Is Game Pass ”Profitable”? | Activision may be Forcing Xbox’s Hand (VL732)

Phil Spencer has been open in his desires to grow Microsoft's Xbox division and it's Game Pass subscription product, even with folks like the UK's Competition and Markets Authority (CMA) seemingly against him.

But as at least some regulators appear to be readying their arguments to block the massive near $70B Activision acquisition, Microsoft is not sitting on its hands. What did Spencer say? Why did he say it?

Sometimes the best thing to know, is what you don't know...in Virtual Legality.

#Microsoft #Xbox #Activision

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*** CHAPTERS 00:00 Introduction 1:32 Profitability and Game Pass 14:03 SEC Filings and Accounting 23:12 Rainclouds 27:36 It's Like Minecraft 29:10 Conclusion

*** Discussed in this episode:

PLAYLIST https://www.youtube.com/playlist?list=PL1zDCgJzZUy_vBs7Qt9-ROfumOtIrSdP8

THE CMA https://assets.publishing.service.gov.uk/media/634536048fa8f5153767e533/MSFT.ABK_phase_1_decision_-_1.09.2022.pdf

ARTICLES https://www.theverge.com/2022/10/26/23425029/microsoft-xbox-game-pass-profitable-revenues

https://en.wikipedia.org/wiki/Hollywood_accounting

https://www.wsj.com/articles/microsoft-casts-a-very-big-cloud-11666796871

https://www.wsj.com/articles/googles-bottom-line-is-now-top-of-mind-11666739186

https://www.theverge.com/2022/10/27/23426512/microsoft-xbox-game-streaming-console-years-away

TWEETS https://twitter.com/DomsPlaying/status/1585403411188846593

https://twitter.com/tomwarren/status/1585330443682926593

MS SEC FILING https://microsoft.gcs-web.com/node/31056/html

*** "Virtual Legality" is a continuing series discussing the law, video games, software, and everything digital, hosted by Richard Hoeg, of the Hoeg Law Business Law Firm (Hoeg Law).

CHECK OUT THE REST OF VIRTUAL LEGALITY HERE: https://www.youtube.com/playlist?list=PL1zDCgJzZUy9YAU61GoW-00K0TJOGnPCo

DISCUSSION IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND IS NOT TO BE CONSTRUED AS LEGAL ADVICE. INDIVIDUALS INTERESTED IN THE LEGAL TOPICS DISCUSSED IN THIS VIDEO SHOULD CONSULT WITH THEIR OWN COUNSEL.

*** Twitter: @hoeglaw Web: hoeglaw.com