Microsoft Spends $1 Billion a Year to Bring Third Party Tittles to Game Pass

[Landiri]

Even now, with the price and CoD Day 1, they're still going to make a loss. If you only play CoD for a month and then, as often happens, prefer to play something else, you can now play it for much less. Before, I had to pay at least 80 euros + Game Pass Core / Xbox Live Gold to play CoD on my XSX, now I pay 15 euros for a month or 45 euros for 3 months to play CoD AND Indiana Jones

It also reduces the chance for buying MTX.

People can go: "I payed $20 to play it a month, and now take my leave", instead of sunken cost fallacy.

I would never buy MTX/DLC for a game i don't own.

 

[uyoung1989]

Only 1 Billion?

Didn't Jedi Survivor cost them 300 Million alone?

How would they have big third-party games, with only 1 Billion, over a full year?

It was only an estimation if they want to get the game in gp? Survivor was never on gp, not yet.

Im guessing they knew it wouldnt work. They just wanted to spend Playstation out of business

They thought either sony follows the mode and go broke, or gp cannibalizes the market. But sony didn’t fall for the bait.

 

[Landiri]

It was only an estimation if they want to get the game in gp? Survivor was never on gp, not yet.

No, but big AAA-Games would never ever get a GP Deal for under 100 Million, i bet.

Now try to get by 12 Months with 1 Billion Budget, when a single Third-Party game could cost 10-20% of that already.

You wouldn't have much Room there, for a service charging up to $20/month (and more in the future).

 

[Johnic]

Morons.

 

[Yurinka]

Even if they wouldn't pay 3rd parties to put their games there -specially the day one ones- with the lost sales from first party and server sales must eat most if not all the revenue generated there. A billion seems too high to me, but I think it's possible.

Didn't Jedi Survivor cost them 300 Million alone?

The humble indies that goes into GP would will for getting $1M. Or even half.

That's pocket change for Microsoft, am I right?

For the whole corporation yes, for the gaming division means bigger loses and the higher ups after a couple decades of loses and insane investments seem to be tired and to want to see some profits there.

 

[Landiri]

The humble indies that goes into GP would will for getting $1M. Or even half.

I don't believe that those humble indies will motivate people to pay $20/month.

Also doubt that those will sell consoles or move the needle.

 

[Hatefield]

Yeah, if they paid like 10 million for each game they got 100 games in a year. I'm sure sony spends the same a year, or even more.

 

[Landiri]

Yeah, if they paid like 10 million for each game they got 100 games in a year. I'm sure sony spends the same a year, or even more.

Most of those games wouldn't be big enough to draw new customers, let alone sell consoles.

 

[AllBizness]

Only 1 Billion?

Didn't Jedi Survivor cost them 300 Million alone?

How would they have big third-party games, with only 1 Billion, over a full year?

I can't remember the last big 3rd party new day 1 release they put on Gamepass. But ofcourse the press wont write about that.

 

[Landiri]

I can't remember the last big 3rd party new day 1 release they put on Gamepass. But ofcourse the press wont write about that.

Because many of them avoid Gamepass now!

Talking about that would only throw shade.