Xbox CFO Talks Bethesda Exclusivity; “We Want Bethesda Content to be First or Better or Best on Xbox Platforms”

Yes MS wants you in their multi-tiered ecosystem and that is part of the reason many games won’t be exclusive. If games are available on Xbox, PC, Gamepass, Xcloud, etc… then the idea of exclusive content to funnel people into a console ceases to work. Now it becomes more important for the game to be a larger global franchise available on the MS platforms. Playstation becomes the place where it costs you $70 to play a certain game, but “free” if you are already in the MS ecosystem. You’ll be locked into one place if you buy it somewhere else, but free to play at home console/PC or on your phone if you buy from MS.

The games being on another system is just an advertisement that the same games are available elsewhere for a much better deal. Does Valve (Steam) really care if the games there are available elsewhere? No, they operate on being a better platform to buy the games you know about on.

Read about devs talking about GamePass. They put their games on GP and see an uptick in sales on other platforms. MS can sell GP to developers as a means to increase their sales on other platforms.

Nah - the model is akin to that of the TV/movie content streaming services. They want you in their service their ecosystem. The metric of gamepass selling more games works for Xbox because they are selling games back to their ecosystem. If they sell them outside their own ecosystem then they are in effect acting as a publisher of titles getting their cut. Zenimax reported an annual turnover of around 300 million dollars…that was by selling titles on all platforms. So try and reconcile that against a $7.5BN investment. It just doesn’t work.

The whole point is to pull people into the ecosystem to say ‘hey if you want to play these games you need to do so via gamepass, xcloud or natively on OUR systems Xbox/PC’. The message is completely lost if they sell them outside that ecosystem for their 30% cut.

No movie or content streaming services buys exclusive content to share it with other platforms. Like I say the route is for PS to adopt xcloud or even natively adopt gamepass. Then the games will be there. Otherwise the bulk of them will not.

There is very little upside for MS to sell games on other platforms where they take a 30% cut - and if there were - IF there were then they’d already be selling Halo, Gears, SoT etc on Playstation. Clearly they aren’t and the reason for that is purely down to their desire to massively expand the Xbox ecosystem to as many customers as possible. NOT to become a 3rd party publisher.

Day 1 on Game Pass isn’t going to be enough, people still buy games on Steam solely because its their preferred platform and they like to own their games. Bethesda isn’t going to move the needle much or push GP subscribers if their games are also available for purchase on PS5. They can get away with it on Steam because Game Pass is already available on PC and there’s probably a good chunk of people who have Game Pass more so they can try out games they normally wouldn’t buy.

I have Game Pass and I still bought Gears 5, Ori Wisp and Minecraft Dungeons because I wanted to keep those games, but have Game Pass so I could play games I normally wouldn’t have tried ei Subnautica, Outer Wilds, Tourist etc.

No Game Pass on PS5 but still releasing Bethesda games on the PS5 isn’t going to push people to buy an Xbox for Game Pass. People will have no issue sucking it up and spending 60-70 bucks on TES6 or Starfield or Fallout over paying 300-500 for a new console.

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He really should know better, and after his hot takes on the US election I started tuning anything from him that’s not WC-related. Also a great reminder that people can be insiders or have good points, and still be objectively wrong about plenty.

I understand that and to an extent I agree. By Microsoft selling more consoles, they lose less moneyhat exclusives to the other platform. So exclusives do serve their customers in this environment. I believe they understand that. Which is why I believe Bethesda games will start off Xbox console exclusive. Long term, things could change. Especially as Cloud becomes a bigger deal worldwide. Developing for console and Xcloud is one of the same. As more and more consumers begin to realize that Game Pass is THE exclusive, it will matter less. At some point, it may not hurt (Xbox gamers) when they port games. So they’re not going to back themselves in a corner.

That all said, I think this Xbox exec was taken out of context. They don’t want to back themselves into a corner yet they want to say, “if you like Bethesda games, buy an Xbox”. Will be tricky messaging. Don’t think this CFO did a great job with messaging but I also don’t think he said what is being represented.

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Is it possible Zenimax decided they wanted to sell and went to Xbox first(due to their good relationship) and proposed a deal to be bought but only if they can still be multiplatform?

Jez is a Microsoft/Xbox dude. He doesn’t hide that. He also doesn’t hide when he’s frustrated with the brand or their messaging. With Twitter, he often fishes with some of his comments. I usually wait to see what his opinion is after he’s done fishing. By putting comments like this out there, someone will probably DM him the correct scoop. Let it play out. LOL

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MS would literally have no reason to buy them then…what would be the point?

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I think you are confused. I don’t understand the question you’re posing. You don’t think ppl still buy Fallout or Wolfenstein or Doom? Of course they do! And they want those titles to play best on XSX and to be included in Game Pass.

Let’s deconstruct it one paragraph at a time:

Note that THIS WAS SAID FIRST. THIS was the context of the other 3 paragraphs that followed on the call and that everyone is discussing. You can’t remove the other comments from this context!

“When we think about Bethesda, it’s going to be the continuing to allow – I’ll say allow, but continue to sell their games on the platforms that they exist today, and we’ll determine what that looks over time and will change over time. I’m not making any announcements about exclusivity or something like that. But that model will change.”

Here he is clearly referring to already released games. He doesn’t say they are letting games release on new platforms. He says they will “allow” Bethesda to “continue” selling games on the “platforms that they exist today”, and that they will determine exactly how that changes over time. Then he reiterates that this release approach WILL change in the future.

“What we’ll do in the long run is we don’t have intentions of just pulling all of Bethesda content out of Sony or Nintendo or otherwise. But what we want is we want that content, in the long run, to be either first or better or best or pick your differentiated experience, on our platforms. We will want Bethesda content to show up the best as – on our platforms.”

