Microsoft: Competitive Pricing For Digital Downloads Coming?

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I've always wondered why digital downloads of everything (movies, books, games) all cost the same as the physical retail versions. Well, according to Major Nelson, Microsoft is aware of the concerns and a solution is "on the agenda."

MajorNelson = We are way aware of this and many of the concerns of the community - we have some great stuff planned for Xbox One this year (and beyond.) As soon as we can share some of the goodness...we will :)

lshawmcminn = I hope it includes competitive pricing for digital downloads, because it does feel like we are being punished for downloading digitally. I have been of the strong opinion that you guys are going to take care of this fairly soon. I know there are a lot of things high on the priority lists for X1 and I don't mind that those things are taken care of first, but it should be on the agenda.

MajorNelson = It is indeed on the agenda.
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Translation: We'll figure out a way to make the physical copies more expensive while keeping the digital costs the same.
 
bildad said:
Translation: We'll figure out a way to make the physical copies more expensive while keeping the digital costs the same.
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Most likely true

I for one would LOVE a Steam-ish Console game delivery.
 
Here is how I see it. They had some "great" incentives and ideas when the XBONE was initially announced. Of course with the worse and most restrictive user license approach that I have seen yet. I think they will make digital copies cheaper simply to get people on board with a digital only system. That way they have planted the seeds necessary to get away with the next console with what they couldn't on the XBONE.
 
The digital costs are mostly forced by the copy right holders. The entire success of many of the worlds top companies comes down to a single deal, when they convinced the copy right holders to give them a better deal than anyone else. Usually it was a mistake. Netflix, Apple, etc.... There is no reason why on demand from Comcast should not be the exact same price as renting from redbox. In fact if that happened Comcast could destroy everyone. But for some reason they cant get a negotiation through like that.

The point is everyone wants it the only question is who has the power to break the film industry? Unfortunately for MS, SONY owns half the movie industry so realistically I think MS will have trouble moving forward.
 
After finding out that you have to install games fully onto the hard drive of the XBone, BUT you are still required to have the disc in the drive to play (WTF Microsoft ?), all I want to do is digital downloads.

No disc to insert.
 
I wish they had constant monthly sales like PS Plus. Seriously some crazy good sales come in every month and at least 3 free games. MS copied the free games but havent done the discount on top of the sale like PS Plus I dont think.
 
TechLarry said:
After finding out that you have to install games fully onto the hard drive of the XBone, BUT you are still required to have the disc in the drive to play (WTF Microsoft ?), all I want to do is digital downloads.

No disc to insert.
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Then buy only digital copies then. Every game has a digital version out there on day one, so there is no reason to buy disc unless you want a disc copy. The reason for the need for the disc to be in there is because otherwise they have no way to tell if you actually own the game or if you rented / borrowed the game.

I actually believe that was one of the pluses of the 24 hour check in. You wouldn't need to insert the disc as the game would be registered to your system. But without a way to know if the game is really your game or not they can't allow you to install and never need the disc again.
 
///AMG said:
I wish they had constant monthly sales like PS Plus. Seriously some crazy good sales come in every month and at least 3 free games. MS copied the free games but havent done the discount on top of the sale like PS Plus I dont think.
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On the Xbox 360 they have sales, just depends on what you like.
 
rudy said:
The digital costs are mostly forced by the copy right holders. The entire success of many of the worlds top companies comes down to a single deal, when they convinced the copy right holders to give them a better deal than anyone else. Usually it was a mistake. Netflix, Apple, etc.... There is no reason why on demand from Comcast should not be the exact same price as renting from redbox. In fact if that happened Comcast could destroy everyone. But for some reason they cant get a negotiation through like that.

The point is everyone wants it the only question is who has the power to break the film industry? Unfortunately for MS, SONY owns half the movie industry so realistically I think MS will have trouble moving forward.
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Redbox sets their own prices. It is one of the advantages of physical media and fair use. A long time ago the studios pushed back and said they wouldn't sell to them, so they worked deals with retailers to get the discs.
 
XamediX said:
MS has had one for awhile now. What aspects of STEAM were you referring to specifically?
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The one where there is, you know, competition.

Steam has a network of third party resellers, as well as there are other marketplaces it competes with on Windows (Origin, GOG, 7 or 8 others who you can google).

