Call of Duty Black Ops 6 subscription model set to shake up gaming | BBC News

Summary

Activision's blockbuster game 'Call of Duty' is undergoing a significant shift in its marketing strategy with the upcoming release of 'Black Ops 6'. Instead of the traditional one-time purchase, the game will be offered as part of a monthly subscription service, similar to Netflix, which is expected to cost around the same as a Netflix subscription. This move is seen as a pivotal moment for the gaming industry, as it marks the entry of a major franchise into the subscription model. The change could lead to increased in-game monetization opportunities, such as the sale of extra lives, and is part of a broader trend towards a 'Netflix of gaming' approach, which aims to reach larger audiences and monetize them through ongoing in-game purchases.

Takeaways

• 🎮 Call of Duty, a major gaming franchise with over 30 billion in lifetime sales, is transitioning to a subscription model.
• 🆕 The upcoming release, Black Ops 6, in October will be part of this new subscription service.
• 💰 Previously, gamers had to pay $70-$100 upfront to purchase a Call of Duty title; now they will pay a monthly fee similar to a Netflix subscription.
• 🔄 This change is significant as it represents a shift in the gaming industry's approach to monetization for blockbuster titles.
• 🎲 The subscription model includes the possibility of in-game purchases, such as extra lives, providing ongoing revenue streams.
• 🤔 Microsoft, which owns the game pass, is not expected to be making a loss with this model; they anticipate increased overall revenue.
• 🛍️ Gamers have the option to upgrade to premium editions of the game even if they have the standard game pass version.
• 📈 The gaming industry is exploring new ways to monetize audiences, with in-game purchases being a key strategy.
• 🎥 The concept of a 'Netflix for gaming' has been around for about a decade, but the industry is not expected to completely abandon premium sales like the music or video sectors.
• 🌐 Subscription services are seen as an opportunity to reach larger audiences and monetize them through in-game purchases, rather than a replacement for traditional sales.
• 🔮 The interview with Piers Harding from ampair analysis suggests that this move by Call of Duty could be a pivotal moment for the gaming industry's business models.

Q & A

What is the significant change in the marketing strategy for the Call of Duty franchise?

The significant change is the introduction of a monthly subscription model, replacing the traditional one-time purchase of the game, which is a dramatic shift for such a large franchise.

When is the new version of Call of Duty, Black Ops 6, scheduled for release?

Black Ops 6 is scheduled for release in October.

What is the estimated cost of the new Call of Duty subscription service compared to a Netflix subscription?

The monthly subscription for Call of Duty is expected to cost around the same as a Netflix subscription.

How many people play Call of Duty monthly, and what does this represent for the gaming industry?

Call of Duty is played by 25 million people every month, making its move to a subscription service a significant moment for the industry.

Which platforms will the new Call of Duty game pass be available on?

The new Call of Duty game pass will be available on the Xbox platform and PC.

What is the historical sales figure for the Call of Duty franchise over its lifetime?

The Call of Duty franchise has made sales of upwards of 30 billion dollars over its lifetime.

Why is the move to a subscription service considered a watershed moment for the gaming industry?

It's a watershed moment because Call of Duty is one of the top five franchises in gaming, and such a large franchise moving to a subscription service is unprecedented.

How does the subscription model differ from the traditional model in terms of monetization opportunities for publishers?

The subscription model allows for ongoing monetization through in-game purchases and recurring revenue, rather than a one-time premium sale.

What opportunities does the subscription model provide for die-hard fans to spend money while playing?

Die-hard fans have the opportunity to spend money on in-game items such as extra lives, and there's an option to upgrade to premium editions of the game.

Is Microsoft expecting to lose money with this new subscription model, and what is their strategy?

Microsoft is taking a pragmatic approach to mitigate the loss of premium sales by offering in-game monetization opportunities and premium edition upgrades.

Is the gaming industry moving towards a Netflix-like model for all games, similar to the shift in movie and music industries?

While the idea of a 'Netflix of gaming' has been around for a while, the industry is not expected to switch completely due to the unique ability to monetize in-game, allowing for both subscription revenues and in-game purchases.