{"video_id":"hUvzLI6juZ8","title":"Xbox Might be Cooked","channel":"Linus Tech Tips","show":"Linus Tech Tips","published_at":"2025-11-05T14:53:29Z","duration_s":752,"segments":[{"start_s":0.24,"end_s":8.96,"text":"Microsoft is in the news for hiking the price of Xbox Game Pass Ultimate again,","speaker":null,"is_sponsor":0},{"start_s":5.6,"end_s":12.08,"text":"and this time by 50%, leading to an","speaker":null,"is_sponsor":0},{"start_s":8.96,"end_s":14.24,"text":"historic surge of angry gamers smashing","speaker":null,"is_sponsor":0},{"start_s":12.08,"end_s":18.48,"text":"the unsubscribe button. And it has everyone from Microsoft's partners to","speaker":null,"is_sponsor":0},{"start_s":16.56,"end_s":24.56,"text":"the press to even individual gamers asking themselves, \"What the hell is","speaker":null,"is_sponsor":0},{"start_s":21.52,"end_s":27.359,"text":"going on at Xbox?\" I mean, one day","speaker":null,"is_sponsor":0},{"start_s":24.56,"end_s":32.32,"text":"Microsoft is celebrating, hey, Game Pass is totally making tons of money. Woo.","speaker":null,"is_sponsor":0},{"start_s":30.48,"end_s":36.88,"text":"And then the next day they're like, \"Actually, we're going to need more","speaker":null,"is_sponsor":0},{"start_s":34.16,"end_s":41.76,"text":"money from you. Thanks.\" On one hand, they're promising new Xboxes are coming","speaker":null,"is_sponsor":0},{"start_s":39.52,"end_s":45.76,"text":"for really actually real this time. And then on the other hand, they're like,","speaker":null,"is_sponsor":0},{"start_s":43.36,"end_s":50.879,"text":"\"Look at me. Your phone is the Xbox.\" Now, the same day that Phil Spencer sent","speaker":null,"is_sponsor":0},{"start_s":48.719,"end_s":56.0,"text":"out a memo that said, \"Our game road map has never looked stronger,\" they","speaker":null,"is_sponsor":0},{"start_s":52.8,"end_s":58.399,"text":"notified Xbox employees of a 10% staff","speaker":null,"is_sponsor":0},{"start_s":56.0,"end_s":62.559,"text":"reduction across several studios alongside the cancellation of multiple","speaker":null,"is_sponsor":0},{"start_s":60.64,"end_s":67.04,"text":"games. Well, which is it, Microsoft? Snip snap. Snip snap. Snip snap. I mean,","speaker":null,"is_sponsor":0},{"start_s":65.119,"end_s":71.439,"text":"it shouldn't surprise us that much. If we go back to 2013, there was that time","speaker":null,"is_sponsor":0},{"start_s":69.119,"end_s":75.28,"text":"Microsoft forgot they were making a game console.","speaker":null,"is_sponsor":0},{"start_s":72.24,"end_s":77.52,"text":">> Xbox go home. But more recently, these","speaker":null,"is_sponsor":0},{"start_s":75.28,"end_s":81.68,"text":"WTF moments seem to be happening more and more frequently to the point where","speaker":null,"is_sponsor":0},{"start_s":79.04,"end_s":87.36,"text":"it's raising the question, is Xbox even going to exist within another generation","speaker":null,"is_sponsor":0},{"start_s":84.32,"end_s":89.2,"text":"or two, which is a huge problem because","speaker":null,"is_sponsor":0},{"start_s":87.36,"end_s":94.64,"text":"even though I've never actually owned one personally, I 100% appreciate the","speaker":null,"is_sponsor":0},{"start_s":92.159,"end_s":99.52,"text":"value of having Xbox as a player in the space. There's so few console makers","speaker":null,"is_sponsor":0},{"start_s":97.04,"end_s":104.4,"text":"now, and seeing one of the major makers bow out now would be a big problem for","speaker":null,"is_sponsor":0},{"start_s":102.079,"end_s":108.72,"text":"competition. I have owned a lot of Xboxes and I'm also really terrified of","speaker":null,"is_sponsor":0},{"start_s":106.88,"end_s":113.04,"text":"a gaming future where Sony and Nintendo are going to have free reign to do","speaker":null,"is_sponsor":0},{"start_s":110.24,"end_s":119.2,"text":"whatever they like. Free reign, like do our Segways to our sponsors, Hadner. Get","speaker":null,"is_sponsor":0},{"start_s":116.96,"end_s":124.159,"text":"a powerful and scalable data storage solution that locks things down to GDRP","speaker":null,"is_sponsor":1},{"start_s":121.759,"end_s":130.319,"text":"and strict German privacy law standards with Headner. Click our link and use","speaker":null,"is_sponsor":1},{"start_s":126.079,"end_s":132.16,"text":"code LTT25 to get $20 off their S3","speaker":null,"is_sponsor":1},{"start_s":130.319,"end_s":137.12,"text":"compatible object storage solution today. It would be easy for us to kick","speaker":null,"is_sponsor":1},{"start_s":134.48,"end_s":141.28,"text":"this off with a crackdown