Microsoft chief exec Satya Nadella claims the company is "well positioned" to succeed in what's going to be a much larger game market thanks to its focus on technologies and services like Xbox Live and Game Pass. 

Commenting on how the game business would fit into Microsoft's overall company direction during a recent earnings call, Nadella claimed the Xbox maker already has a lot of the tools needed to thrive in a market that's rapidly expanding thanks to the emergence of new tech and business models. 

"We now have a business model with Game Pass as well as all the supporting mechanisms for Game Pass like game streaming [via project xCloud]," he commented. 

"We have a social network in Xbox Live that is the best in the business. So, I feel that we are well positioned to what is going to be a much larger market than what was traditionally gaming, in spite of all the success we've had over the years in gaming."

Nadella also suggested that a move in the direction of streaming or subscription models like Game Pass won't spell the end for traditional triple-A titles, adding that "going forward, we think that any endpoint can, in fact, be a great endpoint for high-end games."

You can read the rest of Nadella's comments by checking out the full earrings call transcript right here (Word doc).