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Bonfires Down

Member
Nov 2, 2017
2,815
I wonder why if true. They get every major third party game anyway. And I don't see publishers lowering their prices because of this, though I suppose that's a possibility.
 

crazillo

Member
Apr 5, 2018
8,183
Not sure this is true but a 12% cut would be big news. I don't see three months timed exclusivity deals though.

MS has a lot of stuff leaking though it doesn't always turn out to be true.
 

TimFL

Member
Oct 28, 2017
239
Germany
They should just add the 12% clause to their Game Pass deal: we only take 12% from your game sales if your game is on Game Pass.

Good trojan horse to get more devs on GP and probably wouldn't even hurt their bottom line since every dev on GP / MS is very adamant about the fact that GP also encourages game sales.
 

eonden

Member
Oct 25, 2017
17,084
If you read it it was supposed to happen this half and one of the demands of MS to do that was having streaming rights for all the games with 12% cut. Which yeah, I doint think its something the big publishers want considering they are all looking into their own solutions (now using Stadia backend).

Edit:



Marketing thing that only happened in the US (not in the EU lol), and only for 1 game.
 

NinjaScooter

Member
Oct 25, 2017
54,151
They should just add the 12% clause to their Game Pass deal: we only take 12% from your game sales if your game is on Game Pass.

Good trojan horse to get more devs on GP and probably wouldn't even hurt their bottom line since every dev on GP / MS is very adamant about the fact that GP also encourages game sales.

i don't know how that applies to GamePass. I don't think they are taking the standard cut currently on GP as there are no units being sold.
 

ghostcrew

The Shrouded Ghost
Administrator
Oct 27, 2017
30,362
This is probably easier to do for Microsoft, than any of the other platform holders, as they move more and more towards a service model and 'sold games' are less of a factor business wise. Not saying they're not a factor but, you know, they're clearly putting a lot of eggs in a Game Pass basket. And presumably only want to do that more and more as time goes on.

Probably a harder conversation if you're not pursuing that business model and that 30% on sold games is a bigger factor.

Still, it's still a massive drop for Xbox and I'm definitely surprised to see it (assuming this does happen)
 

Stop It

Bad Cat
Member
Oct 25, 2017
6,350
Revenue share thing is obviously good news for developers, but could potentially be bad news for Sony. Seems Microsoft really is committed to outspending them and attempting to strangle them out of the market.
Sony are the dominant incumbent in the performance console market. This is MS making ways to compete, they have no ability to strangle Sony, nor will this do so.
 

nsilvias

Member
Oct 25, 2017
23,767
if they were gonna do it they would have announced it the same day they lowered it for there pc game store
 
No Changes at this time

modiz

Member
Oct 8, 2018
17,841

pswii60

Member
Oct 27, 2017
26,673
The Milky Way
Imagine leaking this. If I leaked an internal document such as this I'd not only be fired immediately but likely taken to court too.

That said, will be interesting if MS lowers their Xbox store cuts for sure. I'm surprised they haven't done this sooner. But 12% is quite the drop.
 

get2sammyb

Editor at Push Square
Verified
Oct 27, 2017
3,006
UK
Sony are the dominant incumbent in the performance console market. This is MS making ways to compete, they have no ability to strangle Sony, nor will this do so.

Sure, I didn't intend to be reactionary and hyperbolic. I just mean in the sense that if Xbox consistently offers a better deal (like we're already seeing with Game Pass, to be honest) then it puts Sony in a tougher spot.

Obviously these things can add up, but let's see whether this is true first, I guess.
 

LewieP

Member
Oct 26, 2017
18,097
I could totally see MS dropping their cut for games where the license also includes xcloud streaming.


I wonder if they will pass the savings to us like Epic does or they will keep games at the same price. Great move Xbox.
Which games on Epic Game Store are cheaper than other stores? To my knowledge all games are priced identically to other stores.
 
Oct 25, 2017
11,703
United Kingdom
Great news, Hopefully shorter exclusive time periods become more common for 3rd party deals this gen. Nothing worse than having to wait 6 to 12 months for a game to come to another platform.
 
Mar 19, 2020
1,325
Tim Sweeney's methods may be obnoxious and I may hardly be able to bring myself to care about large corps duking it out over more money, but credit where credit is due, I don't think moves like this happen without Sweeney's litigation. And regardless of his intent, it seems like it'll help all developers, including those that are smaller/less mainstream, to turn a profit and keep making games. So, good on you, Tim. Please, do us a favor though, and don't release things like that 1984 video.
 

Oregano

One Winged Slayer
Member
Oct 25, 2017
22,878
True.

It does feel more targeted towards Sony if anything.

I'm sure they want to get at Nintendo, but in a different way. Microsoft is probably hedging their bets on ecosystems being opened up at some point(hence them somewhat supporting Epic) because then they could easily launch Gamepass(with all the content from their many acquired studios) on any device they want, including Switch(and PlayStation).
 

