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

BBC News
10 Jun 202403:36

Summary

TLDRActivision'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.

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Gaming IndustrySubscription ModelCall of DutyBlack Ops 6Monthly FeeGame PassIn-Game MonetizationEntertainment SpectrumDigital SalesMarket AnalysisGaming Trends
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