That’s by design. Force your opposition to sell, bankrupt them and write off the loses. Shrink the industry and force players to sign up for your subscription services.
I’m not a fan, but it’s hard to see this wasn’t their plan from the get go
What really gets me, and this touches on your comment, is that the execs said that they need to have the teams make what they specialize in. And then they turn around and force all the studios to make games that not at all anything they’ve ever made before.
The industry historically hasn’t shrunk when studios close like this. There just ends up being more bespoke studios all over the world with former developers from those studios.
The sad part is this might actually end up being a net positive in the long run. Their two biggest acquisitions were Bethesda and Activision-Blizzard, one company that has started their decline and another that is deep into it.
Microsoft pissing away $100B to buy these companies only to turn around and kill them 5-10 years later will end up breaking up the gaming conglomerates that have killed the western games industry. The only sad part is all the people that will lose their jobs and all the classic IP that will be squandered.
In just four months, they have lost Toys for Bob (developer of Spyro Reignited and Crash 4), Arkane Austin (Prey 2017), and Tango (Evil Within, Hi-Fi Rush). I wish I had the money to casually buy some great dev studios, including the makers of a GOTY contender, and casually kill them off a few years later.
I know they are in panic mode right now, but I honestly don’t know what their plan is at this point. I doubt even they know. Watching the situation from the outside, it’s almost comical how MS has mismanaged everything for years. I live in Europe and I’ve never seen Xbox marketed anywhere. GamePass is supposedly their priority, and barely anyone I know who is interested in gaming knows that it even exists. The whole deal with the service was delivering first party games day one, yet failed to deliver anything worth buying four years into the new generation, while most of what they actually released was already in the works prior the acquisition. They bought dozens of studios, and mismanaged every single one of them. Fuck, they couldn’t even settle on the cover for their game cases for half a year after their new box released.
The only good thing out of this debacle is that people have finally realized how utterly incompetent Phil Spencer is. I remember the days when fanboys were parroting his lies and kept talking about how “Phil is a gamer just like us”, just because he showed on the stage in a shitty t-shirt. Too bad it took xbox fucking dying for them to realize, but I guess it’s better later than never.
Hey, quite a few people bought Game Pass for a month to try out Cities: Skylines 2, because it was quite a lot cheaper than the game itself (and considering the poor state the game was released in, probably not much more than a month of replay value anyway)
One could argue to get exclusivity of said IPs for their subscription service. They haven’t pulled the trigger yet, it’s possible they have aborted the plan entirely. I wonder if they even know what they’re doing.
I really hope this bites them if the industry goes less IP-centric. We’ve gotten a slow build of “From the developers of…” fan hype, and I don’t think a big “2” matters as much as it used to.
Elden Ring, Overwatch, Cyberpunk, Genshin Impact, were all technically “new franchises” but built insane followings off either good marketing or high knowledge of their studio. So now all MS can do is copy the death path of their parrot studios like 343 Industries and The Coalition, which were built to try to tentpole their old franchises made by better studios.
Microsoft has always been more than happy to make the market smaller by buying the competition and discontinuing their products shortly after. For some reason people didn’t think Xbox would do the same?
…wikipedia.org/…/Embrace,_extend,_and_extinguishin 1998, Bill Gates stated: “One thing we have got to change in our strategy – allowing Office documents to be rendered very well by other people’s browsers is one of the most destructive things we could do to the company. We have to stop putting any effort into this and make sure that Office documents very well depends on PROPRIETARY IE capabilities. Anything else is suicide for our platform. This is a case where Office has to avoid doing something to destory [sic] Windows.”
Not just Gates, but all higher ups at Microsoft think this way. It’s kind of naive to think Xbox would be different IMHO.
Looks like Microsoft is now entirely focusing on selling games rather than selling Xbox. I read somewhere that eventually they’ll bring the Game Pass to Play Station and Nintendo. It’s no surprise if they do so because last year they earned more money on Game Pass than selling hardware.
They’d love to have GamePass on Switch and PS5 already, Nintendo and Sony are the roadblock because they don’t want to lose the share of cash and hours of playtime on their own platforms.
Admittedly, that's helped by them doing terribly at selling hardware.
But also, screw gamepass and the subscription model overall. If we're gonna crap on Ubisoft for their recent foot-in-mouth episode let's be consistent and call all of it out. I'm cool with this as long as I can keep buying these in boxes.
I honestly don’t hate game pass, it’s great for trying games id never even consider buying and if I really like the game and it’s off of game pass I would purchase it. Or if you have a group of friends that like to hop between co-op games you can do that too.
Like the Yakuza game series they have all of them currently on game pass, but the new one won’t be and I’ll definitely be buying the game.
But if it gets to the point where Ubisoft goes and every studio starts making their own, I don’t think that will work if they don’t have the game catalogue to support it, that would mean Ubisoft could just start churning out horrible games to build their stupid catalogue.
Sure, it has its uses. So do the subscriptions from Ubisoft or EA, though.
