[TweakTown]: FTC calls Xbox Game Pass Standard tier a 'degraded product,' alleges harm to consumers

[John Elden Ring]

A bit ago, Microsoft announced that it would be making big changes to its Xbox Game Pass multi-game subscription service. Game Pass Ultimate has been raised by $3, from $16.99 a month to the new $19.99 a month price, and Game Pass Console tier has now been removed entirely, and will be replaced with a new higher-cost Standard tier "in the coming months" that removes day-and-date releases and trades that big benefit out with online multiplayer.

These adjustments were caught by the FTC, who is currently appealing a decision made by Judge Jacqueline Scott Corley in July 2023 that had led to the closure of the $70 billion Microsoft-Activision merger. In a new filing, the FTC alleges that these price hikes, in tandem with the new "degraded" Xbox Game Pass Standard product, will cause harm to consumers.

Read more: https://www.tweaktown.com/news/9941...-product-alleges-harm-to-consumers/index.html

Source

 

[ethomaz]

FTC already lose that battle... nothing will change anymore.

 

[Cool hand luke]

If they get it out of corrupt Corey's court, they've got a shot.

 

[CrackmanNL]

Phil Spencer and co already messed themselves up by having the eye of Sauron Satya on them. I do get why the FTC is at it again since MS broke their promises in court of not jacking the prices/altering GP, but if the appeal works; there is another window of CoD not on GP? And if they successfully fight it, the changes could be reversed or even the merger could be blocked altogether? I doubt the last one but I will be curious how Satya and other MS chiefs are gonna react either way.

 

[ToTTenTranz]

I wonder if Microsoft will see an opportunity here to cut the ropes, cancel the acquisition and get rid of everything else through cheap sales or closures.

 

[ethomaz]

If they get it out of corrupt Corey's court, they've got a shot.

There is no more way to the deal back… it is already done.

The mad FTC can win is some fine.

 

[anonpuffs]

Where were they when the Series S was announced

If anything is a degraded product it's that piece of shit

 

[Danja]

FTC should have released a Statement simply saying "We told You This Would Happen"

 

[laynelane]

"Microsoft's price increases coincide with adding Call of Duty to Game Pass' most expensive tier, and discontinuing the Console tier will happen shortly before releasing Call of Duty's newest game."

Even recently I saw people elsewhere claiming there's no "proof" that MS is increasing the price of Game Pass because of CoD. It's just constant denial from the fans and outright lies from MS, and that's why I very much appreciate the continued efforts of the FTC . Unlike other regulators, they have treated this acquisition as a problem from day one and actually taken steps to deal with it in a suitable fashion.

"Product degradation--removing the most valuable games from Microsoft's new service--combined with price increases for existing users, is exactly the sort of consumer harm from the merger that the FTC has alleged.

"Microsoft's price increases and product degradation--combined with Microsoft's reduced investments in output and product quality via employee layoffs--are the hallmarks of a firm exercising market power post-merger.

Remember all the fans, bloggers (formerly known as journalists), and shills who argued that the acquisition would be good for the industry? It's crazy to me that anyone ever had any faith in MS whatsoever. Of course, MS was going to do this. There was never any doubt. If they acquire more, it will only get worse too. That's why it's important, even if there's no movement on the acquisitions already completed, that there continues to be push back.

 

[Cool hand luke]

Phil Spencer and co already messed themselves up by having the eye of Sauron Satya on them. I do get why the FTC is at it again since MS broke their promises in court of not jacking the prices/altering GP, but if the appeal works; there is another window of CoD not on GP? And if they successfully fight it, the changes could be reversed or even the merger could be blocked altogether? I doubt the last one but I will be curious how Satya and other MS chiefs are gonna react either way.

No, the corrupt legal system in America means after handwaving this through, it'll be more disruptive to undo the merger, hence the order to undo it will never be granted, but an enormous fine would be nice.

 

[enpleinjour]

FYI for those unaware,

• The court case under the compromised Judge was for the injunction. It is currently on appeal to a set of 3 different Judges.
• The FTC can still pursue the actual merger case regardless of if the parties have joined. Any verdict later on will require the parties to divest.
  • This has happened before, such as the Wholefoods/Wild Oats case.
• If the FTC wins the injunction, it means MSFT/ATVI will have to operate as prior independent companies, though its unclear what that exactly would entail.

 

[voke]

Still flabbergasted at the resetera acquisition thread.

cheering on one of the biggest acquisitions in tech history, telling me a $3 trillion company needs more.....

I was always curious about big media purchases. I remember being so confused when people were actually hyped for Disney to buy Fox, not sure how people assume it's all good when creatives sell out.

 

[Cool hand luke]

FYI for those unaware,

• The court case under the compromised Judge was for the injunction. It is currently on appeal to a set of 3 different Judges.
• The FTC can still pursue the actual merger case regardless of if the parties have joined. Any verdict later on will require the parties to divest.
  • This has happened before, such as the Wholefoods/Wild Oats case.
• If the FTC wins the injunction, it means MSFT/ATVI will have to operate as prior independent companies, though its unclear what that exactly would entail.

