PlayStation Plus Strategy - Full Presentation From April 2023

[winb83]

But does this matter to the casual gamer? Even if game pass was to double in price, I feel like the casuals would complain but ultimately come around, same as netflix.

It might not matter to the casual gamer but to suggest Sony is going to want to leave that money from the sales of AAA games on the table just to push them to a subscription service is absurd. Again from this link that references the FTC slides.

Xbox Game Pass made $230 million revenue in one month, most users pay for full subscriptions

Microsoft reveals a rare look at concrete Xbox Game Pass earnings, with the subscription breaking $230 million in subscriber revenues in a month's time.

www.tweaktown.com

The average member generates $9.26 a month.

Starfield on Xbox digital store cost $70. To make back that $70 they would have got on a sale they need the average member to remain subscribed for 7.56 months. That's more than half the year. Since these are first party titles if someone buys that on the digital store they get to keep all that.

I'm sorry but at 2 AAA games like that in a year you've surpassed time vs money on what they could have made selling games and anything beyond that is leaving money on the table.

 

[BobbyWojak]

It might not matter to the casual gamer but to suggest Sony is going to want to leave that money from the sales of AAA games on the table just to push them to a subscription service is absurd. Again from this link that references the FTC slides.

Xbox Game Pass made $230 million revenue in one month, most users pay for full subscriptions

Microsoft reveals a rare look at concrete Xbox Game Pass earnings, with the subscription breaking $230 million in subscriber revenues in a month's time.

www.tweaktown.com

The average member generates $9.26 a month.

Starfield on Xbox digital store cost $70. To make back that $70 they would have got on a sale they need the average member to remain subscribed for 7.56 months. That's more than half the year. Since these are first party titles if someone buys that on the digital store they get to keep all that.

I'm sorry but at 2 AAA games like that in a year you've surpassed time vs money on what they could have made selling games and anything beyond that is leaving money on the table.

Isn't this just a new version of the exact same conflict from generations ago? With xbox lauding experience/lifestyle and playstation offering single player exclusives with a focus on niche international titles? What's changed?

I don't understand the debate itt, this seems like standard operating procedure for both companies involved.

Edit: ps plus seems more like an attempt to build their library and brand recognition, i don't think they seem themselves as a legitimate competitor to game pass

 

[MeachTheMonster]

You've resorted to outright lies now? This is pathetic, even for you

Estimates were at least 5 mill on steam. Sorry your hate campaign failed

 

[Loose]

Starfield on Xbox digital store cost $70. To make back that $70 they would have got on a sale they need the average member to remain subscribed for 7.56 months.

This isnt how margins are calculated, starfield is sold in stores steam and Xbox store. After 30% plus packaging for games you're at around $40-43. Just because starfield is being offered in a service doesn't mean people stop buying games. Majority of gamepass subs are ultimate subs, and it has sold around ~5mm on steam. Starfield is more than fine, it probably recouped off steam alone. Not to mention early access and all types of other shyt Xbox offered. For Xbox, continuous revenue and MAU >>>> one time purchase. 4 months out starfield still in xboxs top 20 which means its retaining maus and subs, it's more than done its job

 

[winb83]

This isnt how margins are calculated, starfield is sold in stores steam and Xbox store. After 30% plus packaging for games you're at around $40-43. Just because starfield is being offered in a service doesn't mean people stop buying games. Majority of gamepass subs are ultimate subs, and it has sold around ~5mm on steam. Starfield is more than fine, it probably recouped off steam alone. Not to mention early access and all types of other shyt Xbox offered. For Xbox, continuous revenue and MAU >>>> one time purchase. 4 months out starfield still in xboxs top 20 which means its retaining maus and subs, it's more than done its job

No I'm talking about the Game Pass member that owns an Xbox and instead of buying Starfield on the Xbox Store they just download it from Game Pass. That person would have most likely bought that game digitally from Xbox. That's a $70 purchase digitally from Xbox on a first party title so that money is direct to them no middle man.

Starfield not being included on Game Pass doesn't negatively impact Steam sales. The early access at a large discount doesn't offset a full purchase.

Starfield may be fine but they made less money than they could have made not putting it in Game Pass day 1 and that's indisputable. Microsoft is a company that can make decisions like that because the parent company of Xbox prints $10s of billions in net income a quarter. They are trading higher revenue for lower but more stable predictable recurring revenue.

I've come to the conclusion that it is unreasonable to expect Sony and the style of games they make to follow that same process. The people asking for this having heard what Sony executives are saying about it are doing so because they want it to damage the company. Sony's style of games don't work for them day one on a subscription service.

 

[Loose]

That person would have most likely bought that game digitally from Xbox. That's a $70 purchase digitally from Xbox on a first party title so that money is direct to them no middle man.

This is an assumption and an assumption that a full on subscriber buys more than one Microsoft game per year. Gamepass ultimate is 17 per month or over 180 a year which includes several 1st and 3rd party games that include microtransactions. 250mm-300mm per month in revenue + MAU for Microsoft >>>> one time balance sheet entry of 300mm. its different business strategies.

 

[winb83]

This is an assumption and an assumption that a full on subscriber buys more than one Microsoft game per year. Gamepass ultimate is 17 per month or over 180 a year which includes several 1st and 3rd party games that include microtransactions. 250mm-300mm per month in revenue + MAU for Microsoft >>>> one time balance sheet entry of 300mm. its different business strategies.