All I'm saying is that the digital distribution outlets that people like and have a good reputation (Game Pass, Steam) still have all the downsides that people love to get mad about in the alternatives they dislike. That doesn't mean you should refuse to use the ones you like, but you should probably keep an eye on the effects it has on the art form and the industry.
I do see that since it’s Ubisoft, they could still push for games on the subscription service but in reality I could see the games being loaded up with micro transactions.
Or it could turn into a convoluted game demo service, where you can play a portion of a game then they hit you with a pay wall, and since you’ve already played X% of a game they could view it as more likely to buy.
OK, but that's not how reality works, you're making up offenses that nobody has committed because you've decided a particular brand is "bad" while ignoring actual offenses from brands you like and so have decided are "good".
So no, I'm gonna have to say your hypotheticals don't make their offerings any worse (or better) than Microsoft's or Valve's. Now, the pricing and lack of content? Yeah, we can talk about those. But those don't have anything to do with preservation concerns, lack of ownership or content churn, which are all legit issues with all digital distribution and subscriptions.
But if it gets to the point where Ubisoft goes and every studio starts making their own, I don’t think that will work if they don’t have the game catalogue to support it, that would mean Ubisoft could just start churning out horrible games to build their stupid catalogue.
I feel like we’re starting to see a rerun of the streaming service wars - if this takes off across the industry I can definitely see people going back to piracy. I don’t want game pass, ubisoft+, Blizzard Prime, Nintendo Online Super Premium Expansion Pass or whatever stupid names these companies come up with just to play a few games that I’m interested in, just because they’re spread across different publishers.
It actually floors me that people don’t understand this. It’s the tried and tested subscription model business plan.
Create a compelling service > gain market share > crush competition > ramp up prices and introduce anti-consumer policies
And contrary to popular belief, GamePass isn’t making money. There’s a reason MS are very tight-lipped about saying whether it’s profitable or not, and why they hide GamePass within another segment in their financials.
Shit, look at the FTC leaks where Phil Spencer says nowhere near enough people have subscribed to GamePass to make it viable (no wonder they want it on more platforms!). Microsoft will up prices.
And people here will say “yeah but then I’ll cancel, I already have a large game library” - yeah, you do. But a kid in 10 years that has no games library, only GamePass? He won’t say “man, another GamePass price hike? I’m gonna cancel”, because his choice is between another, say, £18 per month (I just went with what I was paying for Netflix, idk what it’ll be), and having to drop several hundred/possibly over £1k just to get all the games he wants back. Games he will probably have to buy across 3+ different launchers.
Microsoft is in it for the long haul. Subscription Office software, GamePass, rumours of subscription options in Win12. MS doesn’t want your money now, they want money from you continuously and from any family you build (remember: if you have kids, they’ll use this stuff too, and you’ll be paying for it… until they’re an adult, then they’ll be hooked on it and probably pay for it thereafter).
You’ll be paying until the day you die and your children will pay from being 18 until they die.
They’re horrible at making games too. Their biggest games have been IP conceived and developed externally and once they took them over they’ve run them into the ground of mediocrity. In over twenty years I don’t think any developer or franchise has benefited from Microsoft owning them.
I'm not sure who "they" is in this scenario. If it's Microsoft Games Studios... well, yeah, they're a publisher. You just described what a publisher is.
I think if we're talking about their recent publishing strategy they've certainly been on a bit of a rut. There's still some interesting stuff happening with their IP. They got Relic to make a surprsiingly faithful Age of Empires, people do like Microsoft Flight Sim, that type of thing. But still, yeah, they've made a lot of purchases and we haven't seen new games coming out from most of those to justify those purchases, which does speak to a bit of a struggle to find a direction. That Hellblade sequel looks intriguing, but for a publisher with a lot of fully owned studios that has been fighting claims of monopolistic practices for their high profile acquisitions their output from that stable hasn't picked up pace yet.
I get it, games take forever to make now. That Hellblade game has been marketed for as long as the Xbox Series has, and that came out in 2020. Still, that itself is a problem. If the big oil tanker is hard to steer you have to plan your turns before you get to the icebergs. I do genuinely hope they get it together, though. That's a lot of talent, IP and potential to let run on idle for too long. Or worse, to fail in the context of a major corporation and stop getting support.
They got Relic to make a surprsiingly faithful Age of Empires, people do like Microsoft Flight Sim, that type of thing.
“Their biggest games have been IP conceived and developed externally” so not really a counter argument to phillaholic when you mention two games outsourced to external developers.
Kinda. This is the exact opposite of that, in that they control the IP and went out to find an external dev with lots of subject matter expertise to make it.
On paper I'd say that's better than them buying Relic off of Sega, but then Sega fired a bunch of people at Relic this year, like everybody else, so what would have been better is very much up for debate.
But also, screw gamepass and the subscription model overall.
If GamePass meant “you just get everything”, I see a case for that but GamePass isn’t that. It’s “Here are a few Microsoft 1st party games scoring 7/10 other games cycle in and out like Netflix and you get no DLC so when you buy DLC and the game cycles out, you’re out of luck”
I'm not sure if you read my comment backwards or you're just agreeing with it?
