1000°

Microsoft May Exit Gaming Business If GP Subscribers off Console Don't Increase Enough by 2027

Microsoft's Phil Spencer said in testimony that the company may exit its gaming business if Game Pass subscribers off consoles don't increase a lot by fiscal year 2027.

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Vits257d ago

Yeah, hopefully, we don't see that happening.
Otherwise, we will get "Sony's you need two jobs to afford this back".

257d ago Replies(6)
blackblades257d ago

Last time it was they might be leaving the console business and maybe be 3rd party like Sega. Which would be a better option in IMO considering the studios they have now. Sell the games on PlayStation, Nintendo and steam, as well cloud gaming on other devices

bloop257d ago

I've been thinking this myself. How long can they keep pumping all this cash into Xbox and Gamepass with no real return? They'd be much better off becoming 3rd party and getting their games, and even GP, on as many devices, including competitors consoles at this stage.

blackblades257d ago

Those leaked documents showed how much it cost or could cost for a game to be on game pass. It's kinda expensive from the looks of it.

Palitera257d ago

@bloop
They have nearly infinite money, enough to knock a competitor like Sony out of the market.
That’s how long.

bloop256d ago (Edited 256d ago )

I didn't mean that in a literal sense Palitera. Business is business and it doesn't matter how much they have in the bank. They're in this more than 2 decades now, spanning 4 generations and have only had relative success with one console, the 360, which was partly due to the PS3 release being delayed multiple times. They've finished last every time so someone's going to pull the plug eventually. Snapping up all these publishers and developers is a desperate last move in trying to stay in the game. They'd be better off going 3rd party at this rate, unless Series consoles literally start flying off shelves.

FinalFantasyFanatic256d ago

I don't think they even want to be in the hardware business, although it's strange they make so many Xbox controllers (but they also make for good PC/Steam controllers as well).

jeromeface256d ago (Edited 256d ago )

@palitera what a foolish take @bloop you think MS doesnt want GP on ps5? LOL

blacktiger255d ago

last time was a rumor, this one is coming from phil spencer

+ Show (4) more repliesLast reply 255d ago
crazyCoconuts257d ago

Is having them still in business, but NOT buying up the entire gaming industry an option? That's what I want...

-Foxtrot257d ago (Edited 257d ago )

To be fair people always go on about that quote from Sony in the wrong way

They didn’t say it in a way like “tough shit, get two jobs if you want it” it was “this thing is so good you’ll WANT to get two jobs” . Still cocky as f*** but no where near as bad.

GamerRN257d ago

..... it's just as bad.

Popsicle257d ago (Edited 257d ago )

It was a comment filled with hubris and it haunted them at the beginning and near the middle of gen 7.

Kayser81257d ago

@-FOXTROT
oh it was bad like here is a quote from ken kutaragi :
(On PS3's price) "It's probably too cheap."
(On PS3's price) "We want consumers to think to themselves 'I will work more hours to buy one.'"
yeah it was bad and they have learned their lesson , that same with microsoft with xbox one and nintendo with the WIIU .
and the reason is because of the competition .

StarkR3ality257d ago (Edited 257d ago )

@Vits

Wish more people thought like you. The same people complaining about Xbox buying up the industry are the same people who would happily see Xbox gone and Playstation the only option. It's laughable.

Less competition = Worse deal for gamers.

Popsicle257d ago (Edited 257d ago )

It baffles me that gamers do not understand the importance of competition. Granted I see Microsoft’s vision for gaming as dystopian for consumers, but without competition, Sony would have less incentive to provide the absolute best content and services. There would be nothing to keep their decision making in check from a consumer perspective.

I wish Microsoft would revert back to the OG Xbox and 360 days because I do not see their current vision of having gamers own nothing and rent everything as being desirable or sustainable.

StarkR3ality257d ago

Agreed, I don't even own an Xbox but to say they shouldn't be in business is stupid, Sony have already showed this gen and the PS3 gen what overconfidence does to a corporation.