Xbox's online marketplace by contrast has no competition - your choices are Microsoft, Microsoft and Microsoft. Thus they'll never reduce the price unless something comes out in the techpress like this that embarrasses them and they backpedal.
 
Steve said:
I've always wondered why digital downloads of everything (movies, books, games) all cost the same as the physical retail versions. Well, according to Major Nelson, Microsoft is aware of the concerns and a solution is "on the agenda."
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Huh? I don't know about movies, because I'd never consider buying a digital only movie, but eBooks are generally cheaper than a book. Music just depends. If you don't buy on sale, then MP3 albums are typically 10 bucks, while CDs are 10-14 (mostly 12-13).

On sale, new Cd's generally 10 bucks and MP3s $4.00-$5.00.
I don't generally jump on the new game bandwagon, so I don't know how pricing works, but steam seems to sell games at pretty deep discounts at least a couple of times a year.
 
DPI said:
The one where there is, you know, competition.

Steam has a network of third party resellers, as well as there are other marketplaces it competes with on Windows (Origin, GOG, 7 or 8 others who you can google).

Xbox's online marketplace by contrast has no competition - your choices are Microsoft, Microsoft and Microsoft. Thus they'll never reduce the price unless something comes out in the techpress like this that embarrasses them and they backpedal.
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Microsoft could easily outprice sony they don't have to make as much of a profit margin due to company's position plus they get a little more out of their subscriptions so they can always just low bid sony's digital sellers which is all they have to compete with.
 
Good for Microsoft, Bill gates should of done this a while ago when he wanted to in the late 90's. Love competition and I hope they really bring it.
 
Semantics said:
Microsoft could easily outprice sony they don't have to make as much of a profit margin due to company's position plus they get a little more out of their subscriptions so they can always just low bid sony's digital sellers which is all they have to compete with.
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That's the very definition of captive market.
 
Putting everything on sale would pretty much kill big box stores like Gamestop. The only people that would shop in box stores would have to for not having broadband.

I've seen plenty of companies go out of business because online sales were always cheaper then box stores. As a result, the company never got exposure because people couldn't walk in and see/test products. And as a result, in the end they lost sales/market share.

This is why retailers have a MAP. (Minimum advertised price) to keep from undercutting box stores.

XBox could play a dangerous game if they undersell the box stores their non-online gamers depend on.
 
DPI said:
The one where there is, you know, competition.

Steam has a network of third party resellers, as well as there are other marketplaces it competes with on Windows (Origin, GOG, 7 or 8 others who you can google).

Xbox's online marketplace by contrast has no competition - your choices are Microsoft, Microsoft and Microsoft. Thus they'll never reduce the price unless something comes out in the techpress like this that embarrasses them and they backpedal.
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Ok so you weren't talking about the technical aspect but the business aspect. I just wanted to make that clear. I can see where you are going but you can buy third party games on the Xbox and I'm sure they have the same pricing options as Steam does.
 
DigitalGriffin said:
Putting everything on sale would pretty much kill big box stores like Gamestop. The only people that would shop in box stores would have to for not having broadband.

I've seen plenty of companies go out of business because online sales were always cheaper then box stores. As a result, the company never got exposure because people couldn't walk in and see/test products. And as a result, in the end they lost sales/market share.

This is why retailers have a MAP. (Minimum advertised price) to keep from undercutting box stores.

XBox could play a dangerous game if they undersell the box stores their non-online gamers depend on.
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Exactly. This is the same reason Steam sales aren't found for games that are new and even more so during the beginning years of Steam. They had to keep the B&M retailers happy or they would stop utilizing Steam because who wants to deal with product cannibalism?
 
Exavior said:
Then buy only digital copies then. Every game has a digital version out there on day one, so there is no reason to buy disc unless you want a disc copy. The reason for the need for the disc to be in there is because otherwise they have no way to tell if you actually own the game or if you rented / borrowed the game.

I actually believe that was one of the pluses of the 24 hour check in. You wouldn't need to insert the disc as the game would be registered to your system. But without a way to know if the game is really your game or not they can't allow you to install and never need the disc again.
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Huh ?
 
Trimlock said:
Good for Microsoft, Bill gates should of done this a while ago when he wanted to in the late 90's. Love competition and I hope they really bring it.
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Competition doesn't work like it used to.

Now they just get together, determine a price they all want to sell at, and price appropriately.
 
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