAMPLE. WE WORK WITH THE TEAMS WORKING ON THE STATE OF 2, THAT WAS A GAME THAT WORKS FOR SALE AND REPORTED IN GAME PASS, WHICH I BELIEVE IS A GREAT PLACE TO FIND A GAME THAT YOU MIGHT NOT HAVE OTHERWISE PLAYED. WE CAN LOOK AT THE DATA, AND WE SUDDENLY SEE A BUNCH OF PEOPLE COMING IN AND PLAYING A STATE OF DECAY AND STICKING WITH THAT BUT THEY ARE PEOPLE THAT WE HAVE NEVER SEEN ON THE CONSUL BEFORE, NEVER SEEN THEM INSIDE THE XBOX WORLD. FOR THE TEAM THAT WORKED ON "STATE OF DECAY," THAT IS FANTASTIC, BECAUSE BACK TO THIS KIND OF DISCOVERY, BROAD AUDIENCE, IF "STATE OF DECAY" WAS A GAME THAT YOU THINK, WOW, I'M NOT REALLY INTO THESE KIND OF GAMES, DON'T WANT TO GO SPEND ALL THE MONEY BUT NOW BECAUSE OF GAME PASS, I WILL TRIED OUT -- >> WHY NOT? >> I JUST START TO THINK OF PLACES WHERE, WHETHER IT IS OUR SUBSCRIBE TO MUSIC NOW, NOT HAVING TO BUY SOMETHING OR WHETHER IT IS NOT LIKE THAT I'M JUST KIND OF GOING THROUGH THE MENU AND I SEE THAT'S INTERESTING, THE NEXT THING YOU KNOW, I'M UP TILL 3:00 IN THE MORNING BINGING THE FIRST THREE EPISODES. THAT IS KIND OF WHAT GAME PASS ENABLES IS DISCOVERY. FOR US AS THEIR CREATIVE SIDE THE HOUSE AND THE GAME TO SIDE OF THE HOUSE, WE LOOK AT IT AS THIS IS A GREAT PLACE TO GET A GAME IN FRONT OF THE PLAYERS. >> WE SAW THAT WITH "SEA OF THIEVES," THE BARRIER TO ENTRY BEING GAME PASS WAS LOW, TREMENDOUS SUCCESS. >> THE INTERESTING THING ABOUT "SEA OF THIEVES," THAT YOU BRING THAT UP, JUST TO GET INTO A LITTLE BIT OF BUSINESS, PEOPLE SAY, IF YOU BUY THAT GAME INTO GAME PASS, DOES THAT MEAN THAT YOU ARE NOT ACTUALLY SELLING ANYMORE? THE FUNNY THING IS, WHEN WE PUT "SEA OF THIEVES" INTO GAME PASS, WE SAW THE NUMBER OF PEOPLE THAT WERE OUT BUYING THE DISK GO UP ALSO. >> REALLY? >> I THINK IT CREATES THIS EFFECT OF PEOPLE TALKING ABOUT THE GAME, WANTING TO PLAY THE GAME, AND FOR US, WHETHER YOU WANT TO OWN A DESK, WHICH SOME PEOPLE WANT TO DO, WHICH IS GREAT, OR YOU WANT TO TRY TO OWN OUR GAME PASS, WE SAW MORE PEOPLE TALKING ABOUT THE GAME, MORE PEOPLE GOT EXCITED ABOUT IT AND MORE PEOPLE WANT TO GO PLAY. >> I WANT TO SWITCH OVER TO YOU GUYS ON THE STUDIO SIDE. HOW DO YOU THINK ABOUT GAME PASS AND WHAT HAS IT ENABLED FOR YOU GUYS? >> I THINK PLAYERS WANT GAMES THAT TAKE CREATIVE RISKS. I THINK DEVELOPERS WANT TO TAKE CREATIVE RISKS AS WELL AND GAME PASS FOR ME IS AT THE HEART OF THAT. IT'S THE HEART OF I THINK THIS WHOLE GROUP. WE COULDN'T COMBINE TO MAKE AN AWESOME SUBSCRIPTION SERVICE FOR PEOPLE. EACH OF OUR GAMES INDEPENDENTLY DON'T NEED TO APPEAL TO EVERYONE. THEY CAN APPEAL TO GROUPS