Xbox CEO 'would love to chat' with ex-PlayStation boss Shawn Layden about Game Pass

New Xbox CEO Asha Sharma is interested in talking to former PlayStation boss Shawn Layden about the Xbox Game Pass subscription service business model.

Xbox CEO 'would love to chat' with ex-PlayStation boss Shawn Layden about Game Pass
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Senior Gaming Editor
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TL;DR: Former PlayStation boss Shawn Layden criticizes Xbox Game Pass for its costly, inflexible model and deferred success strategy with day-one AAA releases, prompting Xbox CEO Asha Sharma to consider changes and engage Layden. Despite $5 billion revenue, Game Pass's profitability and internal value distribution remain unclear.
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Former PlayStation boss Shawn Layden has been outspoken about Game Pass for quite some time, and his recent comments have caught the attention of current CEO Asha Sharma.

Xbox CEO 'would love to chat' with ex-PlayStation boss Shawn Layden about Game Pass 223

Despite thunderous $5 billion gross revenues, and assertions of profitability from management, Xbox Game Pass has been criticized by industry analysts and executives alike, including former PlayStation boss Shawn Layden. By including new AAA games day and date, the service seems to operate on a kind of deferred success subscription model that potentially devalues front-line pricing of big games in favor of the hopes of facilitating long-term subscriptions. This effect remains the principal criticism of the service.

Xbox's new CEO Asha Sharma has recently called for a change in the Game Pass model, saying that it's too expensive in the short term and too inflexible in the long-term. This is quite topical, because former PlayStation boss Shawn Layden also recently shared a fiery comment on a LinkedIn post centered on Game Pass, saying: "They are trying so hard to will this into health, despite unfavorable diagnostics and a grim prognosis. A clarifying post mortem would do the entire industry some good."

Xbox CEO 'would love to chat' with ex-PlayStation boss Shawn Layden about Game Pass 2

This prompted Asha Sharma to respond--she's interested in speaking to Layden about Game Pass, but it's unclear whether or not Sharma is seeking advice from the former PlayStation executive in how to shape Game Pass, or if she's attempting to make corrective clarifications on how the service operates.

Read Also:Opinion: Game Pass tier with first-party games won't fix the subscription's biggest problem

Game Pass has indeed been a mysterious force in the Xbox ecosystem. Layden's calls for a post mortem would shine a light on Game Pass and expose parts of its inner workings to provide transparency to the industry at large.

The service maximizes consumer value while lowering the access price to its biggest games, all set as a big value proposition on Microsoft's own first-party Xbox-and-PC platform combo. The ins and outs on how the service operates--and how its $5 billion coffers are doled out among the developers that supply the hundreds of games on the subscription--aren't very evident.

In that same LinkedIn comment thread, gaming CFO Laurent Saurel actually reaffirmed my recent analysis on Game Pass regarding first-party AAA games launching day one on Game Pass:

"Having AAA day 1 titles will always make it very difficult to turn a profit on big franchises," Saurel said.

Even with the data leaks from the FTC v Microsoft trial in 2023, the formulaic approach to assigning value amongst Xbox's first-party games still remains a mystery.

Perhaps Game Pass could ultimately shift and evolve with Layden's feedback, however Microsoft has yet to announce or confirm any specifics on how the service will change.

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Senior Gaming Editor

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Derek joined TweakTown in 2015 and has since reviewed and played 1000s of hours of new games. Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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