Anyway, yeah, I think hte big problem gaming subs have is that unless you have first party ownership over every game in existence you can't do the Netflix thing of pretending to be selling the only expense you're ever gonna need. The way games work you engage with them too long and they cycle around too fast, so even if there is a big pool of games they offer it's just a big fat pit of FOMO and feeling bad for seeing that game you're mildly interested in come and go without actually having played it. I already have a stressful backlog without adding the pain point of monetizing my not getting around to all the games I'd like to play.
It's been tried multiple times and it just doesn't work. Physics (the speed of light) ultimately dictates latency. Streaming only works for a rather small subset of games that doesn't rely on reaction time or latency at all. And then only works for people who play those games a lot (you're not going to sub to a streaming game service if the majority of the games you want to play don't work on it). There's a reason Google Stadia died.
The only reason anyone wants to sell consoles is to get you locked in that ecosystem and sell you games. They don't make a profit on the hardware, Xbox game pass is their headstart into purely game sales, well a subscription and cloud service that everyone is trying to jump on right now.
When they lock you into their hardware they get commission on third party game sales as well, or don’t have to pay other people commission on their first party game sales. Traditionally this is how console manufacturers made the bulk of their money but now Microsoft has game pass so they want to get it in front of as many people as possible I guess.
I wonder if Sony would allow gamepass in their ecosystem. That said, if this is true then we are likely to see Microsoft leave the console hardware market.
No fucking chance Sony’s going to let a rival set up shop on their own consoles. Not even a possibility. Look at how much Apple and Google fought with Epic over keeping them off their phones. And that’s just over a secondary app store on a device that can do a million different things that the parent companies can still find ways to monetize. You’re talking about a competitor selling a subscription to bypass PlayStation’s only source of sales. Sony will fight that with everything they’ve got and no cut of the subscription fees will ever be enough to change their minds.
Plus the Epic lawsuits set a precedent that if you provide zero support for third party stores (Apple) you’re fine, but provide second class support (Google) and you’re going to get fucked.
Looks like Microsoft is now entirely focusing on selling games rather than selling Xbox.
If that were true, they would have discontinued Xbox already. You are falling for their lie that they aren’t trying to lock people into a closed ecosystem.
I never finished the first Elex (the combat was way too unforgiving imo; it took me like 5 minutes just to kill one of those river raptor looking things) but I loved the trailer for Elex 2. I thought it went really hard.
yeah, for me the games after Risen 1 were pretty meh for me. But the Gothic series was part of my childhood, with Gothic 1 being my first ever RPG. (probably one of the best games to start with)
As a german this is really hitting me. One of the last “legendary” game developers here, with a very particular style and history. Gothic was also one of the first games I have ever played which got me into the hobby.
Unrelated to the article but did you try “The Chronicles of Myrtana: Archolos” already? It’s basically a spiritual successor to Gothic 2, using it’s engine but with a different main character and in a different part of Myrtana. It’s absolutely incredible and a must play for anyone who enjoyed Gothic 1 and 2.
I would love to play some Gears of War on my PlayStation, but only if you could buy the physical game and not play through a subscription service like GamePass.
I am very pessimistic about that ever happening but i would love to be wrong. I dont think they have much incentive to make all those physical copies unfortunately
It would still be money into their account even if a subscription model might be better for them. But since, I wouldn’t be subscribing to anything related to Microsoft they would gain less money from me that way…
Earlier, multiple sources had indicated that Xbox is looking to foray into third party development, with ports of several first party titles rumored to arrive on PS5 and Nintendo Switch 2
So I guess they know more about the next Switch console than the rest of us.
Maybe they’re learning from Sony. That barely anyone runs out to get another console for exclusives, way more people will wait or just not play the game. They’re mostly just leaving money on the table
I think they just finally learned XBOX isnt the big seller this generation, Playstation is the market leader for at least 2 generations because of their amazing first party games. Microsoft hasn’t had as good of a lineup for exclusive games, especially since they are already available on PC. See Halo Infinite and Starfield. There’s too many playstation users not to release games on that platform.
Nintendo has a category of its own. Which again also has a strong exclusives library. Switch users that own one of the more powerful consoles also go for playstation. 50 million PS5 vs 26 million XBOX Series consoles as of Nov 2023 vs 132 million Switches that has been out longer.
Nintendo actually try something new with their consoles too, so that's at least good.
Everyone should be moving to PC though, you actually have freedom there. I think Steam machines would do pretty good if they came out now.
It feels like despite all that, Microsoft has had a lot more influence on the gaming industry the last 5 years than Sony because of their Game Pass push. Sony is fine doing what they’ve been doing, which is to put out like 3 great games a year.
Microsoft has struggled with great first-party games, but their services are far more interesting.
Saw the headline, wondered what had happened, and then saw that they were owned by Embracer. It's a shame to see them go. Gothic has been on my list of series to try for a while now and the Elex games looked interesting.
They tried for like a decade before finally giving up. Microsoft has learned a lot of lessons while trying to work on their gaming arm, and some of them have actually stuck. I would expect titles to be sold on Steam until Phil Spencer retires.
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