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In PlayStation they reject Xbox Game Pass again as a business to follow and explain their reasons

May 11, 2022
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The company is soon launching a reworked PS Plus, but it’s still keeping its distance from Microsoft’s idea.

PS Plus

Although Xbox Game Pass and PS Plus, at their two higher levels, give access to an extensive catalog of video games, the ambition for releases of their responsible companies is very different. The latest proof of this comes to us from the mouth of Hiroki Totokifinancial director of Sony, who wanted to make clear the consequences for the company at a creative level of betting on a business model similar to that of Microsoft.

I will avoid commenting on the competitor’s strategyHiroki Totoki“I will avoid commenting on the strategies of the competition,” said the CFO during the most recent talk with shareholders of the multinational. “Our current idea is to have adequate development costs and investments in R&D to offer quality products, capable of improving the platform and our business in the long term. If we had to distribute triple-A games on PS5 through subscription services, we may have to reduce the investment required, with the corresponding deterioration of its quality“, he added.

In this way, Hiroki Totoki makes it clear again that, today, from PlayStation they see it as impractical to maintain a service like Xbox Game Pass, since doing so could result in a general drop in investment in its catalog of exclusives.

In the passage it was Jim Ryan, CEO of PlayStation, who stated his position against betting on a business model like that of Phil Spencer’s company. “Developing games cost many millions of dollars, some more than 100, and we don’t see that as something sustainable“, declared shortly before the launch of PS5.

Yesterday a loss of PS Plus subscribers was reported, although the Japanese company hopes to return to growth very soon. And in the background the PS5 distribution data, greatly affected by the global supply crisis.

More about: PlayStation, Xbox Game Pass, PS Plus and Sony.

Tags: businessexplainfollowGamepassPlayStationreasonsRejectxbox

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