Follow us on Google News
Get the latest updates directly in your Google News feed
If there’s one thing that makes Microsoft’s gaming console stand out, it’s the Xbox Game Pass. It’s a highly consumer-friendly service, and gamers all across the globe have been on its side for a long time. But apparently, video game publishers don’t really like it, according to Sony Boss Jim Ryan.
For context, there is an ongoing case between Microsoft and the Federal Trade Commission (FTC) regarding the Activision Blizzard acquisition. A major development took place on Tuesday in the form of a pre-recorded video testimony from the PlayStation boss. Ryan stated that publishers are against the Xbox Game Pass because they think the subscription model is “value destructive.”
Also Read:“It’s the constant disrespect to Xbox fans…” Xbox and GamePass Prices Set to Be Raised Soon, Understandably Annoying Consumers
Jim Ryan’s Thoughts on the Xbox Game Pass
Ryan said,“I talked to all the publishers, and they unanimously do not like Game Pass because it is value destructive.”Before that, he stated:“The Game Pass business model appears to have some challenges.”He then suggested that Microsoft appears to be losing a lot of money on Xbox Game Pass.
According to him, it is a“very commonly held”belief by publishers all across the industry. To compete with the Xbox Game Pass subscription, Sony and PlayStation are focusing more on exclusive first-party titles. Ryan told the Fidelity investors that this is his main strategy to counter Microsoft’s subscription service.
A main reason why PlayStation is prioritizing first-party games is to get“an edge against pressure on a historic business model.”Ryan said that owning all of the elements of a business model is a major way for PlayStation to be“self-determinant.”Additionally, aside from comments about the Xbox Game Pass, he also stated his thoughts about cloud gaming in general.
Also Read:2019 Email From the FTC Case Shows Xbox Saying It Could “Spend PlayStation Out of Business”
Xbox’s Response and Thoughts
As a response to the above comments, Xbox only pointed towards an Xbox Wire post. The post claims that every upcoming Microsoft Xbox Game Pass title comes from previous collaborators of the service. Xbox CEO Phil Spencer was also quite confident about the service’s sustainability and profitability just last year.
He defended the service by calling it“very, very sustainable”and telling Axios that it was not burning cash. Till now, Xbox has not made any direct statements on Jim Ryan’s Xbox Game Pass comments. However, in the UK Competition and Authority’s provisional report, Microsoft admitted to a market decline in base sales caused by its service.
Also Read:“LMAO they lie again”: Microsoft Slammed for Claiming “Xbox has lost the console wars” to Playstation as Reason Why They Want to Buy Acquire Activision Blizzard
Somervilledevs claimed that its sales were hurt by the Xbox Game Pass earlier this year. The Jumpship co-founder said that it is because“people just go in and try it, and they don’t invest.”Similarly, Take-Two CEO Strauss Zelnick is still not convinced by Microsoft’s subscription model either.
“I still don’t think it makes sense,”he stated.
Are you in favor of or against the Xbox Game Pass? Let us know in the comments below!
Follow us for more entertainment coverage onFacebook,Twitter,Instagram, andYouTube.
Osama Farooq
Senior Gaming Content Editor / Critic
Articles Published :356
Ever since Osama was gifted the glorious PS2 more than two decades back, video games have formed a major part of his life, ranging from spending hours playing through every single Dragon Ball game he could find to witnessing the gaming industry evolve into something extraordinary in modern times. Building his collection of PlayStation consoles throughout the years all the way up until PS5, he prefers single-player experiences like The Last of Us and Persona, while also letting off steam on a daily basis with casual EA Sports FC matches. But the current rise in online multiplayer shooters will never really appeal to his old-school self.
