Microsoft - it ‘simply wouldn’t be profitable’ to make Call of Duty Xbox exclusive

Status
Not open for further replies.

Swift_Star

Veteran
2 Jul 2022
4,137
6,038
I don't think I've ever said they'll make CoD exclusive when the deal closes anywhere. You don't need to make stuff up to try and make a point :p
Why are you lying?

CCgtp72_d.webp

The when in this post means you were saying exactly that. Stop lying.
 

Swift_Star

Veteran
2 Jul 2022
4,137
6,038
It will work however Microsoft wants it to work and they're all in on Game Pass and Xbox. Keeping COD on PlayStation does NOTHING for either so why do that? Money? They're a $2T dollar company. They don't need the money that they would make on PlayStation and making COD exclusive to Xbox would get the vast majority of those who play COD on PlayStation to jump to Xbox.
That’s literally not how it works. If MS commits to not make CoD exclusive and then doesn’t fulfill that commitment, they’ll face consequences.
 

Yurinka

Veteran
VIP
21 Jun 2022
7,778
6,665
It will work however Microsoft wants it to work and they're all in on Game Pass and Xbox. Keeping COD on PlayStation does NOTHING for either so why do that? Money? They're a $2T dollar company. They don't need the money that they would make on PlayStation and making COD exclusive to Xbox would get the vast majority of those who play COD on PlayStation to jump to Xbox.
They are a company, not a charity. The 2T is from the corporation, not from the gaming division. They already are losing a lot of money with gaming and won't do it forever because it they continue doing so they'll end shutting down their game division as their stakeholders asked to do in the past.

They buy companies like Activision Blizzard King to have more revenue and improve their operative income, with the goal of ending having a profit somewhere in the future. A big chunk of the revenue and profit from ABK comes from CoD, and around a third of the CoD revenue comes from PS. If they already are going to lose a big chunk of the game sales from Xbox and PC, it would be really stupid to don't release it on PS and to lose also that revenue and profit.

To make it exclusive wouldn't help Xbox to steal a substantial market share to PS: around 90% of the PS MAU don't buy CoD and a big chunk of the ones who buy it would continue on PS (many of them already have an Xbox or gaming PC), and CoD generates a tiny portion of the PS gaming revenue, which keeps growing every year.

To make CoD exclusive basically wouldn't change anything in the market, it would only means more loses for the MS gaming division.

And well, Activision and MS can't lie to multiple regulators and to their investors. The MS President even said it on TV: they plan to keep CoD and the other Activision Blizzard IPs multi, post acquisition and post any current deal they have. They did use Minecraft as example when told it to the SEC. So at least during many years it will continue multiplatform. If something they may get some beta or dlcs first on Xbox and will keep the console bundles and game subs exclusivity for them, that's all.
 
Last edited:

Swift_Star

Veteran
2 Jul 2022
4,137
6,038
They are a company, not a charity. The 2T is from the corporation, not from the gaming division. They already are losing a lot of money with gaming and won't do it forever because it they continue doing so they'll end shutting down their game division as their stakeholders asked to do in the past.

They buy companies like Activision Blizzard King to have more revenue and improve their operative income, with the goal of ending having a profit somewhere in the future. A big chunk of the revenue and profit from ABK comes from CoD, and around a third of the CoD revenue comes from PS. If they already are going to lose a big chunk of the game sales from Xbox and PC, it would be really stupid to don't release it on PS and to lose also that revenue and profit.

To make it exclusive wouldn't help Xbox to steal a substantial market share to PS: around 90% of the PS MAU don't buy CoD and a big chunk of the ones who buy it would continue on PS (many of them already have an Xbox or gaming PC), and CoD generates a tiny portion of the PS gaming revenue, which keeps growing every year.

To make CoD exclusive basically wouldn't change anything in the market, it would only means more loses for the MS gaming division.
I can only remember how making Rise Of The Tomb Raider exclusive to Xbox almost made the series die.
Xbots really underestimate how it's PS making games relevant... I think MS knows that making CoD exclusive would be bad for the franchise.
 
  • Like
Reactions: Ezekiel

Yurinka

Veteran
VIP
21 Jun 2022
7,778
6,665
I can only remember how making Rise Of The Tomb Raider exclusive to Xbox almost made the series die.
Xbots really underestimate how it's PS making games relevant... I think MS knows that making CoD exclusive would be bad for the franchise.
I think they have been very clear: it wouldn't be profitable.

They have a shit ton of studios working on Call of Duty (not only the console/PC ones, I have former coworkers working on mobile ones) and it costs a ton of money. So they need all the revenue possible to turn it into profit. To put it on GP day one once their deals with Sony end already are going to be a big hit for the revenues, so they have to find a way to compensate it by finding additional revenue sources (like to release it on Switch as their President said), not another one to remove even more revenue.
 
P

peter42O

Guest
That’s literally not how it works. If MS commits to not make CoD exclusive and then doesn’t fulfill that commitment, they’ll face consequences.
Microsoft has never ever said that new future releases of COD would be released on PlayStation. All they've said is that they will fulfill contracts, they won't remove anything like old previously released games or cut support for something like Warzone 2 (see The Elder Scrolls Online and Fallout 76).
They are a company, not a charity. The 2T is from the corporation, not from the gaming division. They already are losing a lot of money with gaming and won't do it forever because it they continue doing so they'll end shutting down their game division as their stakeholders asked to do in the past.

