PlayStation Boss Jim Ryan Claims Video Game Publishers Believe Xbox Game Pass Is ‘Value Destructive’

gadgets.ndtv.com:

PlayStation boss Jim Ryan has claimed that video game publishers unanimously agree that Xbox Game Pass is “value destructive.” As part of the ongoing trial involving Xbox parent Microsoft and the US FTC, Ryan appeared in a pre-recorded video deposition, addressing his concerns regarding Microsoft's $69 billion (about Rs. 5,66,128 crore) acquisition of Activision Blizzard. He stated that Microsoft's business model for Game Pass has some challenges, and it isn't profitable for the company. He further claims to have spoken to publishers whose titles are currently available on the service, and they seem to dislike it as well.

“I talked to all the publishers and they unanimously do not like Game Pass because it is value destructive,” Ryan said in his testimony (via IGN). This contradicts Microsoft Gaming CEO Phil Spencer's claims from last year, where he stated that the subscription service is “very, very sustainable” and that the company was not burning cash aimlessly. It is also worth mentioning that most Game Pass titles announced this year at Xbox's showcase were from returning publishers, proving there's some trust built up. That said, Xbox did recently raise the prices for its Game Pass subscriptions around the world. Sony fears that once the deal between Microsoft and Activision closes, Call of Duty would become exclusive to Xbox. Team Green, however, is willing to come to a 10-year agreement that would ensure the franchise's games release in parity on PlayStation's consoles — even going into next-gen in 2028.

Ryan added that when Microsoft announced its acquisition in early 2022, Spencer reached out to him with a ‘potential letter of agreement,' alongside a list of games that Xbox is committed to keeping in parallel