Microsoft is reportedly weighing the decision to release new Call of Duty games on its signature Game Pass streaming service, a move that many view with concerns.
According to The Verge, Microsoft is having "internal debates" about the blockbuster franchise which was obtained when the company acquired Activision Blizzard last year.
Call of Duty is one of the most successful video game franchises of all time, up there with the likes of Mario, Pokemon and Grand Theft Auto. The blockbuster first-person shooter, which is released annually, consistently sells millions of copies each year, earning billions of dollars.
Naturally, you can see the concern some may have with releasing a billion-dollar game for what is essentially free on Game Pass.
As The Verge notes: "I understand this is a debate that has been ongoing internally for quite some time, with concerns from some that the revenue that Call of Duty typically generates for Activision Blizzard will be undermined by Game Pass."
Microsoft's first-party titles are typically launch-day releases on Game Pass. For years, this served as an incentive for gamers to subscribe to the service. Game Pass is home to hundreds of high-quality games playable on console, PC, and cloud for a relatively low monthly price.
Gamers can pay as low as $9.99 per month for Game Pass which provides them access to this large catalog of games, including new Xbox releases on day one.
You can probably understand why some at Microsoft are hesitant to put a game like Call of Duty, which sells millions of copies yearly for at least $69.99 each, on Game Pass. After all, this is one of the most popular franchises on the planet. There's an understandable fear that Call of Duty launching on Game Pass could cannibalize the game's sales revenue.
It's also worth mentioning though that unlike other Microsoft first-party games, Call of Duty is a multiplatform franchise — or at least always has been prior to Microsoft's acquisition. The game has always sold better on PlayStation, where Game Pass is not offered. So there's a possibility that even if Microsoft does offer Call of Duty through Game Pass, a good majority of the players will still buy and play it through PlayStation.
While no decision has been made yet, Xbox president Sarah Bond recently told Bloomberg of the importance of getting "every single one of the games we build day one in Game Pass." When pressed, she clarified that this does include Activision's games.
Microsoft hasn't gotten into the specific financials of Game Pass and whether or not it is a profitable service, but apparently the company is considering raising the price of Game Pass Ultimate again. The Ultimate tier of Game Pass costs $16.99 per month but allows access to games — including new releases — on console, PC, and cloud. The $9.99 plan typically only offers console or PC access.
If Microsoft does choose to launch new Call of Duty games on Game Pass, it's possible they could only be offered through the more expensive Game Pass Ultimate plan.