WITHIN GAME PASS. THE STORY FANS AND THE COMBAT FANS, THE RPG FANS, THE DRIVING GAME FANS. THEY CAN ALL FIND SOMETHING WITHIN GAME PASS, THEY ALL GIVE A REASON FOR YOU TO GET INVOLVED IN GAME PASS. SO I THINK IN THE WORLD OUTSIDE OF GAME PASS, IT'S VERY, VERY DIFFICULT TO TAKE THOSE CREATIVE RISKS, BECAUSE EVERYTHING IS -- YOU HAVE TO BUILD A GAME FOR X AMOUNT OF MONEY, YOU HAVE TO SELL X AMOUNT OF UNITS TO MAKE THAT MONEY BACK. THE PROBLEM WITH THAT IS, YOU START TO ASK QUESTIONS ABOUT, DOES THE GAME APPEAL TO ENOUGH PEOPLE? >> THEN YOU HAVE TO START PULL E OF THOSE THINGS BACK. FROM A DEVELOPMENT PERSPECTIVE WITHIN GAME PASS, WE CAN BE REALLY COMPETENT IN TAKING CREATIVE RISKS BECAUSE WE JUST NEED TO FIND AN AUDIENCE WITHIN THAT SERVICE. BE A BUILDING BLOCK. ONE OF THE REASONS WHY PEOPLE WANT TO GET INVOLVED IN GAME PASS. I THINK THE OTHER REALLY NICE THING WITH THAT AS WELL, THE BARRIERS ARE SO LOW FOR PLAYERS, THEY CAN TRY ALL DIFFERENT TYPES OF GAINS. >> IT'S FUNNY BECAUSE I'M A HUGE -- YOU AND I HAVE TALKED ABOUT THIS, BUT I AM A MASSIVE FAN, IT BLEW MY MIND. THE AUDIO AND EVERYTHING ABOUT IT. YOU BROUGHT IT TO GAME PASS. I TOLD PEOPLE, I SAID YOU HAVE TO TRY THIS GAME IF YOU HAVE NOT TRIED IT, IT CONVERTED, IT DOESN'T COST ANYTHING, JUST DOWNLOAD IT AND TRY IT, AND PEOPLE CAME BACK TO ME TWO WEEKS LATER AND WERE LIKE, WOW, YOU ARE RIGHT, IT'S AN AMAZING GAME, YOU HAVE TO PLAY IT WITH HEADPHONES ON. >> IT'S THE FIRST THING I WANTED TO DO. WHEN WE ANNOUNCED THAT WE WERE PARTNERING WITH A GAME STUDIOS, ONE OF THE FIRST QUESTIONS I ASKED HIM HOW DO WE GET "HELLBLADE" AND A GAME PASS? THE FIRST THING I WANTED TO DO BECAUSE I WANT THAT GAME TO BE PLAYED BY AS MANY PEOPLE AS POSSIBLE BECAUSE IT'S ABOUT -- FOR ME IT'S ABOUT CREATING FANS. IT'S NOT ABOUT MAKING THE MOST AMOUNT OF MONEY. IT'S ABOUT CREATING FANS THAT LOVE WHAT WE DO. THE MORE PEOPLE WE CAN GET THAT GAME IN FRONT OF, THE BETTER. WE BUILD THAT LOVE FOR WHAT WE DO. GAME PASS IS JUST AMAZING FOR THAT. IT'S A REALLY ENGAGED AUDIENCE THAT WE CAN SHOW OUR CONTENT TOO. >> YOU'VE GOT A GREAT EXAMPLE WITH "HELLBLADE." WHAT DO YOU GUYS THINK ABOUT GAME PASS FROM YOUR PERSPECTIVE FROM THE OUTSIDE? >> SIMILARLY, WE LIKE TO MAKE GAMES THAT ARE UNIQUE AND THAT CAN APPEAL TO US AND CREATE THE RISKS THAT DOM WAS TALKING ABOUT. THE UNIQUENESS, IF THEY ARE BUYING A PHYSICAL COPY OF THE DISK OR SOMETHING, IT MIGHT BE ENOUGH THAT IT WOULD STOP THEM. ON GAME PASS, MAYBE THEY COME FOR ANOTHER GAME, THEY SEE OUR GAME SITTING THERE, THEY ARE CONFUSED AND INTRIGUED BY THAT