Microsoft Reveals How Much Money Xbox Game Pass Makes, and It’s a Lot

[Tsing]

The amount of money that Microsoft makes from its Xbox Game Pass service has become less of a secret thanks to new documents that have emerged as part of Brazil's inquiry into the Windows maker's proposed acquisition of Activision Blizzard, which was recently approved by CADE, the country's national competition regulator.

Go to post

 

[Brian_B]

Huh. Who would have thought all those $1 Taco Bell giveaways would add up? I guess if they forget to cancel and get hit with a few months at full price…

 

[MadMummy76]

This is the same market strategy as loan purchases. You are basically buying games on a planned payment. Because $10 every month gets mixed in with other expenses and doesn't seem significant. Even if you ultimately end up paying more than you'd have spent on games.

 

[Burticus]

I have to wonder how many full price purchases were negated by this buffet style gaming service. But I suppose it is more lucrative to have a billion people paying a monthly sub than millions buying games here and there? It doesn't really make sense to me.

 

[MadMummy76]

I have to wonder how many full price purchases were negated by this buffet style gaming service. But I suppose it is more lucrative to have a billion people paying a monthly sub than millions buying games here and there? It doesn't really make sense to me.

It's all about steady and projectable income. This is the wet dream of investors, guaranteed returns. That's why gaming companies try desperately to force subs over intermittent individual purchases. Even if ultimately they make slightly more money in the end with individual purchases a guaranteed steady income is preferred by the market.