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Phil Spencer hints at future Xbox Game Pass or console price increases at WSJ Live - Update: Japan XSS and XSX gets price increase


Brian

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No big surprise for Games Pass, it was going to happen eventually.  They were already (over) eager to change their pricing structure with Gold.

 

It's more interesting that he brought up games and the consoles themselves in regard to price hikes.  Just two months ago:

 

cePyPMemtprqKZCSC3TPZA-1200-80.jpg
WWW.GAMESRADAR.COM

"When our customers are more economically challenged and uncertain than ever, we don't think it's the right move"

 

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27 minutes ago, crispy4000 said:

No big surprise for Games Pass, it was going to happen eventually.  They were already (over) eager to change their pricing structure with Gold.

 

It's more interesting that he brought up games and the consoles themselves in regard to price hikes.  Just two months ago:

 

cePyPMemtprqKZCSC3TPZA-1200-80.jpg
WWW.GAMESRADAR.COM

"When our customers are more economically challenged and uncertain than ever, we don't think it's the right move"

 

 

Anytime I hear a corporate head say "We have no plans..." I always take that as a maybe. :p 

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13 minutes ago, SaysWho? said:

 

Anytime I hear a corporate head say "We have no plans..." I always take that as a maybe. :p 


 

I mean no plans doesn’t mean plans can’t change. I need to get back into ms rewards and lock up games pass as long as I can. I still got two more years but I’ve slacked off the last few months.

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4 minutes ago, Dodger said:


 

I mean no plans doesn’t mean plans can’t change. I need to get back into ms rewards and lock up games pass as long as I can. I still got two more years but I’ve slacked off the last few months.

 

Right, and it can mean, "No plans in motion," "No plans decided," etc.

 

It means nothing, so that's a red flag immediately.

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Kind of surprised that gamepass is profitable right now, but it also depends on what they include in that. If you assume they include whatever fees they're paying devs and the cost to run cloud streaming, then I wouldn't have expected it to be profitable now. Not that my feeling was based on any real data, just that it seems like they're still in the "invest in growth at all costs and spend whatever it takes" phase. If they're making money already, it bodes very well for the future of the service. Certainly they'll end up raising the prices eventually to justify the investments they've made, but those price hikes might be delayed a bit if gamepass isn't burning a hole in MS's pocket.

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17 hours ago, crispy4000 said:

No big surprise for Games Pass, it was going to happen eventually.  They were already (over) eager to change their pricing structure with Gold.

 

It's more interesting that he brought up games and the consoles themselves in regard to price hikes.  Just two months ago:

 

cePyPMemtprqKZCSC3TPZA-1200-80.jpg
WWW.GAMESRADAR.COM

"When our customers are more economically challenged and uncertain than ever, we don't think it's the right move"

 

 

@Spork3245 what are your thoughts on crispy's post?

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1666886163465.jpg
WWW.AXIOS.COM

Game Pass growth is the only gaming metric tied to the CEO's pay.

 

Quote

Microsoft targeted a 73% growth rate for Game Pass for its fiscal year ending June 30, 2022, as part of performance incentives for Nadella and other top executives. But the service only achieved 28% growth.

  • That's two misses in a row. The company also failed to hit the executive pay Game Pass target last year, after exceeding it in 2020.
  • Microsoft doesn't publicize actual Game Pass subscriber target counts, but it said in the filing that its Xbox division has delivered "over 25 million Game Pass subscriptions."
     

Game Pass' growth might also be stalled due to a lack of available major releases. In the last two years, Microsoft has published few big exclusive games, especially compared to rivals Sony and Nintendo — neither of which bundle new releases into their subscription offerings.

 

They'll likely see a growth boom once CoD is theirs.

 

  • Haha 1
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  • 3 months later...
  • Brian changed the title to Phil Spencer hints at future Xbox Game Pass or console price increases at WSJ Live - Update: Japan XSS and XSX gets price increase

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