GAME, AND IT'S FREE TO TRY. I'LL JUST TRY IT. I FEEL LIKE THAT'S ALL THE CHANCE WE ARE ASKING FOR, JUST THE CHANCE TO GET SOMEONE TO TRY OUR GAMES. I FEEL LIKE WE CAN THEN GIVE THEM SOMETHING THEY WILL REALLY LIKE. IF YOU CAN'T GET SOMEONE TO TRY YOUR GAME, IT'S VERY DIFFICULT. >> ONE OF THE THINGS, WHEN MATT WAS FIRST TALKING, GAME PASS, ONE OF THE FIRST THINGS HE WAS SAYING WAS IT'S NOT OUR GOAL FOR EVERY GAME THAT WE NOW MAKE AND PITCH AND DEVELOP TO BE AN APEX PREDATOR, BEFORE APEX LEGENDS CAME OUT. THE EXAMPLE WAS THAT A LOT OF TIMES FOR US AS STUDIOS, WE WOULD HAVE TO GO AND PITCH AND PITCH A GET CHECK BUDGET AND SORT OF WE WERE MAKING THE SWITCH ARMY KNIFE OF GAMES BECAUSE IT HAD TO DO THIS AND THAT AND THERE IS THOSE SALES LIST OF THIS THING THAT OUR GAMES HAVE TO DO TO EXCITE THE PUBLISHER ABOUT WHY WE WANT TO DO IT. THAT IS NOT THE POINT OF GAME PASS. THE POINT IS TO MAKE GAMES THAT WE THINK WE SHOULD MAKE THAT WE KNOW OUR FANS, WE HOPE THAT OUR FANS WILL LOVE BECAUSE IT'S AN EXTENSION OF WHO WE ARE AND THE KIND OF GAMES THAT WE WANT TO MAKE VERSUS THIS IDEA OF HAVING SORT OF THESE EXTERNAL STIMULI OR LISTS THAT WE HAVE TO DO BECAUSE THAT IS KIND OF HOW WE WOULD GET FUNDING. THAT HAS CHANGED VERY MUCH HOW WE LOOK AT HOW WE PITCH, WHEN WE PITCH OUR GAMES INTERNALLY, HOW WE START THE EARLY DESIGN DOCUMENTS, AND I THINK THAT'S GOING TO CHANGE A LOT OF WAYS FOR THE GAMES THAT WE END UP MAKING THAT SHOW UP ON GAME PASS. >> YOU TALK ABOUT HAVING TO PITCH TO THE PUBLISHER, WHICH YOU DON'T HAVE TO DO THAT ANYMORE. YOU JUST HAVE TO TALK TO MATT. IT'S INTERESTING HOW MATT, YOUR STRATEGY ABOUT THE STUDIOS GO BUILD COMEDY WHAT THEY DO GREAT, JUST MATCHES PERFECTLY WITH GAME PASS IN TERMS OF BUILDING GREAT STUFF AND NOW WE HAVE THIS VENUE FOR PEOPLE TO EXPERIENCE IT. >> WE TALKED A LOT ABOUT "HELLBLADE" BUT IT'S A GREAT EXAMPLE. WHEN WE FIRST SET OUT OVER A YEAR AGO AND SAID WE REALLY NEED TO GROW OUR STUDIOS, THERE WAS A VERY SPECIFIC CONVERSATION WITH MY BOSS WHERE I SAID, WE CAN GO DO THIS BUT I WANT TO ASK A QUESTION. IF WE ACQUIRE NINJA THEORY AND THEY GO AND MAKE FIVE MORE GAMES, JUST LIKE "HELLBLADE," ARE YOU GOOD WITH THAT? HE SAID, ABSOLUTELY. THAT WAS THE TEST OF, ARE WE ON BOARD WITH TAKING CREATIVE RISKS, MAKING GAMES THAT ARE OF A CERTAIN SCOPE, AND MAKING SURE THAT WE TRY TO GO ABROAD AS OPPOSED TO, CAN WE MAKE -- TRY TO FIT EVERYTHING INTO SOME KIND OF BOX. >> IF YOU ARE IN THE CHAT RIGHT NOW, ON TWITTER, HIT ME UP AND ASKED ME SOME QUESTIONS. WE ONLY GOT ABOUT 15 MORE MINUTES. ONE OF THE QUESTIONS I HAD AN