Business Models
Ongoing coverage on Business Models.
Latest coverage
BioWare co-founder says EA's Saudi Arabia buyout was "the final nail in the coffin" for the RPG studio: "It's easier just to pump out sports games"
BioWare co-founder Ray Zeschuk believes Electronic Arts' acquisition by Saudi Arabia's Public Investment Fund was the final blow to the RPG studio, citing concerns over human rights and potential policing of game content. Zeschuk suggests EA will now prioritize sports titles and Battlefield over complex RPGs like Mass Effect and Dragon Age.
Vague Patch Notes: The business models of MMO expansion bundling
This article analyzes the evolving business models of MMO expansion bundling, contrasting traditional retail expansions with newer, piecemeal approaches. It examines how separating content like new races or classes from core area updates can benefit players and developers, but also discusses potential drawbacks such as a focus on selling individual items over cohesive content.
Palworld picks spin-offs over a Fortnite-style metaverse because "maximizing revenue as quickly as possible isn’t what drives our creative decisions," says Pocketpair lead
Pocketpair's John Buckley stated that the company prioritizes creating fun games over maximizing revenue quickly, opting for spin-off titles like Palfarm instead of a Fortnite-style metaverse. This independent, self-funded approach allows for distinct gameplay experiences and identities for each project.
This should be game streaming’s moment. It's not | Opinion
Despite the highly anticipated launch of Grand Theft Auto VI and expensive, scarce console hardware, game streaming is failing to gain traction. The article argues that the current market conditions, including high hardware prices and the shift of data center resources to AI, have created a perfect storm for streaming's potential breakthrough, yet industry disinterest and a questionable business model suggest it may not become a significant distribution method.
Xbox denies reports it's acquired exclusive GTA 6 game-streaming rights, deflating hopes of playing it on PC
Xbox has denied reports that it secured exclusive game-streaming rights for Grand Theft Auto 6, particularly for PC. While the game will be available on Xbox Cloud Gaming, it will not be exclusively streamed or available on PC through this service. Xbox is also adjusting its cloud gaming offerings with new subscription tiers and playtime limits.
Xbox CEO Asha Sharma insists "Xbox is not for sale"
Xbox CEO Asha Sharma has stated that the Xbox division is not for sale, pushing back against speculation of a potential spin-off from Microsoft. This comes amid significant restructuring, including staff cuts, studio closures, and the transfer of franchises like Halo. Game Pass has also reportedly missed subscriber targets.
Dune Awakening's creative director on copying Hollywood, in-game advertising, and why style beats photorealism
Funcom's Chief Creative Officer Joel Bylos discusses Dune Awakening's development, including its relationship with Legendary and the shift towards more stylized graphics over photorealism. He also touches on evolving business models in live service games and the future of gaming hardware.
Xbox Cloud Gaming Is Moving to a Free Allowance With Paid Top-Ups
Starting in November, Xbox Cloud Gaming will implement monthly playtime allowances for Game Pass subscribers, with tiers offering 15, 10, or 5 hours. Players exceeding these limits will be able to purchase additional playtime. Microsoft cites rising service costs as the reason for this shift, which is expected to impact approximately 4% of Game Pass subscribers.
How indie studios can survive industry volatility | Opinion
Denis Fedorov of Nova Assembly outlines a six-part strategy for indie game studios to survive industry volatility, emphasizing a multi-project model, avoiding sole reliance on publishers, fostering collaboration, and maintaining high-quality, differentiated games. The advice aims to improve odds in a crowded and risky market.
"Why should we just give up the entire month of November?" – The indie games going head to head with GTA 6
Several indie games, including Flame, Forest and Flood and Volvy's Adventure: Reslimed, are set to launch on November 19, directly competing with the highly anticipated Grand Theft Auto 6. While analysts caution against this strategy due to GTA 6's massive marketing pull, developers like Fairy Mount Games and Devolver Digital see it as an opportunity to stand out by offering distinct experiences, particularly on PC where GTA 6 will not initially release.
