Phil Spencer hopes the rise of streaming will make video game developers more creative.
The 52-year-old executive - who is the vice-president of Gaming at Microsoft - thinks that streaming will transform the industry moving forwards, saying it ought to make developers more creative than ever before.
He explained on the 'Notebook Podcast': "Once you get through the pragmatics of making [a game] playable on [multiple screen sizes] then you get to the promise.
"You start talking about ... 'well, wait a minute, now if my game isn't just dependent on this one piece of hardware that someone maybe bought five years ago in the home, but actually something that a large cloud provider is updating on the back end and is scalable, then what can I do with our games?'
"That is a very cool future up and down. How do we scale the cloud computer to the creative experience that somebody wants to deliver?"
Last year, meanwhile, Phil revealed he wants to focus on RPGs on next-gen consoles.
He said: "One of the things that I'm really proud of that I see now is how RPGs are stepping up for us.
"Back in the day, when I think [of] 'Mass Effect 1', which I worked on, 'Jade Empire', 'Fable', I remember we really staked out RPGs as something that was important.
"Obviously first-person and third-person shooters have been strong.
"But it's nice with '[The] Outer Worlds' coming out, 'Wasteland '.
"I think RPG is an area that we [purposefully] focused on and wanted to do more."