ATTACK CHAT, WOULD WE HAVE THE STUDIOS, IS THERE ANY PREFERENCE THAT WE HAVE TWO CREATE A NEW EYEPIECE OR CONTINUE EXISTING? IT SPEAKS TO THAT. >> THERE IS NO QUESTION, FOR EXAMPLE, WE HAVE THESE BIG FRANCHISE TEAMS LIKE "HALO" AND "MINECRAFT." WHAT ARE THEY GOING TO WORK ON NEXT? "MINECRAFT. THEY WILL GO EXPAND THAT FRANCHISE. WE HAD "MINECRAFT" DUNGEONS, THIS BE 25 TEAM, THEY WILL WORK ON "HALO." BUT WHAT WE HAVE WITH THE STUDIOS OVER THE LAST YEAR, THE FREEDOM TO GO TRY SOME THINGS OUT AND TO BRING SOME VARIETY. SO THE QUESTION IS, THE FRANCHISES THAT WE HAVE WILL CREATE NEW IP BUT THEY WILL DO THAT WITHIN THEIR FRANCHISE BOUNDARY. THERE WILL BE, JUST LIKE DISNEY WITH "STAR WARS," BUT IT WILL BE "STAR WARS." IT'S FUNNY BECAUSE YOU KEEP SAYING TO ME THEY DON'T HAVE TO GO TO PUBLISHERS, THEY HAVE TO COME TO ME. I ACTUALLY HAVE NO IDEA WHAT MOST OF NINJA THEORY IS DOING RIGHT NOW IN TERMS OF THE GAME DESIGN. [LAUGHTER] OUR COMPULSION STUDIO IN MONTREAL, HE'S BEEN WORKING ON AGAIN, SIGNING EXPENSE REPORTS WERE PEOPLE OFF DOING RESEARCH. BUT I HAVE NOT SEEN IT. IT'S NOT LIKE THEY'VE GOT TO SUBMIT A PIECE OF PAPER TO ME AND -- >> HERE'S THE PITCH PAPER. >> THERE WILL BE A PROCESS WHERE WE WILL HAVE SOME FOLKS TAKE A LOOK AT IT AND MAKE SURE IT'S THE RIGHT THING TO BUILD. BUT IT'S NOT LIKE I HAVE BECOME THIS PROXY PUBLISHER. WE REALLY HAVE TO TRUST THE STUDIOS TO GO OUT AND COME UP WITH NEW IP. THE ANSWER TO THE QUESTION, WE ABSOLUTELY WANT NEW IP, NEW IDEAS, AND I FEEL LIKE WE ARE VERY FORTUNATE THAT WE HAVE A COLLECTION OF STUDIOS THAT INCLUDES THINGS LIKE "HALO" AND "MINECRAFT," WHICH I HOPE 50 YEARS FROM NOW ARE STILL GOING STRONG AND WE HAVE A GREAT COLLECTION OF STUDIOS WHO ARE GIVEN THE FREEDOM TO MAKE UP WHAT THEY WANT FOR THEY WANT. >> HAVE A QUESTION FOR EACH OF YOU ON STAGE. IS THERE ANOTHER STUDIO ON THE SCREEN THAT YOU GUYS WOULD LIKE TO COLLABORATE WITH? IF YOU HAVE ANYTHING TO SAY. [LAUGHS] TIM, I THINK YOU HAVE AN IDEA OVER THERE. >> I LIKE PIRATES, I DO LIKE PIRATES. [LAUGHTER] I HAVE A HISTORY WITH PIRATES. >> THIS IS AN UNSCRIPTED QUESTION. >> I WOULD SAY FOR ME, ONE OF THEM IS TALKING -- THEY DO INCREDIBLE OPEN WORLD, "STATE OF DECAY." THAT IS SOMETHING, WHEN I THINK OF THE ROLE-PLAYING GAMES THAT I WANT TO MAKE AND PUTTING US PEOPLE IN THOSE WORLDS, THEY ARE THE ONES THEY HAVE GONE AND DONE IT AND CREATED THIS HUGE WORLD. SO FOR ME, THAT IS AN INTERESTING COLLABORATION THAT WE COULD LEARN FROM EACH OTHER. >> AND PIRATES. >> AND PIRATES. [LAUGHTER] >> GOING TO HAVE PIRATES? [LAUGHTER] >> DEFINITELY