Comment on Microsoft spending $1B annually on third-party Xbox Game Pass titles
Zehzin@lemmy.world 9 months agoThere’s a difference between “profitable” and “how much money Microsoft wants to make after investing billions in something”
Comment on Microsoft spending $1B annually on third-party Xbox Game Pass titles
Zehzin@lemmy.world 9 months agoThere’s a difference between “profitable” and “how much money Microsoft wants to make after investing billions in something”
RvTV95XBeo@sh.itjust.works 9 months ago
I get what you’re saying and I’m sure all the MBAs at Microsoft are shitting bricks, but I never fully understand why a company would be disappointed with a service like this one even doing only slightly better than breaking even.
Not everything needs to have infinite growth and gigantic margins as long as $-in > $-out.
Gigan@lemmy.world 9 months ago
Opportunity cost. The money they are spending on Gamepass could be spent on something else with a better return.
victron@programming.dev 9 months ago
I get what you saying, but I think (when it comes to video games) MS is in not position (and hasn’t been for a while) to spend in something that doesn’t gives them a solid profit. I like Game Pass, but since 2021 I subscribe only any other month or so, the novelty wore off and I have a big enough backlog to keep me occupied. MS needs (hear me out lol) some strong first party AA line up to make GP attractive.
deus@lemmy.world 9 months ago
I bet MS agrees with you which is probably why they’ve bought Bethesda and Activision Blizzard.