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Phil Spencer Explains Microsoft’s Difference For Xbox Game Pass To Netflix In Recent Interview

Among the ranks of platform holders, it is no secret the position Xbox currently sits in compared to Nintendo & PlayStation: last place. However, Microsoft remains adamant on reshaping the industry more than two decades later as it has been a wildcard for the market since its inception. Currently, Xbox Game Pass is the new pioneering move as the business model has truly kept Xbox on the map for a handful of years now.

Previously, it was confirmed in the developing acquisition battle with courts & regulators across the globe that the service does cannibalize titles on its platform. However, the traction that comes for featured titles is undeniable. Additionally, Microsoft has also proven the service to be a profitable business model. In its last earnings call, it was revealed over $1 billion was generated for Xbox Game Pass alone.

Another comparison of the service is to streaming conglomerate Netflix. But according to an interview with The Guardian, Microsoft Gaming CEO Phil Spencer draws the line where both subscriptions differ.

Look at the stats. The number of games that are in Game Pass relative to unique videos on Netflix is vastly, vastly different. I think we’re somewhere between 300 and 400 games. It’s still a lot, but we’re not trying to inundate you. When I get negative feedback on Game Pass, it’s when quality isn’t what people expected.

But then there’s a marginal cost for them in trying something they would’ve never tried before. If there’s any signal, it’s how are our players feeling – how’s the subscriber number going, and are creators coming back? Game Pass creates this interesting content fund for us to go out and work with partners early on in their progress.

“I wouldn’t call [Game Pass] a minimum guarantee, but we’re obviously signing up when they launch that there’s money coming from the content fund, which then has them maybe aspire to do something a little different. I love that – I wanna see creativity from the creators,” Spencer elaborates further with.

One of the biggest moves Microsoft has established for Xbox Game Pass is officially shelving one of its biggest deals for the service. Earlier in 2023, it was confirmed that the Xbox firm would be trashing the $1 deal for Xbox Game Pass Ultimate offering a three-month plan to new members. You can read the full report by heading here.

What is your thoughts from Spencer’s comment?

Source: The Guardian

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