There's an air of arrogance about them that I simply do not like, that would be worse by tenfold if Xbox wasn't in the picture, you can take that to the bank.

shinoff2183257d ago

Stark, what has Sony done this Gen that's arrogant

Huey_My_D_Long256d ago (Edited 256d ago )

@starkR3ality.
I don't agree with your first sentences at all, although the last one is on point. . I have a PC and PS5, been a playstation gamer since PS1. I don't want MS to get out because competition is good for both companies... but the tactic of buying up the industry itself is an anticompetitive tactic.
What will happen to the majority of the studios if MS does leave? How many can sell off and which studios will have to be closed down.
...Although I will say Embracer group is far more problematic for the gaming industry right now than MS...Selling with MS, you have at least a couple years...Embracer will buy you and shut you down within a year.

Huey_My_D_Long256d ago

Love PS, but you are not lying. The arrogance in PS3 days was the worst. and I do think Sony would return to it if they didnt have any competitors..I know nintendo, but they are just too different for Sony to progress because of them

+ Show (2) more repliesLast reply 256d ago
PhillyDonJawn257d ago

Facts when 1 remain we all lose.

MrBaskerville257d ago

If ms leaves, Amazon, Apple or Google will step in.

jeromeface256d ago

apple would push thing forward hard but charge you a car price to do it.

WelkinCole257d ago

Every shitty business strategy we have had in gaming is because of MS.

The best gaming console generations (PS1,PS2) is when Sony was the most dominant

So no

Miraak82 256d ago (Edited 256d ago )

That's how I've always felt , I mean steam basically dominates the pc market and Nintendo has handhelds and no one seems to have a problem with it . Why do people feels like Sony always has to have a competitor in the console space , out of all the gaming spaces why (Pc, Handheld,Mobile,Console) only Sony has to deal with MS's BS for the sake of competition. This isn't 25 years ago like when you had just Consoles on the market from everyone,

MrDead257d ago (Edited 257d ago )

Problem is MS doesn't want to or need to compete.

MS buying up publishers means less competition in who makes games, a higher entery cost to anyone that wants to enter the console market because of less third party publishers, we also have found out plans for what they want with Nintendo.
MS are not good for the industry, at any point they have the money to lock away huge chunks of it that competing platforms really on.

F0XH0UND922257d ago

That was a person building hype for a console, not Sony. It's so weird how people still try and use that as a gotcha moment.

Soulsborne256d ago

M$ bleeds you dry , and gives zero in return. Your little netflix of games isnt all that profitable afterall.

Flakegriffin256d ago

Or even worse; we would go from one Sony studio exclusive a year to 1 Sony studio exclusive every two years lmao

Rynxie255d ago

No, I hope it does happen. MS is trying to change the gaming industry for the worst. They are a cancer to the gaming industry. I just hope they do leave the business and another manufacturer steps in, so there's still competition to keep pushing the industry forward.

+ Show (10) more repliesLast reply 255d ago
jesujohn257d ago

Don't you stone-hearted guys feel pity for them? You must all subscribe to GP asap.

Magog257d ago

Which is exactly why they are awful for the industry. They don't want to succeed at making good games or good hardware all they care about is subscriptions. It's been true of Microsoft for decades.

CptDville257d ago

Moreover, they are forcing us to subscribe by slowly but steadily stopping physical game sales. And a lot of people don’t even see it coming (most here on N4G won’t even believe that I can’t buy physical disc of Starfield on my country - Brazil - I’ll have to spend 180 USD on Amazon to buy it from Us if I really want to).

257d ago Replies(4)
italiangamer257d ago

They could leave this very second, one less toxic company to deal with.

DarXyde257d ago

With a replacement, I wouldn't mind.

Nintendo isn't in the same space really and it would be great to have a competitor that is similar financially to Sony —no more of these ridiculous trillion dollar imperialist corporations, please.

Who would that be? No idea. Samsung, perhaps? I think that would be great.

I despise Microsoft. Deeply. That said, leaving the market with Ryan at the reins of PlayStation is asking to get the George Carlin "customer service" treatment.

Outside_ofthe_Box257d ago (Edited 257d ago )

So GamePass is in fact their last resort.

