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MS looking at ways to monetize online gaming industry

Zara_Latina of Maxconsole writes: Rohan Oommen, senior director of Xbox Live, says that only 2/100 online gamers are paid subscribers and that they have to figure out how to monetize the other 98 percent. "At the end of the day, we're about shareholder bottom lines," Oommen said.

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SeanRL3162d ago

Hell, the only reason I still haven't bought an xbox is because of this kind of crap. Just make the online free.

Jinxstar3162d ago (Edited 3162d ago )

"says that only 2/100 online gamers are paid subscribers"

I don't get this figure. Are they implying that only 2 % of people that play online use XBL or are paid subscribers to WoW or Darkfall or some other MMO? Or are they implying that XBL subscribers dont fit into the "Paid subscribers" category... because for PS3, Wii and PC to be 98% of the market that seems like a lot unless they somehow count all the farmville and DS players or something... I think they mean "Besides those who already subscribe to XBL"... Weird...

Anorexorcist3162d ago (Edited 3162d ago )

“At the end of the day, we’re about shareholder bottom lines,” Oommen concludes. “We have to figure out how to monetize the other 98 percent.“

With how he describes on trying to gain revenue from the vast majority, I assume this to be about the PC online gaming sector primarily. All Xbox Live members already contribute to MS's bottom line, so I don't see how that is considered a problem...unless MS plans to shove premium subscriptions down the throats of all standard Live users and to gradually phase out the lower cost services to consumers.

Megaton3162d ago (Edited 3162d ago )

This is why I was against Microsoft entering the console business since the very beginning. I actually like the 360, but I absolutely despise Microsoft. The only innovation coming from them are new ways to charge you money for things that should be free. Anti-consumer to the fullest.

It's also why I hate 360 fanboys more than any other breed. Apathetic and clueless while shoveling your money into Microsoft's pockets for things no one should be charged extra for. It's completely self-destructive, and damages the industry as a whole from the standpoint of the consumer. You're gladly helping them set bad precedents for gamers everywhere, and you're doing it with a sh*t-eating grin.

AEtherbane3162d ago (Edited 3162d ago )

O RLY?
This cant be true, since when has Ms ever been greedy?

Anorexorcist3162d ago (Edited 3162d ago )

I don't mean to sound like a fanatic, but I highly consider Xbox 360 fanboys to be the most adamant, delusional fanboys of all time (at least since I've been alive, which has been since the NES generation)

Logic and pro-consumer reasoning seems to be a luxury for most of them. I have never seen such a brash breed of fanboys that would shout from the rooftops of how expensive the PS3 is, yet will glady accept and have no qualms for paying for overpriced peripherals, like $120 for an Xbox harddrive and $100 for a wireless adapter (which by purchasing the Xbox 360 arcade and including these items, it would cost more than a PS3 and they still wouldn't have a more value-rich console like a PS3.)

Who consider free DLC to be some sign of inferiority; If you don't have to pay for it out your nose, it isn't worth having. Who consider antiquated methods like disc-swapping to be perfectly fine and wouldn't have it any other way. Who after seeing the advantages of blu-way with titles like FFXIII and RE5: Gold Edition (which came with a download token for the Xbox 360, while the PS3 version had all the DLC content already on the disc), still refuse to accept the validity of the advanced format.

It's almost like they see no value in owning a piece of equipment from a major corporation unless that corporation is constantly picking your pockets to get features that should be complementary in this day and age.

Ateanboy3162d ago

Reading this, right here, right now, I can only wonder... How do the 360 fanboys feel after reading something like this?

We are all gamers here, and we all have some type of economical responsibility. And none of us are trying to spend more money than we need to.

So to hear something like this come from the MS camp, how would you respond to it as a 360 fanboy? I'm curious. Cause I've read through most of the posts here and not 1 of them sound like they where written by them, despite this being an MS article.

Where are the 360 fanboys at? Stand up.

HolyOrangeCows3162d ago

What else can they do? Charge us by the hour?

gaffyh3162d ago

@jinx - I think they are saying 2 out of 100 gamers (i.e. all gamers, not just Xbox 360) play games online. But I guess they are including a lot of casuals in that figure.

darkmurder3162d ago

MS is only 'looking' they have a research and dev team who constantly look at ways to implement stuff, their pockets are 9 billion dollars so don't think they will take the decision lightly. Sony has probably 'looked' at it too but decided against so who's to say MS will agree on doing it.

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Roper3163162d ago

I have nothing nice to say about this so I will just say nothing

sigfredod3162d ago

but when i read a news like this, i can't avoid to feel rage against M$, man they are like always trying to find ways to milk gamers, they are currently the ones with the more expensive online service and want even more? that's BS

AK463162d ago

Well if you don't own an xbox than it shouldn't effect you. I can see xbox users getting upset but not the PS3 users.

dc13162d ago

We are all gamers .. and in that 'fanboyism' doesn't exist.

