Key Takeaways
1. Microsoft has lost over $300 million in earnings by including Call of Duty in Xbox Game Pass.
2. Developers of Call of Duty: Black Ops 7 believe higher Game Pass rates may lead to increased revenue and more creative control.
3. Activision executives are more optimistic about the franchise’s future, while gamers are unhappy with recent price hikes.
4. Xbox Game Pass Ultimate will cost $29.99 monthly, and some benefits, like discounts on Call of Duty DLC, have been removed.
5. Despite a drop in Game Pass sign-ups, analysts suggest the new pricing strategy may attract both dedicated and casual gamers.
Call of Duty games have been a major highlight on Xbox Game Pass since Microsoft acquired Activision Blizzard. Still, reports show that Microsoft has lost upwards of $300 million in earnings by including the shooter in the service. One source mentions that the studio behind the game is feeling more positive now due to increased Game Pass rates.
Industry Reactions
Even with the negative feedback aimed at Microsoft, not all industry players are against the price hike for Xbox Game Pass. A leaker known as TheGhostOfHope has reported discussions with developers working on the next installment, Call of Duty: Black Ops 7. These developers believe that the higher rates would lead to “more revenue, which gives them more control over their future and what they can accomplish”.
The studio pointed out that with the price increase, they will have to rely on creating games that sell more units to earn bonuses. It’s thought that having Call of Duty games available through the service has significantly lowered the number of copies sold. If more players choose to purchase the shooter instead, this trend could increase bonuses for the developers post the Black Ops 7 launch.
Changing Perspectives
Activision’s executives are feeling more positive about the future of the franchise. In contrast, gamers seem less thrilled. Microsoft announced that, starting October 1st, the premium tier will cost U.S. subscribers $29.99 monthly. Aside from PC Game Pass, which also saw a price raise, players will need Xbox Game Pass Ultimate to gain access to new releases on their launch dates.
To make matters worse, the company has also taken away benefits like discounts on Call of Duty DLC. Instead, subscribers will earn more reward points with their purchases. These updates come alongside yet another price hike for Xbox consoles from Microsoft.
Future Outlook
Analyst SuperJoost recently released figures indicating a steady drop in Game Pass sign-ups. It might seem reasonable that the increased prices could lead to even fewer new subscribers. Yet, he posits that by appealing to both dedicated and casual gamers, the revised pricing strategy will draw in more customers.
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