One of our best posters. Thank you for your service

 

[JAHGamer]

@Sircaw can I at least call these people corporate slaves?

 

[laynelane]

@Sircaw can I at least call these people corporate slaves?

It does fit in this case, but I still like the tried and true "shill" the best.

As for the Tweet, people are still debating whether MS does things for consumers/gamers? It's as eye-rolling now as when the 'MS is pro-consumer' astroturfing was in full-swing.

 

[Englishy]

Still flabbergasted at the resetera acquisition thread.

cheering on one of the biggest acquisitions in tech history, telling me a $3 trillion company needs more.....

I was always curious about big media purchases. I remember being so confused when people were actually hyped for Disney to buy Fox, not sure how people assume it's all good when creatives sell out.

The most left-leaning big corporate-hating forum in gaming cheered for the largest acquisition in the history of gaming and actively banned people who questioned the outcome of the acquisition.

I 100% believe there's something shady going on with that place. Whether it's their moderation team or their owners; there's something really fishy about how that place consistently abandons all of their supposed values for a $3 trillion dollar company with a documented history of monopolizing markets for the worst. It's like when a bunch of supposedly feminist actresses were suspiciously quiet when the Harvey Weinstein shitshow was going down.

 

[ToTTenTranz]

The most left-leaning big corporate-hating forum in gaming cheered for the largest acquisition in the history of gaming and actively banned people who questioned the outcome of the acquisition.

I'm not American but it's my perception that the right and left's position on corporations and laborers is opposite in the US than it is elsewhere, e.g. the E.U.


The left seems to be mostly fine with big corporations becoming larger and larger. They don't seem all that worried that a company like Microsoft has grown 20x in market valuation in the last 4 terms (75% of which ruled by democrats), nor do I see them overtly worried about the implications of having 6 USA companies worth over 1 trillion dollars and the sheer power over people and government that represents.
What they're going after is rich people, not corporations, hence the "eat the rich" rhetoric.

At the same time we see big corporations happily following through with all the left-leaning social stuff like positive discrimination and DEI programs, celebrating pride month and all the other types of virtue signaling which the left has successful sold as "basic human decency" throughout mainstream media.

And then on the repulicans' side, you have the biggest labor unions in the US appearing in their conventions.



That said, I don't think it's weird anymore that super left-leaning places like resetera or even reddit have become shills for mega-corporations. They'll love Microsoft unconditionally as long as their promo videos have people announcing their pronouns, there's a rainbow logo during pride month and they greenwash claim they'll fight carbon emmissions. They don't seem to care about the level of influence the three $3 trillion companies driving AI developments can have in their lives.


It's just the way it is on the US right now.

 

[anonpuffs]

I'm not American but it's my perception that the right and left's position on corporations and laborers is opposite in the US than it is elsewhere, e.g. the E.U.


The left seems to be mostly fine with big corporations becoming larger and larger. They don't seem all that worried that a company like Microsoft has grown 20x in market valuation in the last 4 terms (75% of which ruled by democrats), nor do I see them overtly worried about the implications of having 6 USA companies worth over 1 trillion dollars and the sheer power over people and government that represents.
What they're going after is rich people, not corporations, hence the "eat the rich" rhetoric.

At the same time we see big corporations happily following through with all the left-leaning social stuff like positive discrimination and DEI programs, celebrating pride month and all the other types of virtue signaling which the left has successful sold as "basic human decency" throughout mainstream media.

And then on the repulicans' side, you have the biggest labor unions in the US appearing in their conventions.



That said, I don't think it's weird anymore that super left-leaning places like resetera or even reddit have become shills for mega-corporations. They'll love Microsoft unconditionally as long as their promo videos have people announcing their pronouns, there's a rainbow logo during pride month and they greenwash claim they'll fight carbon emmissions. They don't seem to care about the level of influence the three $3 trillion companies driving AI developments can have in their lives.


It's just the way it is on the US right now.

The US has no left wing.

"Liberals" are Chicago school free marketeers that want privately owned entities to solve all societal ills(with generous government subsidies) and only can't privatize government functions because their voters would rebel.

There is no socialist or communist wing of politics, everything is right of center.

 

[ToTTenTranz]

The US has no left wing.

"Liberals" are Chicago school free marketeers that want privately owned entities to solve all societal ills(with generous government subsidies) and only can't privatize government functions because their voters would rebel.

There is no socialist or communist wing of politics, everything is right of center.

I would say Bernie Sanders and AOC seem left enough to be called socialists, but I guess you're right that they're not the ruling faction within the democrats.

 

[anonpuffs]

I would say Bernie Sanders and AOC seem left enough to be called socialists, but I guess you're right that they're not the ruling faction within the democrats.

AOC says socialist-sounding things but she aligns with the majority of her party unless it benefits her to take some limelight by making a "stand" on an issue she knows won't go anywhere. Bernie is a self-described socialist (actual politics align with socdems), and he was an independent until recently. He is basically the one dude who is even slightly socialist leaning in power. What are you gonna do with a single senator out of 100? Also he's old and no one as left as him is a protege. They'll replace him with a milquetoast bullshitter like the rest of them.