@Daniel Mcg Enjoyed the video. It hit on key points that I felt were relevant. I read the counterpoint comments about costs vs profits argument that another posted here, which have some relevance. But without knowing how much devs truly get paid up front, it's only speculation at work and let's be real, not many disputing GP profitability takes those things into account anyway. MS trying to win profit, not win arguments.
Interesting video. I do the math myself with Sony last Q4 22 earnings, and it's really posible Game Pass makes more money that PS First Party and PS Plus together. However, I think PS possibly makes more money than Xbox as a whole.
game pass ultimate is literally the best and I have it until December 2025 and will renew indefinitely game pass has at least 50 million users... pc game pass has increased exponentially I just bought payday 3 gold edition and will buy the full $90 cod mw3 because dlc isn't free... we still buy games and support devs
Gp has way more than 30 million subs because Xbox live subscribers are now game pass subscribers. Then starfield and Motorsport adding a lot more. I would say game pass subs could be over 50 million if not a lot more. So you may be off by double your estimate
This is true but the day before the XBL to GP Core switch they had some number of paying XBL users and paying GP users. Afterwards, that combined amount was still the same. So yes, the GP number "went up" but the XBL Gold number went to zero. This is not a complaint or criticism, just a reality check that from now on, there's no split sources of revenue from a categorization perspective. "Everyone" is a Game Pass user if they wanted to pay for online gaming.
@SpaceShot this is true. I tried to address it in the video, but maybe not well enough, this math changes a lot when the gamepass core sku starts up the subscriber numbers to gamepass will go up and so will the amount of money gamepass .akes but that increase is money Xbox was already making just as xbl and not gamepass
For me Second Party is as important as First Party. Ratchet and Clank, Sly Cooper, Infamous, or even the first Spider-Man are Second Party. What is important is the Publishing, and because all this games are Published by Sony Interactive Entertainment they are first party. Ownership of the developer is overrated.
Completely wrong. You ignored the most important part. How much of the 5billion is left After Xbox game pass pays for the games on their service at the end of the month. With PS just 3 games get you over 1billion and 33% of that is profit. We have the most recent financials from xbox this year (you could’ve used those should have your numbers more weight) game pass is under 4Billion with No report on Profit. Only that revenue grew 7% so this should give you a good idea game pass profit margin is way less than 33% they are not making money.
That's partially true but let's assume Xbox spends the same amount on first party in a year that PlayStation does hell let's be extremely generous and pretend they spend the full production cost and advertisment cost of 3 last of us 2 sized games in a year that's about 900M what games in game pass do you think would cost them the other 2.8 billion dollars it would take to be less profitable than playstation?
@@danielmcg94 thanks for the reply. Are we forgetting that games pass has 400 other games? Those devs need to be payed. The ones that are put on the service after initial cart sales may cost less than a million and day one indies are probably 400k-2Million and the AAA 3RD part games those probably in the 5 to 10’s of Millions. Gamepass isn’t only Xbox first part everyone gets a cut. Eg MLB THE SHOW, Sony gets a cut of that being on GP.
yes, they definitely spend money to get those games in there but there's absolutely no reality in which those deals even approach 1 billion let alone 2.8 the majority of games in the service are either indie games or older 3rd party games looking for a second chance not exactly things they would need to roll out the red carpet for
@@danielmcg94 I think your grossly underestimating how much a video game cost. Especially the older games that you think don’t get the red carpet treatment. Those games are incredibly expensive. Some older games on the service are XxX the price of some indies. Licensing fees probably make up the bulk of the cost of the games on the service, especially the older games. There is a reason some big movie publishers rather scrub a movie than release it. To avoid licensing fees. The 400 other games on that service is where I would say %90 of revenue is eaten up in cost of licensing the game. The other 10% is to advertise the service.
well, I think this is where we're going to have to agree to disagree but I do appreciate you doing so without being an ass hole because I promise you check this comment section in a couple of days and there will be plenty of those
Let me know what you think. Am I the crazy one?
We missed you ❤️
Thanks! I always miss making content
I am so confused how people dont understand that gamepass is the Netflix of games
its honestly crazy
@Daniel Mcg Enjoyed the video. It hit on key points that I felt were relevant. I read the counterpoint comments about costs vs profits argument that another posted here, which have some relevance. But without knowing how much devs truly get paid up front, it's only speculation at work and let's be real, not many disputing GP profitability takes those things into account anyway. MS trying to win profit, not win arguments.