PIRATES. OTHER THAN THE STUDIOS, WE'VE DONE QUITE A LOT OF WITH MICROSOFT RESEARCH. WE BASICALLY -- CAMBRIDGE IN THE U.K., A BIG MICROSOFT RESEARCH IN CAMBRIDGE AS WELL, UP UNTIL WE JOINED XBOX GAME STUDIOS HAD NO IDEA WHAT HAPPENED IN THE BUILDING. I WOULD GO PAST THE BUILDING EVERY DAY AND WONDER WHAT WAS GOING ON. >> THIS IS THE WHOLE OTHER PART. >> THEY ARE THE SAME CITY, SO LIKE YOU SAY, LET'S GET TOGETHER, AND WE ARE HAVING -- >> YOU CAN USE THE COPIER NOW. [LAUGHTER] >> EXACTLY. THEY ARE DOING SOME REALLY GOOD STUFF THERE, THEY LEVELED WE ARE DOING, SO THEY ARE LOOKING AT WAYS THAT WE CAN COLLABORATE AND CONNECT. IT'S NOT JUST BETWEEN THE STUDIOS, IT'S REALLY JUST UP GOING ACROSS THE WHOLE ORGANIZATION. >> IF YOU NEED A COPY OF EXCEL -- [LAUGHTER] >> WHATEVER YOU NEED. [LAUGHTER] >> IS ALL OVER IT. >> IF YOU GUYS HAVE ANY QUESTIONS IN HOUSE, RAISE YOUR HAND. WE'LL PASS THE MICROPHONE AROUND. MATT, WHEN YOU WENT THROUGH THE ACQUISITION, A LOT OF THESE ACQUISITIONS, ALL OF THEM, DO YOU SAY, WE WILL BUY YOU BUT YOU NEED TO SHIP SOMETHING AND 24 MONTHS OR TEN MONTHS? HOW DOES THAT WORK? IN YOUR CIGAR, IN THE CORNER OFFICE? >> EVERYONE HAS BEEN GRACIOUS ENOUGH TO GIVE US A LOOK INTO THE WINDOW OF WHAT THEY THINK THEY WOULD LIKE TO MAKE AND HERE ARE THE THINGS WE ARE PLANNING, AND I THINK ALSO, PARTICULARLY IN THE CASE OF SOMETHING LIKE DOUBLE FLIGHT, EXISTING LIBRARY. WE CAN BRING SOME OF THOSE FORWARD, WE CAN DO REMASTERS ON THINGS. SO IT'S MORE A QUESTION OF, WHAT ARE YOU WORKING ON? I TRY TO DISCIPLINE MYSELF MORE TO COME IN AND LOOK AT IT AS, WHAT IS -- PROBABLY ALL OF YOU HEARD ME ASK, YOU CAN CALL ME OUT ON THIS -- IF THERE IS ONE THING THAT YOU WANT ME TO DO BETTER IN YOUR STUDIO, WHAT WOULD IT BE? I WILL JUST USE UNDEAD LABS, WHAT IS SOMETHING THAT YOU WISH YOU HAD? I WISH WE COULD HIRE A TEAM WITH THE BEST ANIMATORS. HOW DO WE MAKE THAT HAPPEN? SO IT IS MORE, WHAT IS THE THING THAT YOU WISH YOU ALWAYS HAD THAT WAS JUST NEVER QUITE THERE? HOW DO WE FIGURE OUT HOW TO DO THAT? >> DO WE HAVE ANY QUESTIONS IN THE HOUSE? GET THE MICROPHONE OVER, WE HAVE JUST ABOUT 10 MINUTES OFF. WE'LL SEE WHAT WE CAN DO. HELLO THERE. WHAT IS YOUR NAME? >> MY NAME IS MEGATRON ON TWITTER. REALLY QUICK, ARE YOU GUYS STILL TRYING TO MAKE STUDIO ACQUISITIONS? >> WE ARE STILL TRYING TO DO SOME ACQUISITIONS. I HAVE BEEN DOING A LOT OF INTERVIEWS THE LAST COUPLE OF DAYS. WE GET ASKED THAT. I DON'T HAVE A DIRECTION. PHIL HASN'T COME TO ME AND SAID, I WANT 18 OF THESE BY JULY, RIGHT? IT IS MORE -- I SAID THIS EARLIER, IT IS MORE ABOUT THE