I’m surprised he said this, with how touchy this topic is for MS. This doesn’t give me much confidence that the exclusive landscape will change in a direction I’ll like.
MS does have a point, however. Games are expensive, and only a fraction of the $60 (physical copy) cost goes to the publisher. GoW has likely become my favorite game of all time, but with its likely $100mil+ production budget, it took several million copies sold just for GoW to break even. So without a revenue option other than the $60 purchase cost, GoW will be less profitable I think than many would expect. Tho digital purchases have a very positive effect on profitability, so hopefully GoW has a high digital purchase percentage.