Aloymetal257d ago

Yes GP is their last resort, either that or buy most of the gaming industry forcing their way. MS tried to compete with PS for the last 20 yrs but they realized a while back that they just can't defeat that huge and loyal fanbase PS (and Ninty) have ALL OVER THE WORLD. GP is already 7 yrs old and hasn't changed anything in their favor.

MrDead257d ago

Unfortunately for gamers and competition MS sees an industry it can just buy and lock away behind GamePass, I'm hoping this fails.
The problem is MS has never shown any interest in it's own platform, they like the money that comes from gaming but don't want to contribute. A company the size of MS has very little care for doing well in this industry because just doing well doesn't bring the returns for company of that size, they need to dominate in order to raise MS stock price.
...also it helps that MS don't need Xbox, as it stand right now if Xbox disappeared it would barely be noticed by them.

sagapo257d ago

Wouldn’t say they never showed intrest honestly. The first and especially the 360 era were great as MS try to beat PS with their own exclusives. And they had great ones, you can’t deny this. But after that MS screwed up and tried a different approach with Gamepass, which cleary isn’t working.

Rynxie255d ago

@sagapo

No, MS never cared about the industry, they cared about the money. They showed their true colors with the release of the Xbox one and their outrageous anti-consumer policies. They shot themselves in the foot. However, as blind xboys fanboys are failing to see, MS is still trying to push their digital only, online only, no physical copies, no game trading/selling unless MS gets their cut policies back. They are just trying a new approach.

ChasterMies257d ago

Xbox sells enough to stay in business. But you know how these companies work. Why run a business that is merely profitable? They want that sweet monopoly like they gave with Office and Windows, and they see the subscription service and acquisitions as the way to get there.

blacktiger256d ago

thats why they said if gamepass fail, they are out. Seem you and Microsoft has two different take.

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240°

Take-Two CEO Doesn’t Think AI Will Reduce Employment or Dev Costs; “Stupidest Thing” He’s Heard

Take-Two CEO Strauss Zelnick doesn't think AI will reduce employment or lower development costs, and calls it "stupidest thing" he's ever heard.

lodossrage22h ago(Edited 22h ago)

They already have AI trained to do coding.......

How he thinks it's stupid is beyond me, Especially since we see it happening in real time.

CS719h ago

Company A has 300 employees and lays of 200 to replace them with AI to release the same quality game.

Company B has 300 employees and keeps all 300 but instead uses AI to release a game with dramatically larger scale, scope, complexity, short dev cycle etc.

Company B would release a dramatically better product by using humans + AI and consumers would buy the better game.

I actually agree with this concept.

Huey_My_D_Long19h ago(Edited 19h ago)

This is key facet. Its how the AI is used. It's actually is impressive as is and really would make an amazing addition to alot of people in their jobs, not just tech. It also has the potential for businesses to use to lay off large amounts of people, as much as they could to save money on labor. I hope too many companies don't go with the latter. But since usually companies are worried about bottom line over people...we will see some try and hopefully fail. But yeah, if its to help workers like in your company B scenario I'm totally down...Just scared Company A may be too enticing to some ceos and businesses.

Darkegg19h ago

Value of AI and value of humans will both be increased with human-AI complex. Each, by themselves, will not be independently better than the other. Whether AI will ever be independent from humans is the fear question of humans, ironically because of our doing. At this stage, most of the doing is because of humans, not because of AI. AI is doing exactly that by our design, until we have failed ourselves with an AI development that went awry. The biggest take is that humans have only ourselves to blame when things become wrong, and we have to decide what is the ultimate goal with AI we want to accomplish. It would take a person with high morals and high ethics to make right of AI. I would not want businessman to decide what AI should do or what capabilities it can have. AI should be in the hands of people with high moral fiber, or those operating on love, kindness, and compassion.

BlackOni18h ago

AI is SUPPOSED to be used as a tool, not a replacement. It's designed to do two important things artists can take advantage of immediately.