D4RkNIKON3162d ago

Yeah I agree completely. If it wasn't for the hardware failure and having to pay to play online I would own an Xbox. But as it stands, I don't and won't..

Bodster3162d ago

To be fair i think the reason he could be concerned (Although 90% probable on fanboyism) is because if other companies (Nintendo and Sony)catch wind that Microsoft are profiting massively from this then they may consider implementing it, like this rumoured PS premium thing.

dc13162d ago (Edited 3162d ago )

I have no problems with a premium services on the PS3 as long as the free services is still offered. (..really I have no choice)
At the end of the day:
1: The internet isn't free.
2: Giz is chillin - What more can I say? Top billin ..... sorry about that..
err..
2: Premium Gaming systems are not cheap-
3: The Games.. well we can agree, are relatively expensive.

Charging additional dollars for online play on top of the above is hard to swallow. So I have no problems with anyone who wants to rage against the machine.

AK463162d ago

@Dc1

Well I for one don't think Sony will go with the pay-to-play route, they would've done that already. I do however think they will offer some sort of premium services like extra content like free movie/game rentals, that sort of thing. To make gamers to play online just doesn't seem like Sony. Sony is trying to differentiate itself from microsoft, so why would they follow MS route?

dc13162d ago

You're right and I agree. Its the trend that I don't like....

If anything MS has injected true competition into the gaming market and because of it Sony has had to respond. Conversely, I was hoping that MS would curve their enthusiasm....

Wishful thinking???

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Bigpappy3162d ago

What kind of statement is that? He should resign right now. I feel like installing linix right now and canceling everything Microsoft at this point. That comment angers me because I know that is how he really feels. That is the biggest problem with this modern capitalism. Their are not thinking about what is fair to the customer, it's all about share holder bottom line. You know what let the [email protected] share holders buy the MS products and see if that increases their f'ing bottom line. I am calling for a boycott of Microsoft, until this guy resigns and they replace him with some one with ethics, who sees fairness in the market place a the number one focus to the company. If you put bottom line ahead of customer satisfaction, you will and should fail.

Finalfantasykid3162d ago

Do it. I use Ubuntu 100% now. I still have XP on my computer but I havn't booted into it for probably half a year.

velaxun3162d ago

I absolutely love Ubuntu, but I hardly use it. It's too much of a headache to try and get things to work on it, and I do a LOT of gaming as well. so unfortunately I'm stuck with Windows as there no suitable competitor in my eyes.

pippoppow3162d ago

See now? Not all Sony supporters are fanatics for voicing displeasure at an extremely selfish business model MS employs. The reasons I dislike MS is due to a number of legit reasons. RROD handling, pay to play, lack of exclusives, no self investment for gamers sake like new studios acquired, over-expensive add-ons and charging $300 for a system lacking in features compared to a PS3 at the same price.

The main thing for me at first was RROD. I'd have bought the system otherwise but not pay for XBL for Lost odyssey. Then it just seemed to snowball into a ball of destructive consumerism as things became clear on the extremely shallow and self serving business model being used by MS that turned me off.

I've been gaming for a long time and have bought most gaming consoles since the NES (Bought an XBOX too) and for the first time flat out refuse to buy one.

Bigpappy3162d ago (Edited 3162d ago )

But when a guy says publicly that his interest is share holder bottom line, that is and insult to the people who buy the product. If there are no customers, there are no share holders and no F'ing Oomman's. You would never hear Bill Gates say something as money driven as that. This guy is just a department manager though. I should calm down and just keep an eye on what will happen with xbox live. I have no problem with the current pricing on the service, but I have no problem with dropping the whole [email protected] thing and going back to playing card, board game and watching movies on my spare time. I have a lot of pride and a lot of choices. I have no loyalty to any brand or company. I have a lot of respect for Bill Gates, and I am sure this guy is not speaking for him. To bad Bill no longer runs this company.

I agree with "Rowsdower" statement that ranting on the internet is not enough to cause change. But as I said, I am aware that this is a common business practices, I just don't hear people say this kind of thing publicly. If this were Balmer(Chairman of M$), hope I got his name right, I would have taken this further. As it is I have to much vested in M$ to truly boycott all their product base on an insult from a department manager. But what I can commit to is that if I see M$ change their pricing model to something I think is not fair to me, I will cancel the service and do my little part to discourage anyone I know from using the service. I know a few but I am not at that point yet.

pippoppow3162d ago

Being blatant about it can be like a slap in the face especially for fans.

This gen while it has had and will continue to have gems on all platforms, the greed and dishonesty from some Devs,Pub,Media and MS has been somewhat tainted at least for those in the know.

We as gamers need to keep a weary eye on that undercurrent and see how things pan out the rest of this gen and into the next. Upsetting the majority of the vocal minority can be bad for business. We'll just have to see.

IdleLeeSiuLung3162d ago

Fair to consumers? That is delusional.

Capitalism doesn't work that way and it shouldn't. The company should think about its bottom line, because I would like to be paid for my work.

Why don't we all just work for free?

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