Xbox One: there's room in the market for both physical and digital games, says Microsoft

Xbox One is going to offer a steady stream of boxed and digital content after it drops this November, but while the appetite for digital games seems to be growing, Microsoft's Xbox Live product manager Pav Bhardwaj has argued that downloadable games won't detract from boxed code moving forward.

Speaking with OXM, Bhardwaj said, "I don't genuinely believe that there will be more digital and less physical product. I actually think the entire market will grow. I think there's room for both - there's a certain type of customer who really wants a physical product, because who doesn't want those steelbook limited editions? I think everybody wants those. And there's a certain kind of customer who will also want the digital.

"So I think there's room for both, and it's our job to grow with the entire industry going forward, and offer people who want a certain product a certain way, that particular product in that way, and for people who want a physical product, to carry on buying that."

Bhardwaj added that because the Xbox audience is ageing, the appetite for digital content has shifted as Microsoft gears up for Xbox One's release. He added, "I can't really talk numbers or actual detail, but we actually are seeing the entire breadth of the Xbox customer base growing. It kind of ranges from that young customer all the way up - we're seeing more families involved, core gamers are growing up and having kids, who are now enjoying the Xbox 360.

"So it's really moving on with the customers we had originally, they're carrying on - I think they're also going to buy the Xbox One, and keep the Xbox 360 maybe in a bedroom somewhere. We're just seeing it expand."

Do you think it's a matter of time before the box industry's goose is cooked, or are you still a fan of box ownership. Discuss below.