on Xbox for all of its many problems these days, but","speaker":null,"is_sponsor":0},{"start_s":139.44,"end_s":146.08,"text":"let's give credit where it's due. 30 bucks a month multiplied by 12 is","speaker":null,"is_sponsor":0},{"start_s":144.64,"end_s":151.92,"text":"$360. >> Oh my god, we're so back. We're living","speaker":null,"is_sponsor":0},{"start_s":148.08,"end_s":155.2,"text":"in the 360 era again. Let's go.","speaker":null,"is_sponsor":0},{"start_s":151.92,"end_s":157.519,"text":"Okay, but for real, Xbox and PC Game","speaker":null,"is_sponsor":0},{"start_s":155.2,"end_s":160.879,"text":"Pass have been a great value for a lot of gamers. They've allowed people to try","speaker":null,"is_sponsor":0},{"start_s":159.519,"end_s":164.56,"text":"out experiences they might have otherwise overlooked, gotten eyes on","speaker":null,"is_sponsor":0},{"start_s":163.04,"end_s":170.0,"text":"games that might have struggled to find an audience, and according to some devs,","speaker":null,"is_sponsor":0},{"start_s":167.28,"end_s":173.76,"text":"even provided a stabilizing, de-risking presence for some smaller indie","speaker":null,"is_sponsor":0},{"start_s":171.68,"end_s":178.16,"text":"releases. It's been so good, in fact, that the service has, frankly,","speaker":null,"is_sponsor":0},{"start_s":175.36,"end_s":182.319,"text":"overshadowed their hardware for quite a while now, which is a shame because","speaker":null,"is_sponsor":0},{"start_s":180.319,"end_s":186.48,"text":"Xbox's hardware has also been traditionally pretty darn solid. We're","speaker":null,"is_sponsor":0},{"start_s":184.48,"end_s":190.64,"text":"PC people, which means we're often deriding consoles for their aging","speaker":null,"is_sponsor":0},{"start_s":188.319,"end_s":194.239,"text":"mid-tier hardware. But when you bear down on what you get for your dollar,","speaker":null,"is_sponsor":0},{"start_s":192.48,"end_s":198.959,"text":"it's kind of hard to argue with the original MSRPs of the series lineup.","speaker":null,"is_sponsor":0},{"start_s":197.04,"end_s":202.72,"text":"Just ignore the two price hikes just for a minute. We'll get to those later.","speaker":null,"is_sponsor":0},{"start_s":200.64,"end_s":207.28,"text":"Point is, for a long time, the combination of an Xbox Series S or even","speaker":null,"is_sponsor":0},{"start_s":205.12,"end_s":212.159,"text":"the X for that matter, plus Game Pass, was a pretty killer entry point into","speaker":null,"is_sponsor":0},{"start_s":209.28,"end_s":216.56,"text":"highfidelity gaming. And this next one definitely benefits us less. But you got","speaker":null,"is_sponsor":0},{"start_s":214.799,"end_s":220.48,"text":"to give credit, I guess, to Xbox's business side for successfully","speaker":null,"is_sponsor":0},{"start_s":218.64,"end_s":224.4,"text":"accumulating new studios and publishers like a gem-hungry Thanos. It has","speaker":null,"is_sponsor":0},{"start_s":222.799,"end_s":228.4,"text":"drastically increased their overall gaming revenue. And to Microsoft's","speaker":null,"is_sponsor":0},{"start_s":226.159,"end_s":232.64,"text":"credit, for better or for worse, they haven't greedily gatekept those","speaker":null,"is_sponsor":0},{"start_s":230.319,"end_s":237.519,"text":"franchise stones from the competition, which kind of plays into what looks to","speaker":null,"is_sponsor":0},{"start_s":234.4,"end_s":239.92,"text":"us like what might be a big switch away","speaker":null,"is_sponsor":0},{"start_s":237.519,"end_s":245.04,"text":"from hardware and toward providing services. Now, Xbox has stated many","speaker":null,"is_sponsor":0},{"start_s":242.72,"end_s":249.28,"text":"times that they do have more Xbox hardware on the way, but honestly, each","speaker":null,"is_sponsor":0},{"start_s":247.439,"end_s":253.12,"text":"press release feels less and less like an exciting promise and more and more","speaker":null,"is_sponsor":0},{"start_s":251.439,"end_s":257.359,"text":"like damage control over some bad headlines. Through both the naming of","speaker":null,"is_sponsor":0},{"start_s":255.28,"end_s":261.759,"text":"the current two-tier generation and the fact that seemingly everything with the","speaker":null,"is_sponsor":0},{"start_s":259.44,"end_s":266.72,"text":"screen could technically be an Xbox, Microsoft is telling us that a singular","speaker":null,"is_sponsor":0},{"start_s":263.919,"end_s":270.32,"text":"Xbox is not at the center of their game plan. And that means that resources","speaker":null,"is_sponsor":0},{"start_s":268.56,"end_s":276.08,"text":"which