Yeah exactly
Interesting video. I do the math myself with Sony last Q4 22 earnings, and it's really posible Game Pass makes more money that PS First Party and PS Plus together. However, I think PS possibly makes more money than Xbox as a whole.
That's definitely possible with playstation being the defacto place for so many people to buy and play 3rd party titles
game pass ultimate is literally the best and I have it until December 2025 and will renew indefinitely
game pass has at least 50 million users... pc game pass has increased exponentially
I just bought payday 3 gold edition and will buy the full $90 cod mw3 because dlc isn't free... we still buy games and support devs
its pretty great 50M feels like a lot but hell maybe
Gp has way more than 30 million subs because Xbox live subscribers are now game pass subscribers. Then starfield and Motorsport adding a lot more. I would say game pass subs could be over 50 million if not a lot more. So you may be off by double your estimate
It's definitely possible but I guess We won't know until they say something
@@danielmcg94 hopefully we will get numbers soon
This is true but the day before the XBL to GP Core switch they had some number of paying XBL users and paying GP users. Afterwards, that combined amount was still the same. So yes, the GP number "went up" but the XBL Gold number went to zero. This is not a complaint or criticism, just a reality check that from now on, there's no split sources of revenue from a categorization perspective. "Everyone" is a Game Pass user if they wanted to pay for online gaming.
@SpaceShot this is true. I tried to address it in the video, but maybe not well enough, this math changes a lot when the gamepass core sku starts up the subscriber numbers to gamepass will go up and so will the amount of money gamepass .akes but that increase is money Xbox was already making just as xbl and not gamepass
I WANTED GAME PASS WHEN I WAS A KID BUT I MIGHT GET IT
its a good time
The toughest decision about Game Pass is figuring out what game to play next.
For me Second Party is as important as First Party. Ratchet and Clank, Sly Cooper, Infamous, or even the first Spider-Man are Second Party. What is important is the Publishing, and because all this games are Published by Sony Interactive Entertainment they are first party. Ownership of the developer is overrated.
Completely wrong. You ignored the most important part. How much of the 5billion is left After Xbox game pass pays for the games on their service at the end of the month. With PS just 3 games get you over 1billion and 33% of that is profit. We have the most recent financials from xbox this year (you could’ve used those should have your numbers more weight) game pass is under 4Billion with No report on Profit. Only that revenue grew 7% so this should give you a good idea game pass profit margin is way less than 33% they are not making money.
That's partially true but let's assume Xbox spends the same amount on first party in a year that PlayStation does hell let's be extremely generous and pretend they spend the full production cost and advertisment cost of 3 last of us 2 sized games in a year that's about 900M what games in game pass do you think would cost them the other 2.8 billion dollars it would take to be less profitable than playstation?
@@danielmcg94 thanks for the reply. Are we forgetting that games pass has 400 other games? Those devs need to be payed. The ones that are put on the service after initial cart sales may cost less than a million and day one indies are probably 400k-2Million and the AAA 3RD part games those probably in the 5 to 10’s of Millions. Gamepass isn’t only Xbox first part everyone gets a cut. Eg MLB THE SHOW, Sony gets a cut of that being on GP.
yes, they definitely spend money to get those games in there but there's absolutely no reality in which those deals even approach 1 billion let alone 2.8 the majority of games in the service are either indie games or older 3rd party games looking for a second chance not exactly things they would need to roll out the red carpet for
@@danielmcg94 I think your grossly underestimating how much a video game cost. Especially the older games that you think don’t get the red carpet treatment. Those games are incredibly expensive. Some older games on the service are XxX the price of some indies. Licensing fees probably make up the bulk of the cost of the games on the service, especially the older games. There is a reason some big movie publishers rather scrub a movie than release it. To avoid licensing fees. The 400 other games on that service is where I would say %90 of revenue is eaten up in cost of licensing the game. The other 10% is to advertise the service.
well, I think this is where we're going to have to agree to disagree but I do appreciate you doing so without being an ass hole because I promise you check this comment section in a couple of days and there will be plenty of those