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Ryuu96 on 15 May 2023
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LudicrousSpeed said:

GamePass as it exists today is the best deal in gaming, even more so if you have Ultimate. And even still, it only accounts for 10-15% of their revenue and Phil has said they see it staying around that mark.

Yet somehow a more expensive, worse version of GamePass would suddenly balloon to 100,000,000+ subs just because they add it to two more consoles.

I just don’t get it.

It makes complete sense, all Microsoft needs to do to maintain the same revenues they achieve now is...

  • Bring in double the $ of the current largest 3rd party publisher (Activision-Blizzard-King).
  • Hugely increase their employee headcount (studio count means shit).
  • Get Game Pass on Switch/PlayStation (hope they don't rip me off as I'm negotiating at a position of disadvantage).
  • Massively expand Game Pass subs from 25m to 100m+ (putting Xbox alongside worldwide juggernauts such as Netflix and Disney).
  • While coming up with an equal replacement of Xbox Live Gold for Game Pass Ultimate (unless I want everyone to drop down to Regular).
  • Have an insane attach rate on PlayStation or Switch for Game Pass (50% on each?).
  • Massively expand our Game Pass PC desirability (or everyone just continues to use Steam).
  • Massively expand our footprint in Mobile (which we've barely even started).
  • Find a way to quickly replace the current majority of Game Pass users (who are on Xbox Consoles).
  • Grow multiple of our IPs into CoD level juggernauts (aside from $30 Minecraft).
  • Hope xCloud massively increases in appeal/viability (better hope those ISPs hugely improve and we have an Azure data centre everywhere).
  • Release a CoD level IP every single year (or like dozens of other IPs which bring in $billions in total).
  • Replace billions lost in 30% cuts (it's okay, Game Pass will magically grow to 100m+ but that still leaves us with $4bn missing just to maintain).
  • Massively expand our planned studio output from 4 AAAs a year (to maintain a 1st party only Game Pass at $120 a year).
  • Hope that we don't lose millions of subscribers when we remove 3rd parties, EA Play and Xbox Live from the service.

It's easy bro! I don't know what you're worried about! I'm sure Microsoft would be happy to go from Xbox being currently profitable to making insane losses on a massive gamble and those shareholders as well would totally be happy seeing Xbox go from a $16bn business to a ~$10bn business overnight despite the fact that Xbox as it currently stands is growing and is hitting its best ever revenue.

May be down this FY but next FY I've no doubt they will break another record and maybe hit $17bn-$18bn but lets throw that all away on a hunch.

Last edited by Ryuu96 - on 15 May 2023