used to be spent on making the ultimate Xbox experience in one place","speaker":null,"is_sponsor":0},{"start_s":273.199,"end_s":280.72,"text":"like Engineering and Design Time are trickling out to make their streaming","speaker":null,"is_sponsor":0},{"start_s":277.84,"end_s":284.24,"text":"app pretty okay on your LG TV or your Samsung phone. You can kind of see this","speaker":null,"is_sponsor":0},{"start_s":282.72,"end_s":288.479,"text":"change with the first party Xbox handheld being canned in part due to","speaker":null,"is_sponsor":0},{"start_s":286.56,"end_s":293.04,"text":"Microsoft not being so confident they could sell 10 million of them, which to","speaker":null,"is_sponsor":0},{"start_s":290.96,"end_s":297.44,"text":"be fair, not even the Steam Deck has sold that many units. Instead, we're","speaker":null,"is_sponsor":0},{"start_s":295.04,"end_s":302.56,"text":"seeing Big Green offload their work and the risk to simply facilitate the","speaker":null,"is_sponsor":0},{"start_s":299.919,"end_s":306.479,"text":"release of an ASUS handheld with an Xbox button. And although this might seem","speaker":null,"is_sponsor":0},{"start_s":304.479,"end_s":310.96,"text":"just like a neat little side quest that should have little bearing on the future","speaker":null,"is_sponsor":0},{"start_s":307.919,"end_s":312.88,"text":"of Master Chief's chefs, it does raise","speaker":null,"is_sponsor":0},{"start_s":310.96,"end_s":317.68,"text":"major questions about a shift in paradigm at the old Redmond offices.","speaker":null,"is_sponsor":0},{"start_s":314.96,"end_s":321.68,"text":"Microsoft once fought hard to make their own hardware. Take the Surface for","speaker":null,"is_sponsor":0},{"start_s":319.36,"end_s":325.52,"text":"example, Microsoft's tablet and laptop lineup. They could have easily","speaker":null,"is_sponsor":0},{"start_s":323.199,"end_s":330.479,"text":"maintained the status quo just building their software as bestest as they can","speaker":null,"is_sponsor":0},{"start_s":328.08,"end_s":335.28,"text":"and letting the various OEMs build their systems around it. But instead, they","speaker":null,"is_sponsor":0},{"start_s":332.8,"end_s":340.16,"text":"invested many millions of dollars to design and build devices from the ground","speaker":null,"is_sponsor":0},{"start_s":337.759,"end_s":344.639,"text":"up with custom parts and this is important full control of the","speaker":null,"is_sponsor":0},{"start_s":342.08,"end_s":348.08,"text":"compromises that make a Surface a Surface. And that point is really","speaker":null,"is_sponsor":0},{"start_s":346.4,"end_s":352.8,"text":"important because pretty much every piece of consumer tech has some kind of","speaker":null,"is_sponsor":0},{"start_s":350.32,"end_s":357.039,"text":"compromise at its core. Now, usually these compromises are to keep the cost","speaker":null,"is_sponsor":0},{"start_s":354.56,"end_s":360.88,"text":"of manufacturing down so that the price doesn't go too high. Things like","speaker":null,"is_sponsor":0},{"start_s":358.56,"end_s":365.12,"text":"skipping out on an OLED screen or making the disc drive a separate thing. But","speaker":null,"is_sponsor":0},{"start_s":362.8,"end_s":369.12,"text":"sometimes these compromises could be to the margin of the manufacturer. Say for","speaker":null,"is_sponsor":0},{"start_s":367.199,"end_s":373.52,"text":"example, because they intend to make it back when they sell you software down","speaker":null,"is_sponsor":0},{"start_s":371.36,"end_s":380.0,"text":"the road. That's the big deal breaker with the new ASUS Xbox handhelds.","speaker":null,"is_sponsor":0},{"start_s":376.96,"end_s":382.8,"text":"Microsoft isn't subsidizing the cost.","speaker":null,"is_sponsor":0},{"start_s":380.0,"end_s":387.84,"text":"And ASUS has to make money on every unit sold because they don't get a 30% cut of","speaker":null,"is_sponsor":0},{"start_s":385.52,"end_s":394.24,"text":"whatever you buy in the Xbox store. So, the one you actually want is $1,000.","speaker":null,"is_sponsor":0},{"start_s":392.0,"end_s":399.919,"text":"I mean, that's not that unreasonable given the hardware that's in it and what","speaker":null,"is_sponsor":0},{"start_s":396.24,"end_s":402.88,"text":"the costs of it are, but I mean, that is","speaker":null,"is_sponsor":0},{"start_s":399.919,"end_s":407.039,"text":"galaxies away from mainstream pricing. And it's another signal on top of the","speaker":null,"is_sponsor":0},{"start_s":405.12,"end_s":411.759,"text":"increased cost of services and the increased