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LudicrousSpeed said:
Azzanation said:

GP doesn't have to be exactly like EA Play. EA Play is just proof that you can make a service with just 1st party games and place that on as many platforms as possible without spending billions on Hardware. If Sony wants MS games than they will need the service, otherwise Nintendo and PC will take the deals which would make those platforms look more attractive.

That’s great, but I’m still waiting for the part where it makes financial sense for Microsoft to give up loads of revenue to make less revenue. Yes, Microsoft saves on hardware in your theory, but they lose out on all the revenue I already mentioned. 

People are too short sighted and assume if you aren’t in first place in console sales then you must be losing money. This has to be the only industry where this mentality is so rampant.  Again, Microsoft makes loads of money off of Xbox, even with the console in third place. 

Lol funny you saying people are too short sighted. 2.2 billion smart phone gamers, all with TVs at home, is what MS is hoping to tap into with gamepass. MS is playing the long game, giving up revenue now to make gamepass the (only) way to play games, paid for by quantity in users paying a monthly fee.

There is little to no profit on hardware and generational transitions are risky every time, starting over basically.
Launching games is a risk every time as well, and a lot of hard work.
Gamepass + xCloud solves both 'problems' but needs a huge user base to be sustainable and become profitable.

Gaming PCs / consoles it's all small beans compared to how many TVs and smart phones are out there...