He is talking here about ‘pulling content out of’ other ecosystems. Future games aren’t in other ecosystems yet. Just because he is referring to future tense doesn’t mean the games he is referring to are not existing titles already released into those ecosystems. The ‘pulling content out of’ language sounds like he is indeed talking about stuff already released. This is something he CAN legally discuss as it isn’t a change to any status quo.

“Yes. That’s not a point about being exclusive. That’s not a point about we’re being – adjusting timing or content or road map. But if you think about something like Game Pass, if it shows up best in Game Pass, that’s what we want to see, and we want to drive our Game Pass subscriber base through that Bethesda pipeline.”

Note here that he is actively avoiding discussing ANYTHING about exclusives at all. Contrary to your reading of it, he is NOT saying ‘future content will not be exclusive’ at all. He DOES NOT say ‘the point is not about being exclusive’…which is how most somehow appear to be reading it.

Nor is he saying anything about adjusting release timelines. If the intended implication was to say MS would delay these future titles to be timed Xbox exclusives, that runs afoul of what he says quite directly here. He also notes Game Pass. The presumption most somehow have is that this must refer to future GP games from Bethesda/et al…but they just recently added some of these games to GP and are working on adding more. Meaning those games already released on various platforms, but the intention is that they will play best on Xbox and be added to GP.

“So again, I’m not announcing pulling content from platforms one way or the other. But I suspect you’ll continue to see us shift towards a first or better or best approach on our platforms.”

Here he reiterates they aren’t planning to remove existing content from other ecosystems anytime soon and will instead move those existing titles over to GP/xCloud. He also notes that the shift towards ‘first or better or best’ is no new but rather an ongoing shift. That only makes sense in the context of existing games where MS has been working on moving them over to GP and experimenting with BC improvements for them (like Fallout 4).

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1000% this. Starfield/TES6 on PS5 would be Phil shouting through a bullhorn that he doesn’t give a crap about the console and even Game Pass for that matter.

Also this would kill any chance of ever getting Game Pass on PS5 which Phil and co clearly want. They need to buy enough developers and have so much content that they need to pressure Jim to allow Game Pass on the PS5.

That’s also why I think another big acquisition ei publisher is possible. PS5 losing on big franchises like Fallout and TES is a huge blow, imagine if MS bought Capcom and suddenly no Resident Evil, Monster Hunter, Street Fighter, DMC on the PS5 unless Jim bites the pillow and allows GP on their platform. (I don’t think Capcom is likely but its just an example)

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Gamepass isn’t exactly like a movie streaming service. Netflix content is one and done for the most part, they need to keep on pumping out new content to keep people subscribed. Netflix is also available on multiple devices including consoles.

Games on the other hand have microtransactions, multiplayer, etc… They have other means to tie you to the ecosystem. Also due to the multiplayer aspect, you naturally need a wider reach (cross-play) to have them succeed.

Games have become more than just plain content to sell the device. Games have the potential to become larger than any single device or platform. This is why they are approaching it on a case by case basis. People are acting like they have to choose one way to do things and it is set in stone, all or nothing. I’m just saying MS isn’t locking themselves into the Sony way of doing things and that is okay.

This is my hope also.

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Thanks for this man. I posted the reply earlier in the day today and by now I had done much more reading of comments and understood it a little more, but now I fully understand it. I never realized he indeed did mean the already existing games with “first, better or best on Xbox platforms”. If I understand this correctly with “first” he means games like Fallout 4, Skyrim perhaps, all the old games if they were to receive visual updates or framerate…Xbox is first in line? So after Fallout 4 has had the patch they’ll do the same for the PS4 game playable on PS5?

I honestly didn’t get this at all from the quote, it was all very confusing to me because he did indeed say it wasn’t about exclusivity. Well, thanks again for the detailed explanation. :slight_smile: :ok_hand:

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The uncertainty of xboxs access to Zenimax games if they sell to another publisher. Sony could keep moneyhatting games for timed exclusives(Xbox seems to avoid doing this) thus putting Xbox at a disadvantage of access to Zenimax games.

The other day I saw a comment, don’t remember anymore, I think Twitter. And it was basically about that no way MS wouldn’t release Starfield on PS5. Because by now plenty of work had been done on that version, blood, sweat and tears of hard work and they would just can it? I don’t have an answer to that.

Maybe the games that have been in the works for a while now are not canned but truly brand new games barely in development yet will be exclusive. I guess…that’s a possibility.

Yeah sorry but this is a terrible excuse, your basically saying that MS paid 7 billion to prevent Sony from possibly getting Starfield for a year as a timed exclusive. By that logic, MS should of bought Square Enix to prevent FF16 from being a timed exclusive.

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It takes two to tango. SE is not open to being bought. Why should they be? Essentially Sony is co-funding development of their games for an exclusivity window, and their games still sell well on all machines. They’d be stupid to sell to anyone

Yes, it would also be stupid to buy them solely to prevent timed exclusives. The person who I responding to implied that MS spent 7 billion to buy Zenimax because they want to prevent games like Starfield being timed exclusive.

FWIW, the comments confuse ppl because some random site had a dumb headline and then ppl just quote mined that and didn’t read context, lol. I’m guessing the ‘first’ language is about things like next gen upgrades, BC patches, and inclusion in things like PS+ or GWG kinda stuff.

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The deal is not close yet I think we will find out next year at an event if the games are going to PS5 or not I dont think they should the goal is to get people into gamepass you dont put games on PS5 if you want that the only game I think might have a chance is Starfield because it was announe already