Project Helix plays PC games: Microsoft's high-risk Xbox

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Now it's out. The next Xbox (Project Helix) will also play PC games, announced the new Xbox boss Asha Sharma almost casually in an X post on Thursday evening. It's a paradigm shift that once again raises the question: What actually is an Xbox? And it shows that Microsoft no longer believes in the classic game console – the gap to the PlayStation is too large. Because with Project Helix, Microsoft is playing a dangerous game.

Of course, consoles also have their advantages: they are compact, fit next to the TV, and their straightforward interface doesn't distract from the core business of gaming. Because they target uniform hardware, games are usually better optimized. They have an excellent price-performance ratio because their manufacturers subsidize the sales price and recoup the money with game sales.

But: These are not immutable facts. All of this is also possible with PCs, as Valve's Steam Deck shows. The Deck's interface is completely designed for gaming, and many games even have suitable graphics presets for the handheld PC. And in terms of price, the Deck is also on par with consoles because Valve collects a commission on the sale of Steam games. Why shouldn't that work with an Xbox too?

Microsoft goes all-in

For several reasons. For Microsoft, a PC-like Xbox is risky because it could completely turn the console business model on its head. In reverse, many of the aforementioned PC advantages don't sound quite so cool anymore.

Games without copy protection on GOG? You can download them from scene websites so easily that you hardly notice you've just downloaded a pirated copy. Emulated games? Difficult terrain. Fee-free online gaming? The money has to be recouped elsewhere.

Above all, Microsoft could give up control of the ecosystem with an Xbox PC. When someone buys games in the Xbox Store, Microsoft gets a commission for it. This works well when users, as on current Xboxes, have no other choice. As soon as other stores are allowed, this revenue stream collapses: Those who can also buy games on Steam will rarely spend money in the Xbox Store. Steam will eat Xbox if Microsoft allows it. There should be no illusions about that. The entire financing model would be on the line.

Open or locked down

At least users will remain in the Windows ecosystem! But thinking it through consistently: What would stop users of Project Helix from installing Linux on their Xbox? And what would be left of the Xbox than an AMD chip and a nice case?

All of this, of course, presupposes that Microsoft will actually open up its Xbox. Windows already runs at the core of current Xbox consoles, but users don't notice much of it. Sharma writes that the next Xbox can play PC games; she doesn't write that the Xbox will be a PC. It is conceivable that Microsoft wants to lock down the next Xbox again according to all the rules of the art. But the more Windows Microsoft grants its users, the easier it will be to unlock the rest.

In addition, there are indications that Microsoft might dare to create an open Xbox ecosystem. You can already see what that might look like with the Xbox Ally: The handheld PC comes with a specially tailored Xbox gaming interface that, while highlighting Microsoft's own content, can also integrate Steam and Co. If you want, you can also switch to the normal Windows desktop on the Ally. Is this a test run for Project Helix or just a one-off experiment?

The “Return of the Xbox” is highly risky

For Asha Sharma, it's a gift: At the start of her tenure, she was allowed to announce exciting new hardware and embrace the motto “The Return of Xbox.” In fact, Sharma has little to do with the Xbox PC: Microsoft has been working for years on features to make Windows PCs more console-like. Even former Xbox president Sarah Bond said Xbox is not just designed for one store. And Sharma's predecessor Phil Spencer also dropped hints from time to time about an Xbox in the way Sharma has now confirmed. Such a concept doesn't develop in two weeks.

That Sharma is now celebrating Project Helix as the return of the Xbox is a clever spin. It suggests that Project Helix could become the opposite, so to speak: A PC is still a PC, even if an Xbox logo adorns the case.

With Project Helix, Microsoft is playing its biggest trump card in the duel with Sony: the Windows ecosystem. For gamers, a console that can also play PC games has enormous advantages. From a business perspective, Project Helix is a highly risky maneuver that completely overturns established financing models. It is the gamble of a company that has little left to lose in the console market – and perhaps the most exciting new Xbox in 20 years.

(dahe)