RELATIONSHIPS THAT WE HAVE IN THE KIND OF STUDIOS, IF THERE ARE MORE STUDIOS OUT THERE LIKE THAT THAT WE FEEL FIT IN TERMS OF VALUES AND CREATIVITY, THE PEOPLE, THEN WE'LL TALK TO THEM. BUT IT ISN'T LIKE WE'VE GOT A TARGET. >> THERE IS NOT A MAGIC NUMBER. >> THERE'S NOT A MAGIC NUMBER. WE HAVE, AGAIN, I JUST HAVE THE PRIVILEGE OF BEING ABLE TO REPRESENT THE BIGGER TEAMS THAT DO SO MUCH OF THIS WORK. WE HAVE A FANTASTIC TEAM WHO GOES OUT AND MEET WITH PEOPLE AND IS ALWAYS TRYING TO MEET NEW STUDIOS AND TALK TO PEOPLE. IF WE ENCOUNTER ONE OF THOSE, THEN WE START TO TALK, BUT THERE ISN'T REALLY A QUOTA. >> THANK YOU. >> ONE MORE. >> LAY OUT A LITTLE BETTER IF YOU SLID OVER. THAT'S IT. I THINK THAT'S THE MAIN THING YOU NEED TO WORRY ABOUT. >> NEXT QUESTION. HI. >> HI, GUYS. JUST A QUESTION ON REALLY HOW THE SPEAKER SYSTEM WORKS. WHILST I UNDERSTAND THE SAFEWAY IDEA, I'M SURE MICROSOFT DOESN'T, BLAH, BLAH, BLAH, I CAN EXPECT THERE TO BE MUCH. DENNIS STUDIOS HOW DO THESE GUYS GET PAID? OUT AS A MECHANIC FOR THAT WORK? [LAUGHTER] >> WE GET PAYCHECKS. >> LIKE YOU MUSICAL HOW THAT WORK? >> SORRY, LIKE WHEN YOU MEAN CHURN, YOU MEAN IN TERMS OF STAFF? >> IF YOUR STUDIO HAS PERFORMED REALLY WELL, PRODUCED REALLY GOOD GAMES BUT THERE IS ANOTHER ONE THAT IS LAGGING, WILL THEY BE REPLACED OVER TIME OR IS THIS MORE OF A LONG-TERM INVESTMENT IN THE STUDIOS? >> I'M NOT GOING TO PUT YOU GUYS ON THE SPOT WITH THAT. I WILL TRY TO LEAD INTO IT. IT IS A LITTLE BIT -- IS A TOUGH QUESTION. FROM A REALITY POINT OF VIEW, I WILL SAY THAT ANOTHER THING THAT HAPPENS BEFORE WE ACQUIRE ANY STUDIO AS THERE IS A PRETTY SERIOUS CONVERSATION THAT HAPPENS ABOUT, ARE WE COMMITTED TO THIS TO THE LONG-TERM. WHEN WHEN WE ACQUIRED THEM, THERE IS A LOT OF QUESTIONS ABOUT, WILL YOU BUY THIS, SHUT IT DOWN, WHAT HAPPENS, WHEN YOU WENT AFTER -- NAME SOME OTHER STUDIOS, LET'S TALK ABOUT LION HEAD AND THINGS LIKE THAT. THE PRINCIPLES THAT WE SET OUT AT THE BEGINNING OF THAT ACQUISITION WORK, THIS STILL NEEDS TO BE HERE 50 YEARS FROM NOW. THIS HAS TO BE MANAGED LIKE IT'S A MARIO, IT'S A "STAR WARS," "LORD OF THE RINGS," WE ARE VERY COMMITTED TO THE LONG-TERM. I I FEEL THAT SUPPORT FROM OUR CEO, EVERYONE, ALL THE WAY UP TO THE BOARD OF DIRECTORS AT MICROSOFT, IF YOU CAN BELIEVE IT, THERE IS A MEMBER ON THE BOARD OF DIRECTORS WHO IS A BIG FAN OF THE FILL AND HAS BEEN A BIG ADVOCATE FOR GAMING WITHIN MICROSOFT. WE ARE COMMITTED TO THE LONG-TERM. IN TERMS OF HOW THEY GET PAID, THAT IS ONE OF THE GREAT THINGS ABOUT GETTING PAST. I DON'T WANT THEM DESIGNING GAMES DO YOU THINK