This decision by Apple is seen as a victory for game developers, as it signifies a move towards a more open tech world. However, there is still a long way to go, as many game developers are still paying 30% of their earnings to platform hosts. The dominance of giant platforms continues to cast a shadow over the industry.
In addition to Apple’s settlement, Microsoft has announced that it will be raising prices for its Xbox Game Pass subscription services in September. This price increase is a consequence of consolidation in the market, particularly Microsoft’s acquisition of Activision Blizzard. Before the acquisition deal closed, the Federal Trade Commission (FTC) sued Microsoft for antitrust violations, fearing that Microsoft would make the multiplatform Call of Duty franchise exclusive to its own platforms. However, the FTC lost the case as antitrust law is meant to protect consumers, not rival companies.
Microsoft’s price increase for Xbox Game Pass Ultimate has drawn attention to its practices and could potentially lead to further antitrust activism by the FTC. Subscribers will pay $20 a month starting in September, which includes “day-one” titles like Call of Duty: Black Ops 6. Gamers now face an interesting decision: whether to pay a few extra dollars for the Game Pass Ultimate and get access to new games like Call of Duty, or pay the standalone price for individual titles.
This move by Microsoft could have wider implications for the industry, and gamers are expressing their frustration. It remains to be seen if this price increase will lead to further antitrust actions against Microsoft. Ultimately, the goal should be to prevent a single company from casting such a large shadow over the gaming industry, similar to Apple’s previous monopoly.