Sega Sammy Holdings today said it is considering forming a strategic alliance with Microsoft to develop high-budget games using cloud gaming technology provided by the console maker Xbox.
More specifically, Sega is exploring the possibility of creating games with global reach on the Microsoft Azure cloud platform. Unfortunately, there are no details, for example, the amounts that partners will invest, and plans for the release of exclusive games are not yet available.
Microsoft’s own cloud gaming initiative is available via Xbox Game Pass, a cross-platform subscription that already includes Sega games like the popular Yakuza series.
Cloud gaming reduces dependence on client hardware, but requires a fast internet connection. Microsoft’s desire to enter this nascent market is linked by the source to the fact that the Microsoft Xbox console, by all accounts, is losing the battle with the Sony PlayStation.
Sega and Microsoft have a long history of partnership. Sega used to develop its own console business, but after a series of setbacks it abandoned it.