ABOUT HOW MANY UNITS IT HAS TO SELL. LET'S TALK ABOUT AUDIENCE, PEOPLE DISCOVERING THE GAME, AND WHAT I HOPE, WHAT WE CAN OFFER FOR MICROSOFT INSTABILITY. I THINK THAT THEY CAN TRUST THAT 20 YEARS FROM NOW IS THAT MICROSOFT WILL STILL BE HERE. THE PICTURE THAT I HOPE IS THAT EVERYBODY IN THE STUDIO KIND OF TAKES A BREATH AND RELAXES AND SAYS, ALL RIGHT, THIS IS GREAT, I CAN SIT DOWN AND WORK ON MY THING. I DON'T HAVE TO WORRY ABOUT WHETHER THE STUDIO WILL BE HERE FIVE YEARS FROM NOW. THAT IS A PRETTY SERIOUS ASPECT OF MY PART OF THE JOB. >> THANK YOU FOR YOUR QUESTION. ANOTHER QUESTION OUT HERE? ONE RIGHT OUT HERE. I'M SORRY COME OVER HERE. HI, THERE. >> HOW ARE YOU GUYS DOING? I WANT TO ASK YOU GUYS, A FIGHTING GAME, ALL OF THE STUDIOS -- YOU KNOW, MASTER CHIEF VERSUS ALL THE DIFFERENT CHARACTERS? >> XBOX GAME STUDIOS MAKE A MIX. THAT'S AN IDEA. >> NOTED, MATT, YOU HEARD IT. [LAUGHTER] >> LIKE I SAID, THE STUDIOS ARE FREE TO DO WHATEVER THEY WANT. [LAUGHTER] >> WE HAVE ANOTHER QUESTION RIGHT DOWN HERE IN THE FRONT. HI. >> I AM DELILAH. >> HI. >> HI. MY QUESTION IS, DO YOU EVER WORRY ABOUT THE ABANDONED IP, CRIMSON SKIES, ALL THESE GAMES THAT CAME OUT ON THE PEOPLE ARE FANS OF COME OF THE STUDIOS ARE NOT FOCUSING ON ANYMORE? >> I WILL ANSWER THAT QUICK AND I WOULD LOVE TO HEAR FROM THESE GUYS BECAUSE THEY ALSO HAVE GAMES THAT THEY HAVE MADE, GAMES THAT HAVE MOVED ON. THAT'S A TRICKY BALANCE OF MANAGING. WE HEARD EARLIER THE QUESTION OF ARE YOU GOING TO FOCUS ON NEW THINGS, BUT THEN THERE ARE ALSO THINGS THAT ARE VERY BELOVED, FOR EXAMPLE, WE HAVE HERE IN THE BRIEFING, WE SHOWED A TRAILER FOR "AGE OF EMPIRES 2 CLO." I THINK IT FIRST APPEARED IN THE LATE 1800s." NOT THAT OLD BUT NOT THAT LONG T IS CLEARLY A GAME THAT PEOPLE LOVE AND WE'LL KEEP BRINGING FORWARD. ONE OF THE THINGS I LOVE THAT WE DO IT XBOX IS WE ARE SO DEDICATED TO OUR BACK COMPACT PROGRAM, BRING YOUR LIBRARY OF GAMES. THIS IS AN AMAZING POINT IN GAME CONSOLES THAT YOU CAN NOW OWN FOUR GENERATIONS OF CONTENT ON XBOX. ALL THE WAY TO A ORIGINAL XBOX, 360, XBOX 1, AND PROJECTS GARLIC. I THINK WE WILL REACH BACK AND TOUCH SOME IP THAT MAY BE WE THINK, IT'S THE TIME FOR HER TO COME BACK OR MAY BE MORE IMPORTANTLY, IF ONE OF THESE GUYS RAISES THEIR HANDS AND SAYE BEST CONQUEROR GAME THAT'S EVER BEEN MADE -- [APPLAUSE] WE COULD BRING HER BACK TO LIFE. IT'S A THING WE THINK ABOUT, TO MANAGE, WHAT IS THE BALANCE FOR A NEW IP, WHAT ARE THE THINGS THAT CLEARLY -- SO "MASTER CHIEF" COLLECTION WE ARE BRINGING TO PC THIS SUMMER, GOES ALL THE WAY BACK TO "HALO." SO