HACKINTOSH.ORG | Macintosh discussion forums

The FTC is as mad about the Xbox Game Pass price increase as you are

<p>Microsoft has made changes to its Xbox Game Pass service that are &quot;exactly the sort of consumer harm&quot; from its Activision acquisition that the Federal Trade Commission (FTC) was worried about, the agency <a data-i13n="cpos:1;pos:1" href="https://storage.courtlistener.com/recap/gov.uscourts.ca9.344453/gov.uscourts.ca9.344453.121.0_1.pdf">wrote in a letter[/url] addressed to the US Appeals Court. The FTC's letter focused on a recent <a data-i13n="cpos:2;pos:1" href="https://www.engadget.com/xbox-is-increasing-game-pass-prices-and-adding-a-standard-plan-234657957.html">price hike[/url] for the Xbox Game Pass and <a data-i13n="cpos:3;pos:1" href="https://www.theverge.com/2024/7/18/24201576/ftc-microsoft-xbox-game-pass-price-increases-standard-tier">pointed out[/url] that the Game Pass Ultimate now costs $20 a month, which is $3 more per month than before and represents a 17 percent year-over-year increase.&nbsp;&nbsp;</p>
<p>In addition, the agency called attention to Microsoft's decision to discontinue the $11 Console Game Pass plan.  The agency added a new Game Pass Standard tier, but it costs more at $15 a month. While it's a step up from the barebones Core plan, it doesn't include access to day-one releases, leading the FTC to call it a &quot;degraded product.&quot; Microsoft will fully discontinue the Console tier just before the launch of the next Call of Duty game, the FTC said. <a data-i13n="cpos:4;pos:1" href="https://www.engadget.com/the-next-call-of-duty-is-black-ops-6-161916709.html">Call of Duty: Black Ops 6[/url] will be playable via Game Pass from its release date on October 25, which means subscribers who want to access it on day one will have to pay for the $20-a-month tier.&nbsp;</p>
<span id="end-legacy-contents"></span><p>The company promised that the &quot;acquisition would benefit consumers by making [CoD] available on Microsoft’s Game Pass on the day it is released on console (with no price increase for the service based on the acquisition),&quot; the FTC wrote. But Microsoft's actions show a firm that's &quot;exercising market power post-merger,&quot; it noted.</p>
<p>The FTC repeatedly challenged Microsoft's purchase of Activision Blizzard, but a judge <a data-i13n="cpos:5;pos:1" href="https://www.engadget.com/microsofts-activision-acquisition-moves-ahead-as-judge-rejects-ftc-injunction-request-152845890.html">rejected[/url] its request for an injunction. At the time, the judge ruled that the FTC failed to demonstrate how the merger would lessen competition and even said that there was &quot;record evidence&quot; pointing to &quot;more consumer access to Call of Duty and other Activision content.&quot;&nbsp;</p>
<p>Microsoft, which officially <a data-i13n="cpos:6;pos:1" href="https://www.engadget.com/activision-blizzard-now-officially-belongs-to-microsoft-125053787.html">closed the $69 billion deal[/url] in October 2023 after that ruling and after the blessing of regulators in the <a data-i13n="cpos:7;pos:1" href="https://www.engadget.com/the-eu-approves-microsofts-687-billion-activision-blizzard-takeover-160319415.html">EU[/url] and the <a data-i13n="cpos:8;pos:1" href="https://www.engadget.com/microsofts-activision-merger-set-to-get-its-final-uk-approval-083315786.html">UK[/url], now officially owns Activision Blizzard. But the FTC still isn't done opposing the merger and <a data-i13n="cpos:9;pos:1" href="https://www.reuters.com/markets/deals/us-ftc-tries-again-stop-microsofts-already-closed-deal-activision-2023-12-06/">filed an appeal[/url] in an attempt to the block the already-closed deal, telling the court that it can prove its case by showing that Microsoft has the ability and incentive to withhold Activision's games. Back in February, the agency also <a data-i13n="cpos:10;pos:1" href="https://www.engadget.com/ftc-accuses-microsoft-of-misrepresenting-its-activision-blizzard-plans-after-layoffs-215502314.html">accused Microsoft[/url] of going against its pledge to allow Activision Blizzard to operate independently post-acquisition after the company laid off nearly 2,000 employees in its gaming division.&nbsp;</p>This article originally appeared on Engadget at https://www.engadget.com/the-ftc-is-as-mad-about-the-xbox-game-pass-price-increase-as-you-are-120031248.html?src=rss

Source: The FTC is as mad about the Xbox Game Pass price increase as you are (https://www.engadget.com/the-ftc-is-as-mad-about-the-xbox-game-pass-price-increase-as-you-are-120031248.html?src=rss)