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“People don’t buy songs on iPhone for example, because why would you?
They’re all on your subscription service app.
“So we have to be careful we don’t create the same system in the game business.
These markets are more fragile than people realize.
I saw the games industry destroy itself in the early ’80s.
As a consumer, Fries said he loves the concept of subscription services like Game Pass and Spotify.
“It’s a great deal as a customer.
But it isn’t necessarily great for the industry,” Fries said.
Fries is not the only person connected to video games that has spoken critically of Game Pass.
But he wondered if it makes sense for new releases.
And as such, thinking about Game Pass as the “Netflix of Games” might not be appropriate.
“Consumers who are involved with interactive entertainment have different consumption patterns than those involved with linear entertainment.
Linear entertainment consumers consume something like 150 hours of programming a month.
That’s probably well over 100 different titles.
But it’s certainly not 100 titles.
“The world of subscription is a worry.
That’s the one that keeps us up at night.”
“For them, they’ve protected themselves from any downside risk.
The game is going to get made.
Then they have all the retail upside, we have the opportunity for day and date.
That would be a flat fee payment to a developer,” he said.
The indie game Descenderssaw its sales quadrupleafter it arrived on Game Pass, for example.
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