IN SOME PLACES, WE WILL DO THAT. GREAT QUESTION. I WOULD SAY KEEP YOUR EYES OUT OVER THE NEXT COUPLE OF YEARS, THERE MAY BE SOME THINGS THAT ARE IN THE VAULT THAT WE BRING FORWARD. YOU GUYS ALL WORK WITH IP THAT YOU HAVE CREATED THAT IS FIVE, TEN YEARS OLD. HOW DO YOU THINK ABOUT WHAT TO BRING FORWARD? >> FOR ME, IT IS NOT SO MUCH WHAT I WANT, I THINK WHEN WE HAVE A GAME FINISHING AND WE WILL HAVE A NEW TEAM, PUTTING A NEW TEAM TOGETHER, FOR ME, WHY DO THEY WANT TO WORK ON? I WILL COME TO IT AND SAY, I DON'T KNOW ABOUT THAT IP. THAT'S A LITTLE WEIRD. OR IT IS NOT INTERESTING ANYMORE BECAUSE HE COULD HAVE ABANDONED IP -- MAYBE IT'S ABANDONED FOR A REASON. SO FOR ME, THAT IS WHAT IT IS. IF IT IT IS A GAME THAT HE WANTS TO MAKE AND THAT IS SOMETHING WE WANT TO TALK ABOUT, AND THAT MAY MEAN A NEW IP, SOMETHING RECENT, OR IT COULD BE SOMETHING OLD. IT REALLY HAS TO BE UP TO THEM. >> I THINK THAT THE REASON THAT IP GETS ABANDONED SOMETIMES, ESSENTIALLY, YOU CAN'T GET FOR FUNDING, YOU CAN'T GET THE BACKING TO MAKE SOMETHING WITH IT AGAIN, TO BRING IT BACK TO GAME PASS. I THINK IT'S AN OPPORTUNITY TO LOOK AT IP THAT HAS BEEN LEFT BEHIND WITHIN THAT MODEL. FOR US AS DEVELOPERS, GIVES US AN OPPORTUNITY TO DO SOMETHING THAT IS IN A COMPLETELY DIFFERENT MOLD. IT DOESN'T NEED TO BE JUSTIFIED IN THOSE TRADITIONAL GREEN LIGHT TERMS. I THINK THERE IS INTERESTING OPPORTUNITIES TO LOOK AT THE IPS THAT HAVE NOT KEPT UP WITH A TRADITIONAL AAA STANDARDS, AND HOW THEY CAN NOW FIT IN TO THAT MORE DIVERSE MODEL. >> IS ALWAYS A COMPROMISE BETWEEN -- THERE'S A LOT OF IPS THAT GET BROUGHT UP, AND COMPROMISES BETWEEN THAT AND SOMETHING NEW. WE ARE ALL CREATIVE PEOPLE, WE LIKE TO MAKE UP NEW STUFF, AND MAYBE SOMEONE WOULD LIKE US AND WE, THEY JUST DON'T KNOW ABOUT YET. SURE, YOU PROTECT THAT AT THE SAME TIME. BUT SOMETIMES, YOU ARE SAYING, THE INSPIRATION OF THE TEAM, WHAT THEY FEEL INSPIRED TO DO. AFTER SAYING NO TO DOING SEQUELS FOR A LONG TIME, FELT THIS IDEA THAT WAS REALLY EXPIRING, DOING MULTIPLE -- HAVING A STUDIO THAS MULTIPLE TEAMS ALLOWS US TO DO BOTH. A SEQUEL AND DO SOMETHING GRADUAL THAT IS NEW. I KNOW WHAT YOU ARE SAYING ABOUT THE OLD IPS BUT IT'S ALWAYS A BALANCING ACT. >> UNFORTUNATELY WE ONLY HAVE A COUPLE MINUTE SO I WILL WRAP IT UP. I WANT TO THANK MATT BOOTY AND DOM AND FEARGUS AND TIM FOR JOINING ME ON STAGE AND WELCOME TO THE FAMILY, PROPER WELCOME. IF YOU HAVE ANY FINAL WORDS? >> NO, JUST THANK YOU FOR JOINING US HERE AND ALSO EVERYONE THAT JOINED US AT E3, IT IS GOOD TO SEE E3 SO AND ENERGIZE. SO MUCH COMES FROM THE FANS.
