Microsoft says it's not competing with Sony anymore, Google and Amazon are their rivals now
As cloud gaming ramps up, Microsoft is betting big on Azure for gaming
As the next console generation kicks off this year, Microsoft appears to have a change in focus on the competition.
While Microsoft Xbox and Sony Playstation have traditionally been rivals, even as both companies release their consoles, with the Xbox Series X and the PlayStation 5, Microsoft's Phil Spencer has said that he doesn't consider Sony and Nintendo his main competition, that focus has now shifted to Google and Amazon.
Google has already demonstrated this with Stadia but Amazon have been quite secretive on their cloud infrastructure. Most game servers rely on Amazon's Web Services to facilitate game communication so the company is well positioned to start its own service but Microsoft has Azure and with investing over several billion dollars and over 10 years
With Google starting the race with its Stadia gaming platform, albeit off to a rocky start, Microsoft is using is xCloud technology to allow you to play the same video game across console, PC and mobile devices and that would explain Microsoft's confidence.
So much so that the company is now looking to work with Nintendo and Sony to give that infrastructure. The idea being that they would rather work with Microsoft for its cloud technology than go to Google or Amazon.
The format wars appear to have taken a new turn.