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Machiavellian said:
Leynos said:

Game pass undercuts sales. No no it's an indirect rental.  If rentals counted for games than man Hagane from Blockbuster would have been a break out hit on SNES.

If it undercut sales, then why would any developer put their game on the service day one.  That does not make sense to no one.  Instead, a developer puts their game on the service day one because they are getting a nice bit of cash from MS including whatever extra revenue situation they have as well.  Lets stop trying to guess what developers get from putting their game on GP or even PS+ because no developer is going to short their money it does not make Finacial sense. Also, Blockbuster is the wrong company to use.  Use all the streaming music and media companies and what they give content creators for putting their content on their service.

^ That...

I do not understand why people keep saying that GamePass is undercutting sales or bad for the industry.
It is like those businesses (Microsoft and all those studios putting their games on GamePass) have no idea what they are doing, but people outside of that loop seem to know better.

- Even if this PR dude posted on X that he thinks that Microsoft is dumb enough to set sales targets for their first-party studios regardless of the game availability on GamePass for PC/Xbox. This is not true, and it makes no sense at all to do that.

Developers are getting paid by Microsoft for putting their games on GamePass; they are compensated for sure; those studios are also not dumb. If they make a deal like that, it means that the money comes in, and we got a lot of feedback from those studios claiming precisely that: it was a good deal for them.