- Make the ideation/reference imaging process much quicker and easier (basically using it as a google search)
- Make mundane and time consuming tasks faster and easier so more time is spent on creation.

Unfortunately, what many have done is used it as a way to replace rather than supplement.

Einhander197216h ago(Edited 15h ago)

CS7

In the ideal world yes.

In the real world where companies have shown little desire to innovate and spent every effort to maximize profits the end result will be the same quality games (if were lucky) made by less people and more AI.

Company Real World: Fires 200 people and makes the same game cheaper using AI and the executives get record bonuses.

Edit:

Lets look at history, specifically auto manufacturing.

In the 70's and 80's the auto unions tried to oppose automation of jobs (robots) stating that they would take peoples jobs. And the people in charge who wanted to make more money said the exact same types of things that are being said about AI. But we can look at history and see that countless types of jobs were in fact replaced by automation, that was of course even compounded upon by computers.

The net effect was that the rich got richer less jobs were needed so wages were forced down by competition for the jobs that were left.

+ Show (2) more repliesLast reply 15h ago
Number1TailzFan19h ago

You can already make your own SFX with text prompts now as well, of course it will lower development cost and time

1Victor19h ago(Edited 19h ago)

WARNING WARNING ‼️ SARCASM AHEAD
Sure Strauss and robots didn’t take jobs from car factories.
Edit:Sad thing is he believes it and unfortunately he won’t be replaced for a long time by AI

senorfartcushion18h ago(Edited 18h ago)

He doesn't, he's just lying. These people lay people off so they can get bonuses. If AI takes jobs, their bonus goes bigger and the workforce goes smaller.

porkChop16h ago

Because he sees AI as a tool to aid development. He wants to use AI to help make bigger and better games in the same timeframe. Other CEOs want to replace devs with AI to cut costs and make lifeless games faster for a quick buck. Strauss has the right idea, this is how AI should be used. To extend and expand the capabilities of devs.

+ Show (2) more repliesLast reply 14h ago
jambola22h ago

Ceo says stupid thing
Part 5837384

Zeref20h ago(Edited 20h ago)

I think maybe sometimes we give people in these positions too much credit when it comes to intelligence.

DarXyde30m ago

I think you mean candor, not intelligence.

If you take him to mean what he's saying at face value, sure.

I don't. And I think he's clearly lying.

romulus2320h ago

As long as it doesn't effect his inflated executive salary or his ridiculous bonuses I'm sure he's fine with it.

RNTody19h ago

Hahaha yeah trust the CEO suit over the actual developers making the games. Good one.

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340°

Trying to push players over from PC to console is a terrible idea, PlayStation

As PlayStation announces its new strategy to encourage PC users to choose PS5 it is a bitter-sweet moment for PC gamers.

Christopher2d ago

I mean, it's a business based on hardware market. Do we expect them to not even try? It's not like Nintendo doesn't do the same by not putting any games on PC and Microsoft until recently did the same. I don't care what they attempt, as long as they don't abuse the community or lie about their goals/requirements.

Will it work? Not likely. Should we care? No. Let them waste their time, it doesn't affect anything.

RaidenBlack2d ago

let them try ... at the end of the day, we get few extra PC games ... yay ... and also promotes game preservation via PC ... so double yay.

LordoftheCritics2d ago

If only Playstation games provided the ease of pc gaming features.

Primary being very few PS games support m/kb.

Christopher1d 17h ago

If only PC games supported controllers more. Main reason I play primarily on console. So many games have shit support on PC. Playing Dark Envoy now, and it's quite frustrating since I have to switch to keyboard during cut scenes just to make sure advancing conversation doesn't also auto-select a decision. Let alone it's quite rough to select between characters and inventory screens are bad bad bad.

Anywho, similar complaints for both I find. But, I 100% agree that both PC and consoles should support both as best as possible.

crazyCoconuts1d 13h ago

PS may push more kb support in the future to get more PC converts, we'll see.

Flewid6381d 11h ago

As someone with a high end PC, I feel like the ease is on PS5. Too many PC games are a troubleshooting nightmare, which few people have the time for when all you want to do is pop in a game & play it.

