Microsoft is quietly bringing in billions from its Netflix-like Game Pass service as subscribers top 25 million
- Microsoft's subscription
gamingservice, Xbox Game Pass, has over 25 million subscribers.
- At a minimum of $10 per month, Microsoft is bringing in a quarter billion dollars every month.
Microsoft's video game subscription service,
That's 7 million more monthly subscribers than the company reported a year ago in January 2021.
With a minimum subscription price of $10 per month, Microsoft is pulling in roughly $250 million every month from its video game subscription service. At that pace, Xbox Game Pass subscriptions are positioned to make approximately $4 billion between now and January 2023.
Game Pass has been so successful with video game players because the service offers access to a large library of games on Xbox and
There are a few exceptions: Introductory subscriptions cost $1 for the first month, and Microsoft has offered discounted pricing in the past for subscriptions.
Even with those caveats, it's clear that Game Pass is a highly lucrative revenue stream for Microsoft — and it helps explain why the company was willing to shell out tens of billions of dollars on acquiring major game publishers like Zenimax Media and a planned acquisition of Activision valued at around $68.7 billion.
Soon after the acquisition of Zenimax Media closed, Microsoft added major games from its library to Game Pass — franchises like "DOOM" and "Wolfenstein," among others.
The Activision deal appears to be setting up for the same play: "We will offer as many Activision Blizzard games as we can within Xbox Game Pass and PC
In the not-so-distant future, major franchises like "Call of Duty" and "Overwatch" are headed to the already popular subscription service.
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