Microsoft Responds to FTC's Xbox Game Pass Complaints

As a long-time Xbox gamer, I have to admit that I was taken aback by the recent changes Microsoft announced for Xbox Game Pass. I’ve been subscribed to the service for years and have grown accustomed to its benefits, especially the day-one access to new games and the inclusion of online multiplayer with Xbox Game Pass Ultimate.

Microsoft recently made significant adjustments to Xbox Game Pass subscription plans, introducing a new, more expensive version of Xbox Game Pass Ultimate and eliminating the basic console option. These changes sparked criticism from the Federal Trade Commission (FTC), who deemed the revised Xbox Game Pass as a “degraded” product due to the absence of day-one game access in one of the tiers. In response, Microsoft has countered that the FTC is shifting the focus of its complaints against the new Xbox Game Pass offerings.

Microsoft disagrees with the FTC’s characterization of the new $14.99 Xbox Game Pass Standard as a “degraded” version of the previous basic console offering. The key difference, according to Microsoft, is that the earlier edition did not include online multiplayer, which is only available through Xbox Game Pass Ultimate. While acknowledging the price hike for Xbox Game Pass Ultimate, Microsoft argues that it will provide more value with new games like “Call of Duty: Black Ops 6,” which will be accessible only if you subscribe to the pricier Xbox Game Pass Ultimate or PC Game Pass.

Microsoft argues that during the legal proceedings regarding its acquisition of Activision Blizzard, the FTC paid little attention to Game Pass but instead focused on whether Call of Duty games would be available on PlayStation consoles. Now, Microsoft is drawing attention to Game Pass’s modifications and insists that businesses often adjust their offerings over time, which is what they claim is happening with Xbox Game Pass.

The FTC has recently attempted to pivot its focus towards Microsoft’s subscription market in their ongoing argument. However, Microsoft refutes this shift, pointing out that businesses often adapt their services over time. In all of the FTC’s alleged markets, Microsoft has been accused of vertical foreclosure – a practice where Microsoft would keep Call of Duty from competitors to stifle competition. But even in the supposed subscription market, Call of Duty remains accessible to anyone who desires it.

The new Xbox Game Pass prices and subscriptions are in effect now for new subscribers.

2024-07-20 19:09

Microsoft Responds to FTC’s Xbox Game Pass Complaints

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