They buy companies like Activision Blizzard King to have more revenue and improve their operative income, with the goal of ending having a profit somewhere in the future. A big chunk of the revenue and profit from ABK comes from CoD, and around a third of the CoD revenue comes from PS. If they already are going to lose a big chunk of the game sales from Xbox and PC, it would be really stupid to don't release it on PS and to lose also that revenue and profit.

To make it exclusive wouldn't help Xbox to steal a substantial market share to PS: around 90% of the PS MAU don't buy CoD and a big chunk of the ones who buy it would continue on PS (many of them already have an Xbox or gaming PC), and CoD generates a tiny portion of the PS gaming revenue, which keeps growing every year.

To make CoD exclusive basically wouldn't change anything in the market, it would only means more loses for the MS gaming division.

And well, Activision and MS can't lie to multiple regulators and to their investors. The MS President even said it on TV: they plan to keep CoD and the other Activision Blizzard IPs multi, post acquisition and post any current deal they have. They did use Minecraft as example when told it to the SEC. So at least during many years it will continue multiplatform. If something they may get some beta or dlcs first on Xbox and will keep the console bundles and game subs exclusivity for them, that's all.
Without going into a long response, I'll simply stand by the same prediction that I have had since January - COD will be exclusive once contracts are wrapped up.
 

adamsapple

Banned
22 Jul 2022
2,013
1,507
The 'If and when' implies you are certain of it eventually happening.

So be looks to be right, at least to me 🤷‍♂️

I've always maintained that eventually after a couple of entries (and of course once the marketing agreement term years end) there will be exclusive CoD games, Swifty is implying I said they will become exclusive as soon as the deal closes.

It's disingenuous.
 
  • Like
Reactions: DarkMage619

Hezekiah

Veteran
23 Jul 2022
1,403
1,380
Looking at the past three entries, sales have been declining.

Take away Playstation and sales almost certainly take a huge hit with the franchise never recovering, so this isn't a surprise regardless of what was said on GAF.
 
24 Jun 2022
3,982
6,954
I personally don’t think they care about the profit from Playstation considering the amount of money they have And have spent.

They spent 80 billion on Activision…literally it would takes so long to recover that money. There not thinking profits, there thinking about taking over the industry. They can lose a couple billion a year until there plan comes to fruition, hence splashing so much money on gamepass, bethesda, Minecraft IP.
I doubt Gamepass is making much of a profit either, But they are banking on it to work out In the future

There are a lot of "ifs" WRT MS's gambles here. IMO there will always be a place for consoles in the industry, even if they take on more of a niche as time goes on. Cable is still here despite people saying 10 years ago it'd of been dead by 2020. Heck, HBO (now under new ownership) are shifting back to linear content i.e prioritizing content for their HBO channel rather than HBOMax, the streaming service. Guess there's money in the cable market after all, even today.

There'll always be room for a dedicated device purpose-built for playing technically demanding games. Consoles can provide that in a way PCs just can't, consoles can be a lot more plug-and-play, arguably more secure given they're mainly designed just for games and entertainment media, etc. They can eventually take on a role somewhat comparable to tablets in the worst-case scenario, but there'll always be a market for them.

They also have no way of knowing if IP like COD, WoW, Diablo etc. will remain as popular in the future as they are today. Even if the quality doesn't necessarily dip, wider gaming tastes could change and there's but so much some IPs can do to adapt before they become unrecognizable. MS also has a pretty bad history of not really exhibiting the ability to create new mega IP. Their biggest IP today is Minecraft, an IP they purchased and has remained popular mainly due to Mojang being allowed to be their own thing.

Which I guess is what they'll want to repeat with COD; however an argument can be made that COD is less unique as a gaming concept than Minecraft, so it could have more competition easily and more risk of a competitor sweeping in to eat at its fanbase. COD is more similar to WoW in that regard, and that IP has seen a pretty notable drop in popularity from its height, tho that height was around a decade ago. 10 years for a somewhat graceful rolloff in popularity is actually very good, and it's arguable we are at the peak of COD's popularity today so, things allowed to stay as they are, if there aren't any sudden major competitors to eat away at its base then COD can see a similar graceful decline.

However, there is simply a lot more competition in the FPS scene than MMORPGs. So I think COD will have to innovate a lot more over the next few years to retain its playerbase, let alone grow, and it'll be a test to see if MS Xbox division have any leadership able to help guide and curate that growth creatively, not just throw money at the IP's way and be completely hands-off.

Because as some of the dev issues behind Perfect Dark, Everwild etc. are showing, their division leadership actually needs to be a bit more hands-on to help support and grow these franchises, the question is does anyone there have the eye for it?

Parris Lilly weeps

Don't worry the games will still be coming to PC so he should be just fine. Wait, does PC count as being multiplatform? :p

That's kind of a funny statement...

"wouldn't be profitable"... "even if we do it" lol

It'll be years until they even have a chance to release a non-PS COD, fairly convenient for their argument as they aren't promising anything.

My main thought has always been it won't be codified (COD-ified?) into any sort of agreement that they won't be making COD exclusive. It'll be their choice as regulators aren't going to force them.

At the end of the day I agree that there will likely be nothing from regulators to force COD to remain multiplatform. But I think their (MS's) statement on this also shows that, if they feel COD would not be profitable without releasing versions for PS still, then maybe they feel putting new CODs on GamePass Day 1 would also be unprofitable.

Because going by the logic in MS's own statement that is just a natural conclusion to draw IMO.
 
  • brain
Reactions: Kokoloko
Status
Not open for further replies.