Microsoft and Ernst & Young LLP (EY) have announced plans to use a blockchain platform to allow Microsoft’s Xbox gaming partners, artists and content creators to track and manage payments and royalty contracts.The blockchain will allow Microsoft to utilize Azure-based artificial intelligence (AI) for swift contract creation.
American multinational technology company Microsoft Corporation and British firm Ernst & Young LLP (EY) have announced the expansion of the Xbox blockchain platform to allow rights and royalties management. In the joint announcement, the companies said that the Xbox’s latest development would be a major implementation of a financial accounting system on a blockchain.
Announced on Monday, the companies said this will be one of the largest implementations of a blockchain-based financial system for accounting that will manage Microsoft’s end-to-end process for rights and royalties to its Xbox gaming partners. For the creation of new contracts, Microsoft will be using artificial intelligence powered by Microsoft Azure, which allows digitizing contracts.
According to an announcement published on the 14th of December, Microsoft and EY have jointly broadened Microsoft Xbox blockchain-based solution for gaming rights and royalties management. Now, the blockchain platform will provide “a financial system of record, from contract creation to payment and reconciliation.”
However, Microsoft hopes that its Microsoft Xbox gaming partners will benefit from the broadened blockchain functions. Also, Microsoft expects that its network of artists, musicians, writers, and content creators.
On the other hand, EY hopes that the blockchain will help its business-to-business enterprise clients to automate calculations and processing that are related to contract.
In addition, the announcement noted the other advantages of the expanded blockchain on Microsoft. The blockchain will allow Microsoft to utilize Azure-based artificial intelligence (AI) for swift contract creation. Also, Microsoft will find it easier to generate and integrate invoices with enterprise resource planning (ERP) applications. ERP is software organizations use to manage their accounting, procurements, and other statements.
Furthermore, other benefits of the expanded blockchain is easy generating of accounting statements from the blockchain platform into existing ERP applications. With that, Microsoft will be equipped with advanced accounting capabilities.
The blockchain application for payments and contracts has been tested, it has been through the “soak testing” stage used to measure the performance of a software application under a huge volume; findings showed it is capable of processing two million transactions per day, according to the announcement made.
“In this go-live, we successfully generated the first round of partner payments utilizing blockchain and smart contract technology,”according to Luke Fewel, general manager of global finance operations at Microsoft.
“The platform will streamline financial and operational processes with the ability to scale, reduce heavy manual overhead and improve the experience for Microsoft’s gaming partners. We look forward to continuing to scale this solution across our royalties ecosystem-improving our processes and the continuation of our modern finance journey.” Fewel stated.
Also, Microsoft’s partner engineering manager, Brad Wright commented on the expansion. He explained further that the new solution helps the technology company demonstrate its ability to govern and expand blockchain networks. He also expressed his pleasure in working with EY and its gaming partners.