Yui_Suzumiya1d 4h ago (Edited 1d 4h ago )

I just use an Xbox controller on my laptop for everything 😆 .. I haven't used a keyboard / mouse combo for PC gaming since 1996

+ Show (1) more replyLast reply 1d 4h ago
LordoftheCritics1d 16h ago (Edited 1d 16h ago )

I don't think you understand what I mean by the lack of m/kb support on PS.

Over a thousand titles have PS controller support on PC.

Not even 30 titles have m/kb support on PS5.

Once you are done with the single player title, you'll go back to playing your daily shooter/looter/mmo etc which the pc gamer has mastered with their mouse and keyboard.
Why would any pc gamer make the switch?

jznrpg1d 8h ago (Edited 1d 8h ago )

PC is secondary to PlayStation for them. Mouse and keyboard would affect development. Live service will have it but most single player games aren’t going to have it as PC is not the focus

+ Show (1) more replyLast reply 1d 4h ago
Fishy Fingers2d ago (Edited 2d ago )

I wish them the best of luck.

But PC players are often a patient bunch, many will even wait for Epic launcher exclusivity to end until a game comes to Steam.

If they didnt buy the console when its games were exclusive, why would they do it now theyre not?

MrNinosan2d ago

Way more do than you probably think.

ravens522d ago

All you need is that one game that'll make a few switch at a time. Like a game a PC player REALLY wants.

porkChop1d 14h ago

It just doesn't work that way though. Plenty of the best games ever made were never available on PC. That didn't make PC gamers buy consoles to play them. This kind of strategy has never worked in the past and it won't work now. It's fine for PS to hold their games back and release on PC later, but to think that will boost console sales is wishful thinking. All this will accomplish is some double dipping, which is obviously good for business.

JackBNimble1d 13h ago (Edited 1d 13h ago )

People aren't going to switch from pc to ps5, why would anyone do that for a game?
Most sony exclusives aren't all that to begin with, and pc has the option to upgrade what they want when they want it. Having access to some ps5 games, gamepass and steam.

Thinking this would happen is naive

outsider16241d 23h ago

I mean if there's 10 million pc gamers out there...getting atleast just 1 million from there is probably a good thing..right?

romulus231d 20h ago

PC players are not a monolith, I don't know why people keep thinking they speak for the entirety of all PC gamers like they all know each other personally. You think out of the millions of PC gamers not one single person will be impatient?Well Sony is willing to bet there will be. Why would they do it now? People's feelings change and new PC gamers come along all the time that may also feel different about waiting, that's why.

Yui_Suzumiya1d 4h ago

Just like how I'm waiting for Alan Wake II to hit Steam 😆

+ Show (2) more repliesLast reply 1d 4h ago
-Foxtrot2d ago

PC gamers are just too patient and loyal to their gaming set ups, something they've spent a lot of money on to perfect. They have backlogs of games which many never get round to finishing or get round to at all and will always have other multiplatform releases to keep them going.

Over the many years Sony has published so many awesome titles such as The Last of Us, Uncharted, Heavenly Sword, Infamous, Killzone, LittleBigPlanet, Dreams, Puppeteer, Resistance, Heavy Rain, Gran Turismo, Motor Storm, God of War, Horizon, Ratchet and Clank, Spiderman, Ghost of Tsushima, Bloodborne

If none of those games BEFORE all these PC ports convinced a hardcore PC gamer to get a PS5 console then why on Earth would porting them them to PC now make any difference? All PC gamers now know 100% is that they just have to be patient, which they are good at anyway to get a PS5 game 2 years later.

I get GaaS games or multiplayer focused titles but if people really want to play these games they'd have gotten a PS console years ago.

Crows901d 23h ago

Not sure they're aiming to convince the hardcore PC gamer.

Not sure why people are obsessing over his comment...it seems pretty simple to me.

He will do all he can to entice gamers to move to his ecosystem. As you say....exclusives existing hasn't moved many gamers over. But if they get to try them and love the games then they might change their mind about waiting 2 years.

