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You can get years of Game Pass for laughable money...how does this shit make any sense for MS?
- Thread starter Dust
- Start date
They're blitzscaling it similar to a startup. Acquire audience at a low cost and more effectively monetize them later.
Along with subscription revenue (which will increase over time for the people who got in cheap, too), they'll also capture a percentage of MTXs.
They can fund the losses now and make it up on the back end over the years.
Along with subscription revenue (which will increase over time for the people who got in cheap, too), they'll also capture a percentage of MTXs.
They can fund the losses now and make it up on the back end over the years.
"Can" is the operative word.
we are in the "hardcore" bubble here.
But most people just give their CC# and let Microsoft have their way with it each month.
we are in the "hardcore" bubble here.
But most people just give their CC# and let Microsoft have their way with it each month.
The cheap upgrade plan can only be made once. Once you convert for ultimate you can't even get regular gamepass or gold, once you redeem they are automatically converted to less gpu months.
Account sharing is not official and you literally can find thousands of accounts for every platform known to man. It's not exclusive to gamepass.
Account sharing is not official and you literally can find thousands of accounts for every platform known to man. It's not exclusive to gamepass.
I mean they're not wrong. We literally had a GamePass financial worrying thread yesterday.
https://www.resetera.com/threads/rough-calculations-on-game-pass-relative-to-other-successfully-published-individual-games.292478/
I'll say what I said there. We live in a bubble on ERA, we don't have enough info about the market as a whole to have informed discussion:
- What is the average fee/month of existing GamePass subscribers? Do many people pay full price?
- How many people buy games they play via GamePass to permanently own them, or to support the dev if they are an indie?
- How many people buy DLC for GamePass that they would have not bought otherwise?
- Does the fact that GamePass tends to increase the sales of a title (at least for AA or indies, we don't have enough info about AAA titles) means that MSFT can get those games on GamePass relatively cheap?
- How many people buy games as their GamePass membership is about to expire in order to take advantage of the discount?
So sure you can speculate that they lose a ton of money on GamePass, but nobody really knows except them and maybe some close partners.
you have to remember, avergae consumers just don't take advatage of these deals
this $1 upgrade, out of the 15m subscribers, is probably such a tiny tiny percent on the pie chart
when i got game pass i just signed up... £33 a quarter ($168 a year)... and i'm probably in the 95%
this $1 upgrade, out of the 15m subscribers, is probably such a tiny tiny percent on the pie chart
when i got game pass i just signed up... £33 a quarter ($168 a year)... and i'm probably in the 95%
It's about getting in their ecosystem, that's all they want, regardless of whether you play on PC or Xbox.
You should give Phil a call! Or better yet hit him up on Twitter! Let him know you did the research and the numbers just aren't adding up. He and the team must have missed something. I'm sure Phil would love to know. You might be able to save Xbox before they destroy themselves. You could be a hero!
If you are in their ecosystem...they won. Its hard to break away once you are invested. They learned this from Apple.
Mr. Snuffleupagus has a nice explanation of how to do it... check it out
Cheapest Game Pass option? (UK?)
Interesting so, topping it off with a GPU added those extra three months then converted the rest... I have already done the £1 GPU upgrade in the past, so if I am looking at a £10.99 upgrade I may as well do what you did for a bit extra £££ but get a couple more months out of it.www.resetera.com
Thanks bud!
I suppose they're turning a positive net income, but they're still at taking on outrageous amounts of debt. I took a financial statement analysis course last winter and we spent an entire class period discussing whether or not Netflix can sustain what they've been doing any longer. Netflix is a fascinating company financially.
Anyway, your point stands. Just wanted to bring that up.
Amazon did something similar too. They lost money for well over a decade before turning a profit.
Yeah but when we ask for VR on Xbox its all about MS's bottom line and how they don't have the resources. They just bought one of the few major publishers who actually invested in VR development, but they can't even commit to VR on console
At least we will be streaming game pass onto our prison phones!
I just hope my computer can still run games well in 3 years when my cheap sub is up, who knows what the price will be
But for now I can get more than enough value out of it on my PC and streaming
But for now I can get more than enough value out of it on my PC and streaming
I'm locked until Dec 2022. I fully expect when my deal runs out I will have to pay full price for a sub. That's why.
They also fully expect me to buy some games not on gamepass. I will.