cost of Microsoft's own","speaker":null,"is_sponsor":0},{"start_s":408.639,"end_s":413.84,"text":"hardware that Xbox just is not focused","speaker":null,"is_sponsor":0},{"start_s":411.759,"end_s":417.759,"text":"on bringing the best value in gaming, at least not the way they used to be. But","speaker":null,"is_sponsor":0},{"start_s":415.759,"end_s":424.319,"text":"then if Microsoft is just getting OEMs to make their hardware for them now, is","speaker":null,"is_sponsor":0},{"start_s":420.08,"end_s":426.639,"text":"Xbox just a logo and Windows? Hey,","speaker":null,"is_sponsor":0},{"start_s":424.319,"end_s":431.68,"text":"what's so bad about Windows being at the center of the future of Xbox? I mean,","speaker":null,"is_sponsor":0},{"start_s":429.12,"end_s":437.919,"text":"Windows has phenomenal cosmic compatibility and ity bitty little","speaker":null,"is_sponsor":0},{"start_s":434.479,"end_s":439.919,"text":"issues that uh really do add up. Windows","speaker":null,"is_sponsor":0},{"start_s":437.919,"end_s":446.0,"text":"has primarily been a mouse and keyboard product and using a joyad or touchcreen","speaker":null,"is_sponsor":0},{"start_s":442.96,"end_s":448.24,"text":"to navigate currently sucks. The years","speaker":null,"is_sponsor":0},{"start_s":446.0,"end_s":454.24,"text":"of patchwork development, multiple releases, and the need for their OS to","speaker":null,"is_sponsor":0},{"start_s":450.8,"end_s":456.56,"text":"do everything, not just games, means","speaker":null,"is_sponsor":0},{"start_s":454.24,"end_s":462.24,"text":"that there's a ton of inefficiencies and extra processes in the background versus","speaker":null,"is_sponsor":0},{"start_s":458.639,"end_s":463.68,"text":"something like Steam OS. Microsoft is","speaker":null,"is_sponsor":0},{"start_s":462.24,"end_s":467.599,"text":"working on these issues. Their new Windows handheld mode might actually","speaker":null,"is_sponsor":0},{"start_s":465.599,"end_s":472.16,"text":"release before this video does, but what they will never fix is a misgreant's","speaker":null,"is_sponsor":0},{"start_s":470.08,"end_s":477.28,"text":"ability to win every match in every lobby by nefarious means. You can't lock","speaker":null,"is_sponsor":0},{"start_s":475.039,"end_s":481.12,"text":"Windows down enough to prevent cheating. And they can't really prevent other","speaker":null,"is_sponsor":0},{"start_s":479.28,"end_s":486.0,"text":"storefronts from appearing on it, which from a gamer standpoint is pretty","speaker":null,"is_sponsor":0},{"start_s":483.28,"end_s":491.68,"text":"freaking great. We love competition, but from Microsoft's perspective, h this","speaker":null,"is_sponsor":0},{"start_s":488.96,"end_s":497.68,"text":"sucks. Unlike a lockdown console ecosystem, Xbox's services on Windows","speaker":null,"is_sponsor":0},{"start_s":494.639,"end_s":500.479,"text":"are just one of several options. They","speaker":null,"is_sponsor":0},{"start_s":497.68,"end_s":506.479,"text":"have to keep the value of PC Game Pass much more competitive than on Xbox.","speaker":null,"is_sponsor":0},{"start_s":503.12,"end_s":509.44,"text":"There is also an Xbox game storefront on","speaker":null,"is_sponsor":0},{"start_s":506.479,"end_s":514.08,"text":"PC, but do you know anyone who buys games from there? I don't think so. And","speaker":null,"is_sponsor":0},{"start_s":512.08,"end_s":519.919,"text":"while I've heard the fan theories that Xbox is desperate to get Game Pass on","speaker":null,"is_sponsor":0},{"start_s":516.88,"end_s":522.719,"text":"competing console platforms, I just","speaker":null,"is_sponsor":0},{"start_s":519.919,"end_s":528.0,"text":"don't see that happening. For one, their primary competitors are not interested","speaker":null,"is_sponsor":0},{"start_s":525.2,"end_s":535.12,"text":"in having Game Pass in their ecosystem. Nintendo, Sony, and Valve all make their","speaker":null,"is_sponsor":0},{"start_s":532.16,"end_s":540.399,"text":"money selling games, and having a competing service that does measurably","speaker":null,"is_sponsor":0},{"start_s":537.68,"end_s":546.24,"text":"reduce the amount of games sold is not good business. Two, even if they do let","speaker":null,"is_sponsor":0},{"start_s":543.92,"end_s":552.08,"text":"Microsoft weasel its way in, they are simply not going to do so without taking","speaker":null,"is_sponsor":0},{"start_s":548.959,"end_s":554.24,"text":"their cut, probably something like 30%.","speaker":null,"is_sponsor":0},{"start_s":552.08,"end_s":559.2,"text":"And at that point, I don't think