As part of the ongoing FTC v Microsoft hearing in court, PlayStation CEO Jim Ryan had a lot to say about Xbox’s Game Pass service – and it wasn’t pretty. The news comes as part of a wave of reveals from the hearing, including the accidental leak of some juicy new details about just how much PlayStation games cost to develop.
As documented by The Verge, an investors meeting attended by Jim Ryan was discussed in yesterday’s hearing, which featured the following comment from Ryan on Microsoft’s acquisition of Activision Blizzard, and their push to make Game Pass succeed:
“That has driven them to make a large acquisition. I talked to all publishers, and they unanimously do not like Game Pass because it’s value destructive.” – Jim Ryan on publisher opinion of Xbox Game Pass.
When this investor meeting was discussed, Ryan doubled down on his comments, with his reinforcement that “I talk to publishers all the time, and this is a very commonly held view over many years by the publishers.” This alleged concern by publishers about the reduction in sales when games are sent to subscription services is one that Microsoft itself has previously admitted happens to games on their Game Pass service.
PlayStation responded to Xbox Game Pass with its own subscription service, but offers very few launch day releases, especially from first-party developers. The skyrocketing cost of AAA game development results in Sony’s preferred traditional sale strategy, even if it makes their subscription service look a lot weaker.
What do you think about gaming subscription models, and the impact they have on publishers? Let us know in the comments below, and be sure to keep your eyes on GameLuster for more breaking news. Also, be sure to check out the rest of our Microsoft-Activision Blizzard coverage.