MMO Business Roundup: King’s union contract, PlayStation’s disc survey, and Microsoft’s CEO
Microsoft CEO Satya Nadella expressed satisfaction with Xbox's current intellectual property and leadership's streamlining efforts, while King's Swedish developers reached a collective bargaining agreement ensuring more worker influence and information. Meanwhile, Sony is reportedly surveying developers about the future of physical game discs, with insiders suggesting it's a significant inquiry into phasing out physical media.
Microsoft boss Nadella says Xbox has to invent "sustainable business model"
Microsoft CEO Satya Nadella stated that Xbox must invent a sustainable business model to reach more players, viewing recent layoffs and studio closures under Asha Sharma as positive "streamlining." Nadella expressed confidence in Xbox returning to growth in the next fiscal year, emphasizing the goal of being a leading publisher and platform provider across PC and Xbox.
Microsoft CEO says Xbox's 'streamlining' process is 'great to see' following its most recent…
Microsoft CEO Satya Nadella commented on the recent Xbox layoffs and studio restructuring, describing the process as "great to see" and comparing it to streamlining a Formula 1 car. Despite significant job cuts and studio closures, Nadella expressed confidence in Xbox's intellectual property and its ability to grow as a publisher and platform provider across PC and Xbox consoles.
Amid mass Xbox layoffs, Microsoft CEO Satya Nadella says the "streamlining" is "great to see"
Microsoft CEO Satya Nadella described the ongoing "streamlining" at Xbox, which involves mass layoffs and studio closures, as "great to see." Despite the significant restructuring and criticism, Nadella expressed optimism about Xbox's intellectual property and future growth, aiming for higher profits and a sustainable business model.
Subscriptions: The Gaming Industry Business Model of the Future
Subscription services like Microsoft's Game Pass have fundamentally changed the gaming industry by shifting the model from ownership to access. This provides players with greater affordability and choice, while also offering developers and publishers new avenues for reaching audiences and extending game lifecycles. However, increasing competition and subscription fatigue may force platforms to innovate further to retain users.
Xbox Free Play Days Gave a Generation the Habit of Trying Before Spending, No Deposit Bonus Casinos Work the Same Way
This article analyzes the business model of Xbox Free Play Days by comparing it to no deposit bonus casinos in Canada. Both strategies aim to let consumers try a product with zero financial commitment before deciding to spend money, with Xbox Free Play Days offering a cleaner 'try before you buy' experience than Game Pass by removing the subscription requirement.
Xbox Game Pass to Lose Day-One Games, Split Into Two Tiers in 2027 – Rumor
A rumor suggests Xbox will restructure Game Pass in 2027 into two tiers, one with ads for $12.99 and one without for $19.99, both losing day-one first-party releases and cloud streaming. Cloud gaming will be a separate $5.99 bundle, and console multiplayer access will be unbundled at $10.99 per month. These potential changes come amid internal criticism of Game Pass's business model and past publisher objections to features like a family plan.
The Witcher 4 Studio Co-CEO Says Console Prices Are “An Objective Challenge,” But “Content is King”
CD Projekt RED co-CEO Michał Nowakowski acknowledges that rising console prices present an "objective challenge" but believes content remains king and players will find ways to access games. He expressed confidence that consoles are essential for reaching a broad audience and that the company will adapt its business models regardless of future hardware generations.
"All of the industry needs to start to innovate on affordability and efficiency" - Xbox's Asha Sharma wants change and "more choice" for people buying consoles
Xbox boss Asha Sharma is calling for the entire gaming industry to innovate in affordability and efficiency for future console generations, citing current component price crises. She highlighted the need for more consumer choice in how consoles are purchased and used, and mentioned that Microsoft is considering new business models beyond traditional hardware sales. Sharma also noted the impact of AI datacenter demand on component pricing, which has led to recent price increases for Xbox Series S and X consoles.
Riot Games is winding down 2XKO active development in December
Riot Games is ceasing active development of its fighting game, 2XKO, in December, though content updates will continue until the end of 2026. The studio cited a lack of sustained player engagement and the high operational costs of the free-to-play title as reasons for the decision. Servers will remain online for the foreseeable future, and all in-game purchases will be refunded.