Game Pass can take that big of a hit and","speaker":null,"is_sponsor":0},{"start_s":556.56,"end_s":562.48,"text":"remain profitable. And three, this might be the biggest one, Microsoft has","speaker":null,"is_sponsor":0},{"start_s":560.88,"end_s":568.48,"text":"signaled that having their biggest hitters as day one offerings on Game","speaker":null,"is_sponsor":0},{"start_s":565.04,"end_s":572.56,"text":"Pass loses them a lot of potential","speaker":null,"is_sponsor":0},{"start_s":568.48,"end_s":574.16,"text":"money, like the $300 million they left","speaker":null,"is_sponsor":0},{"start_s":572.56,"end_s":579.04,"text":"on the table with the latest Call of Duty. Right now, Microsoft gets to eat","speaker":null,"is_sponsor":0},{"start_s":576.88,"end_s":584.32,"text":"their cake with 37 million Game Pass subs and have it too by still selling","speaker":null,"is_sponsor":0},{"start_s":582.56,"end_s":589.04,"text":"millions of copies to PlayStation owners. Black Ops 6 was the highest","speaker":null,"is_sponsor":0},{"start_s":586.72,"end_s":592.959,"text":"grossing title in franchise history. And this isn't just a COD thing. Microsoft","speaker":null,"is_sponsor":0},{"start_s":591.519,"end_s":597.76,"text":"has been the top publisher on PlayStation for several months. And so","speaker":null,"is_sponsor":0},{"start_s":595.92,"end_s":601.6,"text":"even though it feels like Microsoft keeps shooting themselves in the foot at","speaker":null,"is_sponsor":0},{"start_s":599.44,"end_s":606.72,"text":"every possible occasion, and even though customers are seemingly turning on Xbox","speaker":null,"is_sponsor":0},{"start_s":604.08,"end_s":611.2,"text":"in every market, and even though their piece of the hardware pie keeps","speaker":null,"is_sponsor":0},{"start_s":608.72,"end_s":618.399,"text":"shrinking, their gaming division is making more revenue than ever in the","speaker":null,"is_sponsor":0},{"start_s":614.16,"end_s":620.48,"text":"history of all of Xbox. Just because I","speaker":null,"is_sponsor":0},{"start_s":618.399,"end_s":624.399,"text":"don't like what they're doing doesn't mean it isn't working for them. And","speaker":null,"is_sponsor":0},{"start_s":622.16,"end_s":629.12,"text":"while I really disagree with some of their moves, I think the discussion is","speaker":null,"is_sponsor":0},{"start_s":626.48,"end_s":634.24,"text":"less about Microsoft's failing strategy and more about them acknowledging the","speaker":null,"is_sponsor":0},{"start_s":631.519,"end_s":638.8,"text":"situation that games exclusivity driving console sales as a primary revenue","speaker":null,"is_sponsor":0},{"start_s":635.92,"end_s":642.88,"text":"stream is a thing of generations past, at least for them. But with that said,","speaker":null,"is_sponsor":0},{"start_s":640.72,"end_s":649.279,"text":"even Sony is smelling the roses these days. The PS5 has arguably Sony's","speaker":null,"is_sponsor":0},{"start_s":646.24,"end_s":651.12,"text":"weakest lineup ever of exclusives. And","speaker":null,"is_sponsor":0},{"start_s":649.279,"end_s":655.2,"text":"yet, it's their most profitable generation ever, which just goes to show","speaker":null,"is_sponsor":0},{"start_s":653.279,"end_s":660.48,"text":"people are still buying the consoles, even without the killer apps. But thanks","speaker":null,"is_sponsor":0},{"start_s":657.68,"end_s":664.88,"text":"to capitalism, no competition means that the monopoly charges whatever the heck","speaker":null,"is_sponsor":0},{"start_s":662.32,"end_s":669.2,"text":"they want. So, please Valve, please have the new Steam machines be good. Make","speaker":null,"is_sponsor":0},{"start_s":666.64,"end_s":677.76,"text":"them a real competitor for a 4K gaming system. Help me, Obie Gabe Canal. You're","speaker":null,"is_sponsor":0},{"start_s":672.64,"end_s":681.04,"text":"our only hope. Just like this segue is","speaker":null,"is_sponsor":0},{"start_s":677.76,"end_s":683.12,"text":"a new hope for our sponsor. Oh no,","speaker":null,"is_sponsor":1},{"start_s":681.04,"end_s":686.959,"text":">> Vessie. We're partnering with Vessie to bring you an exclusive October giveaway","speaker":null,"is_sponsor":1},{"start_s":685.36,"end_s":691.6,"text":"extravaganza. Enter for a chance to win one of seven","speaker":null,"is_sponsor":1},{"start_s":689.279,"end_s":696.88,"text":"prize packs, each loaded with Vessie gear, LTT Store merch, and more. Up for","speaker":null,"is_sponsor":1},{"start_s":694.88,"end_s":702.399,"text":"grabs is footwear like their Stormburst hightops, our very own