“It’s a misleading narrative of the facts.” Microsoft responds to FTC letter, defends new Game Pass standard

The TV series about Microsoft buying Activision Blizzard may be over – thank goodness – but it’s clear that Federal Trade Commission From the US (Federal Trade Commission) was not satisfied: it responded in record time to increase the prices of Game Pass on Xbox consoles by text It was brought to the Court of Appeals, where it called the new Game Pass Standard plan a “degraded product.” A day later, Microsoft responded and clarified with the same precision.

Through its legal representatives, Microsoft issued a message stating: The FTC’s letter is described as a “misleading statement of facts.” Which, in addition to being unpublishable in the face of their appeal after the purchase decision, deliberately ignores a key element of the new Game Pass Standard plan for Xbox consoles: the loss of new releases like Call of Duty, but the process includes online multiplayer, which, until the change in Game Pass plans, had to be contracted separately.

Message shared by Tom Warren of The Verge Which we copied right after, not only justifies the new pricing for Game Pass Standard and Game Pass Ultimate (which includes the launch games plus PC, EA Play, or cloud gaming subscriptions) but also directly contradicts the FTC itself, which makes it clear that so far its concern has been Call of Duty exclusivity and that the impending release will be released on all platforms including PlayStation.

“The FTC’s letter presents a misleading and unofficial description of the facts, and is a continuation of the agency’s attempts to reinvent its case on appeal.

Earlier this month, Microsoft announced changes to its Game Pass subscription service, offering consumers value options at different price points. Microsoft is introducing a new tier of service, Game Pass Standard, which offers access to hundreds of catalog games and multiplayer functionality for $14.99 per month.

It would be a mistake to call this a “discounted” version of the discontinued Game Pass offering for consoles. That discontinued product did not offer multiplayer functionality, which had to be purchased separately for an additional $9.99 per month (making the total cost $20.98 per month).

While the price of Game Pass Ultimate will increase from $16.99 to $19.99 per month, the service will offer greater value with several new games available “out of the box.” Among them is the upcoming Call of Duty, which was previously not available at launch with a subscription.

In fact, in the last section of the writing Microsoft questions FTC’s intentions. And his way of changing the focus of his appeal, since throughout the blockade of the purchase of Activision Blizzard, he based a large part of his strategy on the consequences for the video game market of transforming the saga Call of duty Exclusively for Xbox consoles.

“The FTC barely mentioned the subscription to the evidence, focusing instead on the theory that Microsoft would block Call of Duty from Sony’s console. The district court correctly rejected that theory, which has now been further eroded by Microsoft and Sony’s ten-year settlement deal to keep Call of Duty on the PlayStation, a deal that Sony was “eager” to enter into.

While the FTC sought to shift focus to the alleged subscription market, its letter does not focus on its arguments below. Despite the fact that it is common for companies to change their service offerings over time, the FTC’s case in all of its alleged markets has always been based on vertical foreclosure, meaning that Microsoft would be keeping Call of Duty from competitors and thus harming competition. But even in the supposed subscription market, Call of Duty is not hidden from anyone who wants it.”

At the time of writing, it is not known whether the US Court of Appeals will consider the FTC’s brief or whether Microsoft’s response will be evaluated and dismissed, but we are clear about three things: Call of Duty Black Ops 6 It will be released to Game Pass, but not to all Xbox subscribers; the game can be purchased – as always – on all systems from the site October 25, 2024 Despite the fact that the creators are already fully integrated into Microsoft, the FTC doesn’t seem to have any intention of abandoning or ending the series.

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