Maybe, but wouldn't that just leave an opening for Sony? I feel like the market for indie titles is pretty well established at this point. MS would just be costing themselves customers who have enjoyed Deaths Door and Outer Wilds and Hades and all the other great indies.
In fact wasn't boyfriend dungeon itself on game pass?
Yes. And quite successful there too.
I think these fears are largely unfounded, and they're exactly the same talking points as before the Acti deal. The only new one is "what if AAA games take over the whole year" - and that's got nothing to do with Game Pass (nor acquisitions)! How many of the big, hyped games releasing this month or next month are day 1 Game Pass? Not Pokemon, not Dying Light, not Horizon, not Elden Ring.. I mean.. It's funny because of all the companies that you could be worried about this with, MS and Acti are two of the worst "holiday or bust" publishers, who only release in that period, for better or worse. But Sony has always avoided holiday, Nintendo often releases whenever they want, and I don't think that's killed indies on either platform. Don't get the concern.
But I think the point that Ms Short might be trying to get at is one that Mike Bithell (whose games like Thomas was Alone and many others have found a strong indie following and have often benefitted from Game Pass games) explained on his podcast with Alanah Pearce (and Troy Baker and Austin Wintory). One possible outcome of this consolidation is that Microsoft needs fewer indie games because of their now vast first party catalog. It's well known that MS has been EXTREMELY generous with their Game Pass deals - so much so that indie devs are funding multiple projects with the money from just one of these deals. But, if MS doesn't need those indies, that must change. This would be materially bad for developers like Short who may be actively looking for Game Pass deals.
At the same time, Bithell makes the point that this certainly isn't the first time this type of thing has happened. And in fact, it should always be expected to end. Sony at the launch of the PS4 needed indies, so it was a gold rush there. But when they didn't need it (no acquisitions nor Game Pass required), they stopped. Switch was a gold mine for indies for a while. And it's not like either of these are BAD platforms for indies, they're just not as lucrative. And that very well could happen with Game Pass, as well. But like... of course it would! Eventually, they couldn't be so generous with their investment. Just like eventually, Game Pass must raise prices. It just is what it is. Indie devs have always had it rough - that's what publishers are for lol. That hasn't changed.
And ultimately, yea, I agree. There's no sign that MS would walk away from their indie initiative so totally. They may cut less lucrative deals. The gold mine may end. But I expect MS to still want to be a good home for indie games, perhaps THE home for indie games. After all, Game Pass thrives/relies on variety, not on monoculture.