commuter","speaker":null,"is_sponsor":1},{"start_s":698.959,"end_s":705.839,"text":"backpack, Sony XM6 headphones, and some","speaker":null,"is_sponsor":1},{"start_s":702.399,"end_s":707.76,"text":"secret to beannounced prizes. It is 100%","speaker":null,"is_sponsor":1},{"start_s":705.839,"end_s":712.16,"text":"free to enter. But if you're looking for some stylish shoes to protect yourself","speaker":null,"is_sponsor":1},{"start_s":709.519,"end_s":716.16,"text":"from the rain now, we've got a special 20% discount for you that is valid until","speaker":null,"is_sponsor":1},{"start_s":714.72,"end_s":721.92,"text":"the end of the month. So don't wait. Head over to vessie.com/lommg","speaker":null,"is_sponsor":1},{"start_s":719.279,"end_s":727.279,"text":"and enter the giveaway today and get an instant 20% off code sent directly to","speaker":null,"is_sponsor":1},{"start_s":724.8,"end_s":731.12,"text":"your inbox. Everything closes on October 31st, so act fast. Once again, that's","speaker":null,"is_sponsor":1},{"start_s":729.44,"end_s":736.16,"text":"vessi.com/LMG to take part in an exclusive giveaway","speaker":null,"is_sponsor":1},{"start_s":732.959,"end_s":737.839,"text":"and to secure your 20% off code. If you","speaker":null,"is_sponsor":1},{"start_s":736.16,"end_s":741.44,"text":"like discussions about consoles and you like seeing things ranked, why not check","speaker":null,"is_sponsor":0},{"start_s":739.44,"end_s":746.0,"text":"out our console tier list? It's both a tier list and a little gaming history","speaker":null,"is_sponsor":0},{"start_s":743.04,"end_s":749.44,"text":"lesson. And it really rocks, if I do say so myself. And David was the one who","speaker":null,"is_sponsor":0},{"start_s":748.0,"end_s":752.88,"text":"wrote that. And he definitely says so himself. He wrote it.","speaker":null,"is_sponsor":0}],"full_text":"Microsoft is in the news for hiking the price of Xbox Game Pass Ultimate again, and this time by 50%, leading to an historic surge of angry gamers smashing the unsubscribe button. And it has everyone from Microsoft's partners to the press to even individual gamers asking themselves, \"What the hell is going on at Xbox?\" I mean, one day Microsoft is celebrating, hey, Game Pass is totally making tons of money. Woo. And then the next day they're like, \"Actually, we're going to need more money from you. Thanks.\" On one hand, they're promising new Xboxes are coming for really actually real this time. And then on the other hand, they're like, \"Look at me. Your phone is the Xbox.\" Now, the same day that Phil Spencer sent out a memo that said, \"Our game road map has never looked stronger,\" they notified Xbox employees of a 10% staff reduction across several studios alongside the cancellation of multiple games. Well, which is it, Microsoft? Snip snap. Snip snap. Snip snap. I mean, it shouldn't surprise us that much. If we go back to 2013, there was that time Microsoft forgot they were making a game console. >> Xbox go home. But more recently, these WTF moments seem to be happening more and more frequently to the point where it's raising the question, is Xbox even going to exist within another generation or two, which is a huge problem because even though I've never actually owned one personally, I 100% appreciate the value of having Xbox as a player in the space. There's so few console makers now, and seeing one of the major makers bow out now would be a big problem for competition. I have owned a lot of Xboxes and I'm also really terrified of a gaming future where Sony and Nintendo are going to have free reign to do whatever they like. Free reign, like do our Segways to our sponsors, Hadner. Get a powerful and scalable data storage solution that locks things down to GDRP and strict German privacy law standards with Headner. Click our link and use code LTT25 to get $20 off their S3 compatible object storage solution today. It would be easy for us to kick this off with a crackdown on Xbox for all of its many problems these days, but let's give credit where it's due. 30 bucks a month multiplied by 12 is $360. >> Oh my god, we're so back. We're living in the 360 era again. Let's go. Okay, but for real, Xbox and PC Game Pass have been a great value for a lot of gamers. They've allowed people to try out experiences they might have otherwise overlooked, gotten eyes on games that might have struggled to find an audience, and according to some devs, even provided a stabilizing, de-risking presence for some smaller indie releases. It's been so good, in