I will also probably buy some movies/tv shows.
That's why.
It's a revenue creating box in people's living rooms.
They also fully expect me to buy some games not on gamepass. I will.
I will also probably buy some movies/tv shows.
That's why.
It's a revenue creating box in people's living rooms.
why be concerned with the finances of a trillion dollar company? they'll be fine, and know what they're doing. as long as gamers are happy and devs are getting paid, there's nothing to worry about.
Why do people struggle with this? Their play is the long game. They will increase prices over time just like other services. But once you're in the likelihood is that a very large portion will just stay in the service regardless of use (this happens all the time with streaming services, heck I have two subs I don't know why I keep but I have them none the less).
Have they said that? I recall from a couple of years ago that Spencer said he didn't think VR was a "now, now" thing and that it wasn't right for the living room experience with all the cords.
Do we know for certain they're not going to work on VR at all this upcoming gen?
But how am I being 'locked into it' exactly, I wonder. Sure, as things are right now I'm being incentivised to drop a good amount of money upfront on the promise that I'll like enough of what they offer me games-wise in the next years where I'm subscribed.
But I don't own any of the games (my xbox library contains nothing, not a single purchase after almost a year of Game Pass), and I couldn't give less of a fuck about the achievement system which in turn on the Playstation manages to motivate me to own games and go back to them.
I just don't see Xbox trying hard to keep me inside their ecosystem. I just see them wanting me to enter it really badly.
edit: I can pack my bags anytime and not feel even a little bad about it is what I meant to say
Console manufacturers are already well acquainted with the loss leader strategy and it is what is happening here as well. I would expect to see them look to find ways to exacerbate network effects or lock in (offering exclusive live service-style content behind a GP sub) prior to raising the price down the road.
Remember when Facebook fudged the numbers and convinced everyone pivoting to facebook video was good business for them. Then it wasn't and now all our media is fucked. I expect this but with video games.
Don't care. I locked in over 2 years a few months ago before the promo disappears.
I'll take Phil's advice and let them worry about all that.
I'm not locked into a platform, sub that's not my primary. I subbed to EAAccess when I first got my One S a few years ago. Saved my ass at Christmas time.
I haven't subscribed since.
I'll take Phil's advice and let them worry about all that.
I'm not locked into a platform, sub that's not my primary. I subbed to EAAccess when I first got my One S a few years ago. Saved my ass at Christmas time.
I haven't subscribed since.
I got where you were coming from, the "another concern thread" stuff was missing the point.
But a lot of others have pointed out why the value is so good, it's simply to make the choice not to simply illogical and get you on the hook.
Those 3 years you mentioned are what it's all about for me atm. I just got 3 years of gamepass ultimate for about £90 thanks to the kind folks of ERA and their wily ways. Have a Series S on the way day 1. I don't intend to spend a single penny more, I'll be playing my ps5 mostly, but will get access to lots of xbox games I've missed out on in the past, all sorts of other stuff that comes and goes and everything first party over those 3 years. I think that's about 30p a day and I get to keep or sell the console when it expires. Like I said, it's illogical not to go for that, I coudln't make a case for not doing.
Game Pass Ultimate, the one that everyone has because of the €/$1 conversion is normally €/$ 15 a month now. And you can bet enough people are already paying that.
So once everyone is off the Gold conversion in a few years it's probably €/$20/month until then without deals, a moderate hike of €1 a year in the background. Which is still a great deal for the content that is gonna be up there, but an insane amount of income for MS.
The same reason why Netflix doesn't crack down on shared accounts. With rent-based economics, the first stage is to grow your user base above all else.
The only bad thing about GamePass is it's almost too good.
The overwhelming majority of consumers aren't going around finding ways to stock up on years of GamePass for $150+ up front. But this will be ignored because Era bubble and everyone will insist even the mythical Confused Xbox Grandma™ could find these deals without even trying, so there's no way anyone is paying full price.
The overwhelming majority of consumers aren't going around finding ways to stock up on years of GamePass for $150+ up front. But this will be ignored because Era bubble and everyone will insist even the mythical Confused Xbox Grandma™ could find these deals without even trying, so there's no way anyone is paying full price.
I love how GamePass is either entirely worthless with only old shit no one plays, or it's so good of a deal it's going to DESTROY THE INDUSTRY.