Scently

Member
Oct 27, 2017
1,464
Revenue share thing is obviously good news for developers, but could potentially be bad news for Sony. Seems Microsoft really is committed to outspending them and attempting to strangle them out of the market.
I doubt this is about strangling Sony out of the market. This is about making the Xbox ecosystem incredibly appealing to devs and publishers so as to not miss out on games even if the install base is smaller. If you are going to launch a game only on PS and/or Switch and you can't justify launching to Xbox because of the smaller market share, this entices you to launch on Xbox too as even with the smaller market share you get a bigger cut on units sold. Of course, there is more at play here because this along with the same cut in their PC store means they will attract more games to the Xbox ecosystem. This will lead to more games that can come to GP which will, in turn, attract more customers to the Xbox ecosystem.
 

Deleted member 15973

User-requested account closure
Banned
Oct 27, 2017
5,172
I could totally see MS dropping their cut for games where the license also includes xcloud streaming.



Which games on Epic Game Store are cheaper than other stores? To my knowledge all games are priced identically to other stores.
I don't game on PC but it looks like it was just for Metro Exodus.
 

Mr_F_Snowman

Member
Oct 27, 2017
3,881
I mean 30% is kind of a nuts cut for doing basically nothing so 12% seems a lot fairer given the work these platform holders actually do.

It was more understandable when the consoles were huge loss leaders and these huge 30% cuts were basically compensating them for giving access to a quick growing install base at the platform holders cost. Now that the consoles are basically using off the shelf parts and the hardware quickly becomes profitable it makes a lot less sense to try and justify a 30% cut
 
Nov 8, 2017
13,109
Unlike the windows store change which is a total nothingburger, the xbox store changing to match would be very big news. Although the implications of it are enormous for Microsoft from a revenue perspective. Unlike on PC, this would actually hurt their pocket book quite a lot, so I'm skeptical they'll follow through on it.
 
Oct 27, 2017
490
I could totally see MS dropping their cut for games where the license also includes xcloud streaming.



Which games on Epic Game Store are cheaper than other stores? To my knowledge all games are priced identically to other stores.

Probably getting mixed up with the "$10 off anything including new/unreleased games " sales Epic had. If I recall correctly, that also upset developers who were worried people would wait for that price again if they missed the sale and reduce the expected amount to pay for the game.
 

Spirited

Prophet of Truth
Member
Oct 25, 2017
1,792
Sweden
I they lower their cut it would be a huge change, would probably incentivize a lot more ports for games as even if it doesn't sell that much as every copy would be more profitable than in other eco-systems.
 

Theorry

Member
Oct 27, 2017
61,016
"We have no plans to change the revenue share for console games at this time," says a Microsoft spokesperson in a statement to The Verge about these documents. That suggests these plans have either fallen through, changed significantly from January, or Microsoft isn't ready to announce any changes yet. Either way, Microsoft has clearly been planning this change, and wants to cut its Xbox fees somehow.

www.theverge.com

Microsoft explored reducing its Xbox store cut to shake up console gaming

Microsoft had wanted to cut fees to just 12 percent
 

White Glint

Banned
Oct 25, 2017
3,617
Sony would certainly be forced to do the same and they'd have to shut down the Vita & PS3 stores just to keep the lights on. 😔
 

tomwarren

Senior Editor, The Verge
Verified
Apr 18, 2018
339
I think the key part here is the streaming rights clause. That's become an emerging battle ground, particularly with Xbox Game Pass, in exclusivity contracts recently.
 

thevid

Puzzle Master
Member
Oct 25, 2017
2,305
www.theverge.com

Microsoft explored reducing its Xbox store cut to shake up console gaming

Microsoft had wanted to cut fees to just 12 percent



Saying at this time and all that, but for now we have a denial.

Remember this: https://www.theverge.com/2020/8/5/21355756/microsoft-xbox-live-rename-gold-free-rumors

I asked Microsoft to comment on the rumors, and the company said: "We have no plans to discontinue Xbox Live Gold at this time.

And then they tried to double the price of Gold.

That said, I could see this being the case for streaming rights.
 

Classybro

Member
Oct 27, 2017
577
As far as I remember MS were the ones to establish the 30% standard so it's cool to see them reduce it. Especially since everyone from Apple to Sony copied it.MS have been thought leaders in the console space since the original Xbox hell i
I remember the negative reaction to a console with a hdd then Xbox live, wireless controllers, off set sticks courting PC only devs.

So many standard features that MS introduced that are now common place. It's curious if the gaming industry will continue to follow them down there path.
 

Lausebub

Member
Nov 4, 2017
3,151
If Gamepass continues to grow at this rate, their cut from 3rd parties becomes less relevant, so this seems like a good move on their part.
 

pappacone

Member
Jan 10, 2020
3,146
18% on Xbox platform (which is usually the smaller amount of sales for multiplatform games) in exchange of streaming rights?
I can see some smaller developers agreeing to it, but that's it