In its response to the CMA, Microsoft said Xbox Game Pass is still sitting at 25 million subscribers even though the company was targeting 35 million in fiscal 2022.
Microsoft has declared that Xbox Game Pass is still stuck at 25 million subscribers , although the company expected to reach 35 million during the 2022 fiscal year: this can be read in the response that the Redmond house sent to the CMA in the Scope of Activision Blizzard Acquisition Assessments.
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As we know, addressing the same commission , Sony declared that there are 29 million Xbox Game Pass subscribers, and it is clear that the two versions do not match: it will be necessary to understand which of the two companies has communicated inaccurate data to take advantage of it in the face of the English antitrust.
In the document drawn up by Microsoft, dated October 31, we read that “Since its launch in 2017, Game Pass has gradually grown to approximately 25 million subscribers. As above, this is 10 million fewer subscribers (28%) than what was forecasted for Fiscal Year 2022.”
Further on in the report, the Redmond company even goes so far as to say: “The reality is that Game Pass has no market power today. The CMA would need to show that: not only is Activision content, specifically Call of Duty, important to subscription services (where it currently isn’t offered to any material degree) – but this has enough market power to “power up” Game Pass and accelerate its growth way beyond anything that Game Pass has been able to achieve to date; and that this alone will undermine and weaken all other subscription services that either do not exist yet or currently do not rely on Activision content for any of their offerings. This is extremely implausible.”
And finally: “Game Pass is an opportunity for Microsoft to offer increased value to gamers and the inclusion of Activision content (Call of Duty in particular) to this service helps differentiate Game Pass from other rival services.”
“There is no supporting evidence to indicate that subscription will become the predominant monetization model or, crucially, that the availability of Call of Duty on Game Pass will be the reason for that change.”
