Microsoft continues A year-long journey to consume Activision Blizzard Kingwe continue to learn more and more about the inner workings of the various companies involved. UK Competition and Markets AuthorityA preliminary report from Xbox found that when a game is added to Xbox’s Game Pass service, sales tend to decline for a year or so afterward. This isn’t the most surprising news, but it seems to contradict Xbox boss Phil Spencer’s past statements.
Launched in 2017, Xbox Game Pass has become one of the company’s biggest successes, growing beyond consoles and bringing in millions of new customers. For a relatively low monthly fee, subscribers get access to a vast catalog of Xbox and PC games, plus other perks like discounts on DLC and the ability to stream hundreds of games. Of course, when we first launched the service, some people wondered if a structure like Netflix would lead to fewer people buying the game. And based on Xbox’s own internal data, this appears to be the case.
as discovered by GamesIndustry.bizdeeply buried New report from UK CMA Here’s a tidbit from Xbox on how Game Pass affects game sales. Here is what the report contains:
Microsoft also submitted that its internal analysis shows [redacted]Percentage decrease in base game sales in the 12 months after the game was added to Game Pass.
The report notes that Microsoft’s data has a number of “some limitations,” particularly regarding the time period that Microsoft appears to have used for internal tracking. However, Xbox itself was noted in internal documents as admitting that adding games to its service would lead to “cannibalism.” [digital] sale.
Xbox previously claimed Game Pass sales increased
Now this seems to conflict Statements Xbox boss Phil Spencer made in 2018, About a year after the service started. At the time, Spencer said sales increased when the game hit Game Pass.
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“If you put a game like Forza Horizon 4 With Game Pass, we’re quickly seeing more players playing the game, and actually more sales for the game,” said Spencer. “Some people doubt that collapse state 2 If you look at NPD in the US, the game sold very well the month it launched on GamePass.
Also in 2018, While talking to Giant Bomb at E3Spencer specifically called out two games — sea of thieves and collapse state 2—because, despite both titles being available on Game Pass, they sold better than the company had predicted.
Of course, both of these answers are from 2018. Things have changed, especially since he saw the service grow significantly since early 2018, so Xbox sales could decline with more data. As of 2020, there is still evidenceHowever, some games are seeing increased sales thanks to Game Pass. As you can imagine, this is a complicated topic. Kotaku We have reached out to Microsoft and Xbox for clarification.
Interestingly, the CMA report notes that, according to Microsoft, historically, Activision has been less enthusiastic about including its games on Game Pass or the platform’s subscription services. why? Activision believed that doing so could “significantly rip off” the game’s sales. Especially when it comes to big new releases. But based on past comments from Xbox and Spencer, if the deal goes through, it’s fine. Activision games, big and small, will eventually move to Game Pass.