fact, that the service has, frankly, overshadowed their hardware for quite a while now, which is a shame because Xbox's hardware has also been traditionally pretty darn solid. We're PC people, which means we're often deriding consoles for their aging mid-tier hardware. But when you bear down on what you get for your dollar, it's kind of hard to argue with the original MSRPs of the series lineup. Just ignore the two price hikes just for a minute. We'll get to those later. Point is, for a long time, the combination of an Xbox Series S or even the X for that matter, plus Game Pass, was a pretty killer entry point into highfidelity gaming. And this next one definitely benefits us less. But you got to give credit, I guess, to Xbox's business side for successfully accumulating new studios and publishers like a gem-hungry Thanos. It has drastically increased their overall gaming revenue. And to Microsoft's credit, for better or for worse, they haven't greedily gatekept those franchise stones from the competition, which kind of plays into what looks to us like what might be a big switch away from hardware and toward providing services. Now, Xbox has stated many times that they do have more Xbox hardware on the way, but honestly, each press release feels less and less like an exciting promise and more and more like damage control over some bad headlines. Through both the naming of the current two-tier generation and the fact that seemingly everything with the screen could technically be an Xbox, Microsoft is telling us that a singular Xbox is not at the center of their game plan. And that means that resources which used to be spent on making the ultimate Xbox experience in one place like Engineering and Design Time are trickling out to make their streaming app pretty okay on your LG TV or your Samsung phone. You can kind of see this change with the first party Xbox handheld being canned in part due to Microsoft not being so confident they could sell 10 million of them, which to be fair, not even the Steam Deck has sold that many units. Instead, we're seeing Big Green offload their work and the risk to simply facilitate the release of an ASUS handheld with an Xbox button. And although this might seem just like a neat little side quest that should have little bearing on the future of Master Chief's chefs, it does raise major questions about a shift in paradigm at the old Redmond offices. Microsoft once fought hard to make their own hardware. Take the Surface for example, Microsoft's tablet and laptop lineup. They could have easily maintained the status quo just building their software as bestest as they can and letting the various OEMs build their systems around it. But instead, they invested many millions of dollars to design and build devices from the ground up with custom parts and this is important full control of the compromises that make a Surface a Surface. And that point is really important because pretty much every piece of consumer tech has some kind of compromise at its core. Now, usually these compromises are to keep the cost of manufacturing down so that the price doesn't go too high. Things like skipping out on an OLED screen or making the disc drive a separate thing. But sometimes these compromises could be to the margin of the manufacturer. Say for example, because they intend to make it back when they sell you software down the road. That's the big deal breaker with the new ASUS Xbox handhelds. Microsoft isn't subsidizing the cost. And ASUS has to make money on every unit sold because they don't get a 30% cut of whatever you buy in the Xbox store. So, the one you actually want is $1,000. I mean, that's not that unreasonable given the hardware that's in it and what the costs of it are, but I mean, that is galaxies away from mainstream pricing. And it's another signal on top of the increased cost of services and the increased cost of Microsoft's own hardware that Xbox just is not focused on bringing the best value in gaming, at least not the way they used to be. But then if Microsoft is just getting OEMs to make their hardware for them now, is Xbox just a logo and Windows? Hey, what's so bad about Windows being at the center of the future of Xbox? I mean, Windows has phenomenal cosmic compatibility and ity bitty little issues that uh really do add up. Windows has primarily been a mouse and keyboard product and using a joyad or touchcreen to navigate currently sucks. The years of patchwork development, multiple releases, and the need for their OS to do