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Microsoft admits Xbox Game Pass is Not a Big Money Maker ATM

IntentionalPun

Ask me about my wife's perfect butthole
So prepair for a higher pricepoint for GamePass😉
Yeah, expecting people to actually pay for it lol

MS gave away millions of GP subs for $1 for years worth of it and are still claiming it's not something that bleeds money. (probably because they also sold millions of years of XBL Gold during that)

In ~2 years if they can convert a decent percentage of those $1 deals into full paying customers that should be more than enough revenue.
 
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RespawnX

Member
So prepair for a higher pricepoint for GamePass😉

And for Amazon Prime, Netflix, Spotify ... all this services are running at the lowest price point possible in order to expand their market shares. Wait a few years from now on and than compare the prices. Of course Game Pass will get more expensive as all these kind of services. We are just at the very beginning of this subscription life.
 
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Nikana

Go Go Neo Rangers!
You’re right on this of course, but it’s worth pointing out that Xbox wouldn’t be able to be unprofitable, or run at a loss for long before the shareholders would start kicking up a stink.

An arm of a gigantic, rich corporation is not safe just because it’s part of that huge business. It needs to become, and remain, profitable to sustain its position.

I dont think anyone is arguing that it needs to be profitable but when the rest of your business is successful and you've proven to your shareholders that what you really need is time and confidence to achieve a net profit they are more likely to let the arm do its thing and prosper. Shareholders are willing to wait and see as long as the rest of the business is doing well.
 
While Greensperg is a big, baldy, numb cunt, i don't believe him here.

I think GP is profitable. Not that i could give a fuck either way, it has been a big win for me, playing games i missed years ago without spending a penny
 

FunkMiller

Gold Member
I dont think anyone is arguing that it needs to be profitable but when the rest of your business is successful and you've proven to your shareholders that what you really need is time and confidence to achieve a net profit they are more likely to let the arm do its thing and prosper. Shareholders are willing to wait and see as long as the rest of the business is doing well.

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oagboghi2

Member
Who says it even has to be a money maker? Not every company's product lines always make money.

At one point, Sony's TV division lost money for like 8 years in a row and lost $10 billion. Yet it's still around like nothing happened.
Sony as a corporation might not be a model you want to follow
 

93xfan

Banned
I like Gamepass, but MS made it so cheap who wouldn't want to try it out? Since I mostly game on PC where great deals can be had everyday I will probably drop Gamepass once it expires for me sometime in 2021. At some point MS will stop all the deals and have to make money and when they inevitably start the price hike I'm out.

their hope is that it grows more so they can make money. More subscribers is the key. I usually collect games, but I’m considering going the Gamepass route for the foreseeable future as I like and support what it does and offers.

Also, a number of my friends are considering the same thing, so every week we can download the same games and not have to worry about convincing others to buy a game.
 

Jigga117

Member
Who says it even has to be a money maker? Not every company's product lines always make money.

At one point, Sony's TV division lost money for like 8 years in a row and lost $10 billion. Yet it's still around like nothing happened.
So y still losing money on tv and other divisions. The main source of overall income comes from PlayStation to keep them afloat
 

DeepEnigma

Gold Member
So y still losing money on tv and other divisions. The main source of overall income comes from PlayStation to keep them afloat

What year is it?

They profit in all of their divisions now. Mobile was the most stagnant, and they have downsized accordingly.

They are not "losing money" in them.
 
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DavidGzz

Member
I’m wondering how many people are not taking advantage of the deal. I’m good until early 2023 and will probably pay the normal price once that is over. I have a friend who is paying monthly and told me that the gold conversion is too complicated.
To each their own I suppose.


A lot more than people think. I had to walk my brother and best friend through it or else I'd know 5 people who are paying full price. People who don't visit forums aren't going to be on top of it. They don't know about being able to buy as much Gold as possible before taking the $1 deal. Either way people act like MS is only getting one buck, we all had to buy all that Gold first so MS isn't really getting screwed when millions of people are locking in 2+ years of Gold.
 
If this were a smaller company than i would be worry but since it MS a top 5 richest company in the world as long as the gamepass subscribers continue to grow they won't care about losing money their end game is to be the netflix of gaming service.
 
Ofcourse it's not.. It costs to disrupt an established market.
My fear is that once they gain enough traction and market share, they will abuse their leverage in the market and raise the prize. Too many hungry shareholders:-/
No need to fear Sony and Nintendo will keep the traditional model. It is possible all the console manufactures to be successful depending on what you want from your console. No need to worry about these companies bottom lines unless you are a major stock holder. Just play the games.
 

iNvid02

Member
Ms didn't end up with a fuck tonne of cash because they are charitable. The money came from somewhere. And if you assume they are intelligent because they are rich, then explain all their failures with Zune and Windows Phone. It is such a HUGE fallacy to say "rich people are smarter".

I am reminded of Magic Leap, the AR glasses that was supposedly legit only because they were getting millions of dollars of funding. "Rich people can't be wrong", they said. Well, that's what happens with all frauds. You don't defraud the poor because the poor have no money.

The only person equating wealth with intelligence is you. Your whole post is invalid.

It is obvious they are taking a hit or accepting low margins on gamepass because they view it as a worthwhile investment to become the netflix of games.

Regardless, gamers being "concerned" for a multi billion dollar corporation's vision and scheming to become dominant are hilarious
 
The only person equating wealth with intelligence is you. Your whole post is invalid.

It is obvious they are taking a hit or accepting low margins on gamepass because they view it as a worthwhile investment to become the netflix of games.

Regardless, gamers being "concerned" for a multi billion dollar corporation's vision and scheming to become dominant are hilarious
I am not concerned. Stop pretending that i am. I KNOW what Gamepass leads to, I merely want no part in it. And I also find it sickening that attempts were made to pretend MS is being charitable. Trying to make this a morality issue is where MS pr wanted to go, it is where the willing deceived will get exactly what they asked for.
 
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