Which is exaclty my whole point lmao. You guys saying Microsoft are losing out on all this money when there not really. Halo 3 the best selling halo done $600m (reported 3 years after launch) no gears of war game has done more than $300-$350m total...no Forza game has done $300m total.
No, I never said that, they're just switch a few dollars from one pocket to another. from sales to rental services.
At the end of the day... there isn't more money.
So if 8M people are paying $10 a month on game pass that's:
$80M a month
$960M a year
Doubtful, but we don't have solid numbers, we know revenue has been flat to down for years. (no growth) Basically, at best is switching money from one pocket to another... from sales to rental i.e. services. Total numbers don't look like some type of shift.
The problem is.... 8m people probably aren't paying $10 a month and that probably isn't enough to support lots of major AAA game development.
Even if we're to entertain this silliness If Gamepass was to stay stagnant at 8M for 3 years that's $2.88B you could fit Halo 3/Reach/4 and the entire Gears of war revenue into that. And You can bet it'll be bigger than 8-10M in 3 years
But even we assume those numbers (which I doubt), what are the cost to provide the subscriptions and to pay third parties per subscription i.e. costs?
I never said game rentals couldn't be an additional revenue stream, they have been since the early 90s.
Game development is front loaded, meaning unless you have a one-off f2p hit or something... generally the money is going to be made in the first 3-6 months... the rest is just crumbs.
There is nothing wrong with rentals now... or even the early 90s from the rental store... its just the majority of game dev costs are going to have to be from sales.
I will say the same thing I said a year ago... this is a long tough road.
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