everything, not just games, means that there's a ton of inefficiencies and extra processes in the background versus something like Steam OS. Microsoft is working on these issues. Their new Windows handheld mode might actually release before this video does, but what they will never fix is a misgreant's ability to win every match in every lobby by nefarious means. You can't lock Windows down enough to prevent cheating. And they can't really prevent other storefronts from appearing on it, which from a gamer standpoint is pretty freaking great. We love competition, but from Microsoft's perspective, h this sucks. Unlike a lockdown console ecosystem, Xbox's services on Windows are just one of several options. They have to keep the value of PC Game Pass much more competitive than on Xbox. There is also an Xbox game storefront on PC, but do you know anyone who buys games from there? I don't think so. And while I've heard the fan theories that Xbox is desperate to get Game Pass on competing console platforms, I just don't see that happening. For one, their primary competitors are not interested in having Game Pass in their ecosystem. Nintendo, Sony, and Valve all make their money selling games, and having a competing service that does measurably reduce the amount of games sold is not good business. Two, even if they do let Microsoft weasel its way in, they are simply not going to do so without taking their cut, probably something like 30%. And at that point, I don't think Game Pass can take that big of a hit and remain profitable. And three, this might be the biggest one, Microsoft has signaled that having their biggest hitters as day one offerings on Game Pass loses them a lot of potential money, like the $300 million they left on the table with the latest Call of Duty. Right now, Microsoft gets to eat their cake with 37 million Game Pass subs and have it too by still selling millions of copies to PlayStation owners. Black Ops 6 was the highest grossing title in franchise history. And this isn't just a COD thing. Microsoft has been the top publisher on PlayStation for several months. And so even though it feels like Microsoft keeps shooting themselves in the foot at every possible occasion, and even though customers are seemingly turning on Xbox in every market, and even though their piece of the hardware pie keeps shrinking, their gaming division is making more revenue than ever in the history of all of Xbox. Just because I don't like what they're doing doesn't mean it isn't working for them. And while I really disagree with some of their moves, I think the discussion is less about Microsoft's failing strategy and more about them acknowledging the situation that games exclusivity driving console sales as a primary revenue stream is a thing of generations past, at least for them. But with that said, even Sony is smelling the roses these days. The PS5 has arguably Sony's weakest lineup ever of exclusives. And yet, it's their most profitable generation ever, which just goes to show people are still buying the consoles, even without the killer apps. But thanks to capitalism, no competition means that the monopoly charges whatever the heck they want. So, please Valve, please have the new Steam machines be good. Make them a real competitor for a 4K gaming system. Help me, Obie Gabe Canal. You're our only hope. Just like this segue is a new hope for our sponsor. Oh no, >> Vessie. We're partnering with Vessie to bring you an exclusive October giveaway extravaganza. Enter for a chance to win one of seven prize packs, each loaded with Vessie gear, LTT Store merch, and more. Up for grabs is footwear like their Stormburst hightops, our very own commuter backpack, Sony XM6 headphones, and some secret to beannounced prizes. It is 100% free to enter. But if you're looking for some stylish shoes to protect yourself from the rain now, we've got a special 20% discount for you that is valid until the end of the month. So don't wait. Head over to vessie.com/lommg and enter the giveaway today and get an instant 20% off code sent directly to your inbox. Everything closes on October 31st, so act fast. Once again, that's vessi.com/LMG to take part in an exclusive giveaway and to secure your 20% off code. If you like discussions about consoles and you like seeing things ranked, why not check out our console tier list? It's both a tier list and a little gaming history lesson. And it really rocks, if I do say so myself. And David was the one who wrote that. And he definitely says so himself. He wrote it."}