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Microsoft to step up subscription, AI game: Analyst

Microsoft (MSFT) is ramping up its video game sales strategy as it prepares to release the next installment of Call of Duty on its Game Pass subscription service. TECHnalysis Research President and Chief Analyst Bob O'Donnell joins Market Domination to discuss the move and what it could signal for the tech company's future. "It's an evolution of what Microsoft is doing on their gaming business in general," O'Donnell says of the move. He adds that the Game Pass subscription service has already seen success as subscription models gain popularity. "It's all about getting more subscribers," O'Donnell notes, comparing Game Pass to Netflix in its consistent push to gain and retain subscribers with new offerings. Microsoft's Build conference, a developer-focused event, will be held next week. At this event, O'Donnell expects to hear more about Microsoft's artificial intelligence initiatives and emphasizes the importance of staying a competitor in the market: "This is the year when AI really starts to have an impact. And then, eventually, we start to see even more of a bottom-line financial impact. We've started to see it. I expect we're going to be seeing more of that over the next 12 to 18 months." For more expert insight and the latest market action, click here to watch this full episode of Market Domination. This post was written by Melanie Riehl