Xbox’s Latest Move With Game Pass Won’t Impact Sales, Will Benefit In Long Run: Pachter

Wedbush analyst Michael Pachter says it's a "clever way" to provide content for a "reasonable price".

Posted By | On 23rd, Jan. 2018

Xbox One X

Microsoft recently announced that Xbox Game Pass subscribers would be receiving future Microsoft Studios titles on the same day as other outlets. So instead of receiving Rare’s Sea of Thieves at a later date, it’ll be added to the Xbox Game Pass library on the very same day of launch i.e. March 20th. It also confirmed that future titles like Crackdown 3, State of Decay 2 and upcoming games in the Halo, Forza and Gears of War series will follow the same pattern.

What are the implications for Microsoft though, especially when it comes to first party titles and the Xbox One/Xbox One X as a whole? GamingBolt spoke to Wedbush Securities analyst Michael Pachter about the same.

Pachter said that, “I don’t think it means anything for console sales. It’s a clever way to give consumers access to a lot of content for a reasonable price, and nothing more than that. For the price of two new games per year ($120), a Game Pass subscriber can play all Microsoft first party content (at least two AAA titles) plus 100 more games.

“It’s a good deal if somebody intends to buy at least one Microsoft release per year, and with so many Halo, Forza and Gears fans, they should see a lift in subscriptions. I don’t see any correlation to console sales, but maybe this program will benefit them over the long run.”

Given how the typical Xbox One title costs $60, will Microsoft be incurring any losses since Xbox Game Pass is available for $9.99 per month? What will the impact be on game development costs and launch sales?

Regarding Microsoft taking any losses, Pachter replied, “I don’t think so.” He also added that, “Theoretically, someone could sign up for a month and quit, but the majority of people sign up and remain members for at least a year.”

Time will tell how feasible this strategy this is for Xbox One, especially if Microsoft really wants to push Xbox Game Pass as the de facto reason for owning the console. Regardless, what are your thoughts on the same? Let us know in the comments.


Keep On Reading!

Fairgame$ Officially Cancelled Over 3 Years After Its Announcement

Fairgame$ Officially Cancelled Over 3 Years After Its Announcement

An alleged internal email cites mixed "player feedback and retention results" alongside "challenging market co...

Monster Hunter Wilds: Ascendance Beta Listing Reportedly Spotted on SteamDB

Monster Hunter Wilds: Ascendance Beta Listing Reportedly Spotted on SteamDB

Much like the base game and previous releases, Capcom could be preparing a beta test for the expansion ahead o...

The Division 2: Echoes of Central Park Review – Scary and Satisfying

The Division 2: Echoes of Central Park Review – Scary and Satisfying

The Division 2 takes us to a corner of NYC that doesn’t pull its punches, delivering a neat little adventure...

The Outer Worlds 2: Side Effects Guaranteed Out on December 2nd, Adds “Hours of New Content”

The Outer Worlds 2: Side Effects Guaranteed Out on December 2nd, Adds “Hours of New Content”

The first of a two-part expansion retails for $14.99 and offers a new location, companion gear, Perks, Flaws, ...

GTA 6’s Biggest Leap Could Be How the World Reacts to Your Crimes

GTA 6’s Biggest Leap Could Be How the World Reacts to Your Crimes

Is it even a GTA game if you’re not committing any crimes? But we think GTA 6 could make getting away with t...

The Legend of Zelda: Ocarina of Time Remake Review – Masterclass

The Legend of Zelda: Ocarina of Time Remake Review – Masterclass

The Legend of Zelda: Ocarina of Time Remake's new visuals and great performance make this a beautifully paced ...