It is a fair assumption to make that they lost sales on Starfield because it was included in Game Pass I say this as a person that would have bought Starfield but didn't because it was on Game Pass. I'm sure you can find plenty more here. Hell probably the majority of Xbox owners here did that. The real question is if Game Pass was more like PlayStation Plus Extra / Premium with first party titles how many subs would that cost them vs what they have.

 

[Loose]

It is a fair assumption to make that they lost sales on Starfield because it was included in Game Pass I say this as a person that would have bought Starfield but didn't because it was on Game Pass. I'm sure you can find plenty more here. Hell probably the majority of Xbox owners here did that. The real question is if Game Pass was more like PlayStation Plus Extra / Premium with first party titles how many subs would that cost them vs what they have.

They aren't similar service considering they have different business models. Once again, sony is in the business to sell consoles at a loss, Microsoft is in the business to sell/provide games anywhere. A gamepass subscription can be on tv,phone xbox pc etc. You can buy Xbox games on pc and console. Different strategies

 

[ItWasWritten]

I hope you nikkaz have analytic six figure jobs the way you waste your time on here stanning data and excel sheets

 

[Rekkapryde]

Uhh…what am I supposed to be upset about?

+

 

[Rekkapryde]

I hope you nikkaz have analytic six figure jobs the way you waste your time on here stanning data and excel sheets

nikkaz trying to act like financial analysts not knowing a damn thing

 

[Loose]

,

I hope you nikkaz have analytic six figure jobs the way you waste your time on here stanning data and excel sheets

I actually do

 

[winb83]

They aren't similar service considering they have different business models. Once again, sony is in the business to sell consoles at a loss, Microsoft is in the business to sell/provide games anywhere. A gamepass subscription can be on tv,phone xbox pc etc. You can buy Xbox games on pc and console. Different strategies

I would love to get numbers on how many Game Pass subscribers are console gamers vs mobile or PC gamers who don't have a console. Although I don't have actual numbers my thinking is the overwhelming number of Game Pass subscribers have an Xbox and that Game Pass subs are inexorably tied to Xbox console sales.

Either way Sony is a company that needs to show continued growth in gaming because gaming is crucial to their company. With Microsoft gaming is something they can burry in their balance sheet and on quarterly reports and not have to answer any questions about and really not even need to show growth on. Sony can't put their style of new AAA games on a subscription service day 1. It would be detrimental to them as a company with the monetary hit they'd take.

Microsoft’s Xbox Game Pass service grows to 25 million subscribers

Just as Microsoft adds Activision to the Xbox Game Pass library

www.theverge.com

We are going on almost 2 years since Microsoft has given a public update to what you suggest is their most important metric. They don't tell us how many consoles they sold and they don't tell us how many games they've sold all they give us is total revenue and subs (occasionally). Sony couldn't go 2 years with no update on PlayStation console or game subs (their most important metrics). They usually give quarterly updates on those or with a game when the game launches within about a month they update on what it sold.

 

[winb83]

Taking it a step further. They have a known 25 million Game Pass subs. The Xbox Series consoles are estimated to have sold just shy of that. Console sales are cratering. They haven't updated Game Pass sub numbers in almost 2 years.

The logical conclusion is Game Pass subs depend overwhelmingly on console sales. Explains why they knocked $150 off the price of the Xbox Series X for the holiday. They need this thing to sell to ease the logjam on subscriber growth. The numbers suggest the majority of Xbox Series console owners already have Game Pass so they can't reach more people at a meaningful pace until they expand their console base.

All that fluffy talk about game anywhere sounds nice but their business and Sony's business both tie back to the same point. They need you to buy dedicated hardware to really expand their customer base. Their attempt to break away from hardware is further down the line. They canceled the Keystone streaming box and gave up Activision Blizzard streaming rights to Ubisoft because we're still quite a bit away from that future.

 

[Dorian Breh]

Taking it a step further. They have a known 25 million Game Pass subs. The Xbox Series consoles are estimated to have sold just shy of that. Console sales are cratering. They haven't updated Game Pass sub numbers in almost 2 years.

The logical conclusion is Game Pass subs depend overwhelmingly on console sales. Explains why they knocked $150 off the price of the Xbox Series X for the holiday. They need this thing to sell to ease the logjam on subscriber growth. The numbers suggest the majority of Xbox Series console owners already have Game Pass so they can't reach more people at a meaningful pace until they expand their console base.

All that fluffy talk about game anywhere sounds nice but their business and Sony's business both tie back to the same point. They need you to buy dedicated hardware to really expand their customer base. Their attempt to break away from hardware is further down the line. They canceled the Keystone streaming box and gave up Activision Blizzard streaming rights to Ubisoft because we're still quite a bit away from that future.

Microsoft clarifies that they don't have 30 million GP subs, the official tally is 25 million

https://www.windowscentral.com/gaming/xbox/xbox-game-pass-has-over-30-million-subscribers-according-to-linkedin Update: The LinkedIn profile in question removed the references to the "30 million" milestone. Microsoft reiterated to us in a statement that 25 million remains the last official...

www.thecoli.com