How do companies make money via gamepass

[The Mad Titan]

 

[Womb Raider]

I’m probably going to buy Fallout 4 after playing Game Pass

 

[YaThreadTrashB!]

I’m probably going to buy Fallout 4 after playing Game Pass

What’s the point?

 

[Womb Raider]

What’s the point?

I meant the DLC

 

[goatmane]

MS just straight giving these bytches away

The Sony Dynasty vs Infinite money... lets see what happns

 

[Leasy]

I dont understand why it is so hard to know how they make money. The games are still purchasable in the store and you are given a discount by the game store.

I am pretty sure most gamers when they liked a game purchase the title to add to their library just in case the title is removed from Gamepass.

All DLC is not free for games on gamepass so you would have to purchase that content separately.

I am pretty sure for big titles Microsoft paid upfront for more subscribers and traffic for the future. The investment is worth it.

shyt not hard and Sony could do that shyt but Sony is cheap.

 

[Mike809]

Seems like a strategy to push more DLC and loot boxes in the future.

 

[winb83]

Probably the same way YouTube creators make money from YouTube Premium subscribers.

Microsoft likely pays a flat negotiated rate to get the game on Game Pass then a portion of the proceeds from subscriptions goes into a pot and gets paid out from download numbers.

 

[4-Rin]

Phil Spencer answered this question last year

Phil Spencer has been doing the rounds during the launch of Xbox Series S/X, and speaking to the Verge he addressed the question of how developers get paid. "Our deals are, I’ll say, all over the place. That sounds unmanaged, but it’s really based on the developer’s need. One of the things that’s been cool to see is a developer, usually a smaller to mid-sized developer, might be starting a game and say, 'Hey, we’re willing to put this in Game Pass on our launch day if you guys will give us X dollars now'," he said.

"[In] certain cases, we’ll pay for the full production cost of the game. Then they get all the retail opportunity on top of Game Pass. They can go sell it on PlayStation, on Steam, and on Xbox, and on Switch. [...] Sometimes the developer’s more done with the game and it’s more just a transaction of, 'Hey, we’ll put it in Game Pass if you’ll pay us this amount of money.'"

"Others want [agreements] more based on usage and monetization in whether it’s a store monetization that gets created through transactions, or usage. We’re open [to] experimenting with many different partners, because we don’t think we have it figured out. When we started, we had a model that was all based on usage. Most of the partners said, 'Yeah, yeah, we understand that, but we don’t believe it, so just give us the money upfront.'"

 

[The Mad Titan]

Phil Spencer answered this question last year

I had been looking for this quote. I remember watching it in a video.

 

[Al Simmons]

Are these games available on GP all the time or removed after a certain amount of time?

 

[ball15life]

Are these games available on GP all the time or removed after a certain amount of time?

Depends on the game... the majority seems to be there for the long haul though

 

[The Mad Titan]

 

[The Mad Titan]

 

[Gizmo_Duck]

How companies lose money via gamepass: