SlimySnake
Flashless at the Golden Globes
Trigger warning: This might come across as bit of a blogpost, but I think the current Netflix predicament is something Microsoft will run into eventually with Gamepass.
Netflix, the king of streaming, just lost subscribers for the first time in 10 years. Stock went from $350 down to $220 at one point. Mind you, this is a service with 200 million subscribers and a revenue of $25 billion a year. And yet, everyone freaked out after they lost instead of gaining subscribers. As if stockholders are surprised that they were never going to stop gaining subscribers. There is always a cap. This is it for streaming. 200 million isnt enough?
This brings me to Microsoft, Gamepass and how a lot of people on this board believe that the future of gaming is subscriptions. Microsoft is at 25 million users right now. half of the number of consoles they sold last gen. What is the ceiling for Microsoft? 50 million? 100 million? Will they ever get there?
I highly doubt that they will ever get to 100 million. I think if they get to 50 million and stay there, that's a massive success. Console Gaming isnt as popular as tvs and movies. Disney has 100 million subscribers. HBO 50 million and Netflix 200 million. Combined other services and we are looking at maybe 400 million divided between 4-5 big players. For gaming, that slice of piece is even smaller. 200 million users per generation for MS and Sony. How many of those will subscribe to gamepass especially if MS can only sell 100 of those 200 million consoles.
I have come around on Gamepass but I dont think its sustainable in ways people think. They will hit a ceiling in a few years. If not earlier. It will be a good alternative service, but people will pay good money to buy AAA games just like how they paid to go watch Spiderman and Batman. I just dont see it being the FUTURE of gaming. Future of gaming will be games, not services.
Netflix, the king of streaming, just lost subscribers for the first time in 10 years. Stock went from $350 down to $220 at one point. Mind you, this is a service with 200 million subscribers and a revenue of $25 billion a year. And yet, everyone freaked out after they lost instead of gaining subscribers. As if stockholders are surprised that they were never going to stop gaining subscribers. There is always a cap. This is it for streaming. 200 million isnt enough?
This brings me to Microsoft, Gamepass and how a lot of people on this board believe that the future of gaming is subscriptions. Microsoft is at 25 million users right now. half of the number of consoles they sold last gen. What is the ceiling for Microsoft? 50 million? 100 million? Will they ever get there?
I highly doubt that they will ever get to 100 million. I think if they get to 50 million and stay there, that's a massive success. Console Gaming isnt as popular as tvs and movies. Disney has 100 million subscribers. HBO 50 million and Netflix 200 million. Combined other services and we are looking at maybe 400 million divided between 4-5 big players. For gaming, that slice of piece is even smaller. 200 million users per generation for MS and Sony. How many of those will subscribe to gamepass especially if MS can only sell 100 of those 200 million consoles.
I have come around on Gamepass but I dont think its sustainable in ways people think. They will hit a ceiling in a few years. If not earlier. It will be a good alternative service, but people will pay good money to buy AAA games just like how they paid to go watch Spiderman and Batman. I just dont see it being the FUTURE of gaming. Future of gaming will be games, not services.