Microsoft already announced its soon-to-be-released Xbox One console will work with external video capture devices that will allow owners to save gameplay footage from the next-generation console. However, the Xbox One will also let user access its Upload Studio feature to capture that same footage, edit it and save it to SkyDrive accounts.
In a quick video tutorial on YouTube, Microsoft's Kye Lampe is shown playing "Forza Motorsport 5" on his Xbox One. Gameplay footage is already being recorded onto the console's hard drive. Lampe then enters the Upload Studio feature so he can begin the editing process. First, he puts in a "picture-in-picture" mode so that the video shows two different perspectives of the same race.
He then goes in and adds a video of himself playing the game side by side with the footage, thanks to his Kinect camera. After that, he picks one of a number of pieces of background art that can be added to give the video an extra flair.
Finally, he uploads the edited gameplay footage to his SkyDrive account, which can be accessed from any device that supports the cloud storage service. Clips are uploaded in MP4 format and in 720p resolution. Microsoft has already announced that the Xbox One won't allow for direct sharing of videos on YouTube or Facebook. The video makes it looks pretty easy to quickly capture and show off any impressive Xbox One gameplay highlights that a person might want to share with others.
Source: Xbox on YouTube