Former PlayStation Boss Throws Shade at Xbox Game Pass

Former PlayStation Worldwide Studios’ chairman Shawn Layden has recently criticized gaming subscription models such as Xbox Game Pass. The former Sony executive defended the notion that Xbox Game Pass and services with similar business models are detrimental to the industry, negatively affecting companies and developers.

It’s no secret that Xbox Game Pass is one of the most successful subscription services in the gaming industry. Reports indicate that Xbox Game Pass currently has over 35 million subscribers, experiencing a decline in growth in recent years, but remaining massively important for Microsoft. Criticism against the business model has intensified after Microsoft’s recent layoffs, which affected multiple studios, such as Raven Software, Turn 10 Studios, and Rare.

Former PlayStation Boss Shawn Layden Thinks Game Pass Is Bad for the Gaming Industry

Now, former PlayStation boss Shawn Layden has blasted Xbox Game Pass and similar services in an interview with GameIndustry.biz, suggesting it incentivizes a new normal where people are unwilling to pay for games. According to Layden, the idea of the “Netflix of gaming” is dangerous, as he cited Spotify as part of the reason why people don’t buy music anymore. The executive was especially harsh with day-one games launching via subscription services, which he considers to be “bad for the business.”

​Echoing recent criticism of Xbox Game Pass made by developer Raphael Colantonio, Layden also talked about Xbox Game Pass’ profitability. “Is Game Pass profitable? Is Game Pass not profitable? What does that mean?” he asked. Layden also went on to say it’s possible to do “all kinds of financial jiggery-pokery” to make the service look better for the company, but Game Pass is not healthy for the developers. According to the exec, developers working to launch games in a subscription model are essentially paid “slave wages.”

Despite the criticism, Xbox Game Pass is here to stay, at least for the foreseeable future. Reports also indicate that Xbox Game Pass is seen as profitable by Microsoft, despite costing the sales of first-party titles. Strategies such as increasing the price of subscriptions and releasing first-party games on platforms like the PS5 have likely helped, too.

In any case, it’s hard to completely evaluate Game Pass’ impact on the gaming industry. Back in 2022, Obsidian Entertainment developer Josh Sawyer said that Pentiment wouldn’t exist without Xbox Game Pass, for example, so there will always be different opinions on the matter. What Xbox fans can hope for is that the model will prove sustainable over the years without hurting the industry, but only time will tell how Microsoft will continue to handle its popular service.