Recently, Microsoft found itself in hot water when the US Federal Trade Commission accused the tech giant of offering a “degraded” Game Pass experience. The FTC warned that this could result in consumer harm, especially following Microsoft’s acquisition of Activision Blizzard. In response, Microsoft issued a statement refuting the FTC’s claims and labeling them as “misleading” and “extra-record”.
Changes in Game Pass Pricing and Tiers
Microsoft had announced a hike in the price of the PC Game Pass, raising it from $9.99, €9.99, or £7.99 per month to $11.99, €11.99, and £9.99. Additionally, they introduced a new ‘Standard tier’ for Xbox Game Pass for console players, which is cheaper but lacks day-one access to new games. The FTC’s concern about a degraded experience stems from this new tier model.
Microsoft’s response clarified that the discontinued Game Pass for Console did not include multiplayer functionality, which had to be purchased separately, increasing the total cost. While the Game Pass Ultimate’s price is set to rise, Microsoft assures that the service will deliver greater value with the inclusion of new games on the day of their release, such as Call of Duty.
FTC’s Focus and Microsoft’s Counters
The FTC’s focus on the possibility of Call of Duty being withheld from rival platforms was debunked by Microsoft, stating that the game is not exclusive to Game Pass and remains available to all interested parties. They also pointed out that PlayStation’s subscription service continues to do well despite having fewer new games available day-and-date.
In my personal opinion, a price increase or a reduction in features like day-and-date releases does indeed constitute a degraded consumer experience. The inclusion of multiplayer in the lower tier does not offset this impact, especially for PC gamers who are accustomed to free online multiplayer gaming. The lack of a lower tier for PC Game Pass makes the increased cost unjustifiable.
The clash between Microsoft and the FTC highlights the challenges of balancing price adjustments and service offerings in subscription models like Game Pass. While Microsoft defends its decisions as enhancing value, consumers may view these changes differently, especially when essential features are affected. The debate surrounding this issue is likely to continue as the gaming industry evolves and adapts to changing consumer preferences.
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