We're in an echo chamber on this site...I've Personally seen people with Xbox and PC setups but no PlayStation. I've also seen people with small PC setups but no console. Not every pc gamer invests thousands and many may decide to put one in the living room.

They're not looking to convince all of players to buy a PlayStation...just a few...and really it is just a PR statement after all...they have to give a reason why single player won't release day 1....not to mention they also have to ensure current PlayStation gamers don't jump ship to PC. It goes both ways and they're ignoring the big L by putting any of their games off their platform.

anast1d 22h ago

"Not sure they're aiming to convince the hardcore PC gamer."

Right here

Kakashi Hatake1d 23h ago

PC gamers think tomorrow is promised. Sorry, don't have time for that.

Michiel19891d 22h ago

it's not just about loyalty or sunk cost, pc is an open platform while consoles are closed platforms. If you for example want to mod, you will play on pc, no question about it. Also if you like indie games, steam is a fucking goldmine for that. I've been playing a lot of indie games over the last years and there just seems to be an endless amount of them on steam. Also not having games locked to a certain fps is a prettty big deal for me and I assume a lot of other pc players.

Walalon1d 20h ago

And don't forget steam sales, you can get a ton of games on an awesome price.

badz1491d 12h ago

@Walalon

Sony has been doing sales constantly on the PS Store nowadays.

jznrpg1d 8h ago (Edited 1d 8h ago )

@Walalon Steam sales are basically the same as PS sales. I was going to buy a Steam Deck and I heard about these Steam sales but the games I was interested in were not any cheaper. Indie games were cheap and older AAA were cheap but the same can be said for PS store sales. I didn’t end up getting the Steam Deck as there weren’t any games that I wanted to play that wasn’t already on PS and prices aren’t much different

romulus231d 20h ago

And how do you know out of the millions of PC gamers that not one single person ever went ahead and bought a PlayStation console for one or more of those games? People keep speaking for the entirety of millions of PC gamers like they know them all personally. Here's one example for you, I'm currently typing on a recently purchased PC that cost me over twenty five hundred dollars and is more than capable of running any game including Sony exclusives that come to PC and yet I still bought a PS5 so apparently I'm not patient or loyal enough to my set up, hope it's not mad at me for not being loyal.

jznrpg1d 8h ago

Some of those people will consider getting a PS5 some wont. I was a PC gamer for a long time and I’m a console only gamer now. Everyone’s different.

+ Show (3) more repliesLast reply 1d 8h ago
helicoptergirl2d ago

Who cares? Then just stay on PC and play the waiting game. No big deal. Sony wins in the end anyway.

Melankolis11h ago

Yup. If the strategy doesnt work, all they have to do is to change their mind, publish the games on PC, and they still win anyway.

Number1TailzFan2d ago

I mean if there's any single player Sony games that I actually want that aren't on PC then I would buy said console to play them on. But the ones that I like that aren't on PC are few and far between anyway so no loss for me.

If I game, it's usually multiplayer titles, otherwise I like playing around with some other software.

Amplitude1d 18h ago (Edited 1d 17h ago )

Astro Bot is the game that just did it for me. I'm gonna have to grab a PS5 again for that.

I did this for Ratchet Rift Apart too but ended up selling the PS5 after getting my plat. Rebought it on PC and other than GoW Ragnarok and Horizon FW (which eventually I could get anyway), I haven't had a reason to downgrade my graphics, controller features, ease of recording, and increase my game costs and monthly subscriptions throughout this entire generation.

I play on a TV with a controller but this has been the absolute worst console gen for both consoles. Never in my life thought I'd be a PC gamer but I've been spoiled by the cheap costs, cross-platform controllers and mostly the unbelievably useful Steam controller config.

Show all comments (73)
50°

ARK: Survival Ascended Premium Mods on Consoles Q&A - By 2030, Time Spent on UGC Will Be Way Bigger

ARK: Survival Ascended has introduced Premium Mods on consoles. Wccftech talked to Studio Wildcard and their partner Overwolf about the rising importance of user-generated content, especially for live service games.

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