Microsoft admits: the Game Pass service hurts game sales - voila! The gaming channel

Xbox Game Pass (Microsoft)

In recent years, there has been a sharp turn in the players' game consumption model, and both Microsoft and Sony now offer services of extensive game libraries for a monthly fee.

Just like the Netflix of gaming.

One of the benefits, at least from Microsoft's side, is to also offer new games on the service on their launch day.

Although this is a decision that most consumers may be in favor of, and although it contributes greatly to the Game Pass service and its number of monthly subscribers in the long run, even Microsoft itself admits that this new model hurts individual game sales.

This information comes from a report published by the UK Markets and Competition Authority. Click here to read the report in full>>>

The report refers to the investigation conducted by the Authority for Markets and Competition during the last few months regarding the approval of the giant purchase of Activision-Blizzard by Microsoft. One of the sections states very clearly: "Microsoft's internal documents are aware of the fact that adding titles to the Game Pass service" will perform cannibalization "In B2P (Buy to Play) game sales." The report does not indicate how much of a decline Microsoft has experienced in game sales since the launch of the service.

"Microsoft is aware of the fact that adding titles to the Game Pass service will "cannibalize" game sales" (Photo: screenshot, CMA)

The report also refers to Microsoft, which, for its part, is trying to change the consumption habits of gamers, just as services such as Netflix or Spotify have done for other consumer audiences. It sees services such as Game Pass as the future and the standard of the industry, and it is likely that the consistent number of subscribers to the service -Game Pass is more important to her than one-time sales of games worth 60-70 dollars.

Microsoft has not hidden that it is interested in opening a mobile store that will compete with Google and Apple, and the approval of the purchase of Activision-Blizzard-King is a very significant part of this future strategy.

Only a week Last year, the Markets and Competition Authority published the findings of its report and it determined that the approval of the Activision-Blizzard purchase is a step that may harm consumers.

Microsoft, for its part, defended its position and claims that the opposite is true.

An antitrust lawsuit was also recently filed against Microsoft on behalf of the Commerce Authority in the USA,

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