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Major Nelson Hints at Xbox's Vision for a Digital-Only Future

Is Xbox Play Anywhere a gentle attempt to change consumers' minds about digital-only and DRM?

231 Comments

In the Executive Lounge at the Hilton, high above the show floor of the Melbourne Convention and Exhibition Centre, sat Larry "Major Nelson" Hryb, the energetic and long-serving public face of Xbox. Hryb was in town to deliver the Story Time keynote at PAX Australia 2016, and took some time out of his busy schedule to speak to GameSpot. His keynote was predictably focused on the question "how do I get your job," and eventually shifted to the motivational, focusing on the concept of saying yes to opportunities.

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Hryb's official title at Microsoft is Director of Programming for Xbox Live, which focuses him squarely on projects and programs relating to the Xbox platform. This includes Xbox Play Anywhere, the relatively new initiative that allows games to be purchased once, and playable on both Xbox One, and on PC via the Windows 10 Store. We were curious whether Play Anywhere was an attempt by Microsoft to gently shift public opinion toward its vision for a digital-only future, the very same future it backpedaled on during the Xbox One launch.

"I think the world is—with every passing year and month, every passing moment—the world is more and more comfortable with digital purchases, and frankly that’s what consumers are demanding," claimed Hryb. "They want to have that flexibility of content unlocking and being available the moment a game is released. Being able to download it at their leisure."

To Hryb, Play Anywhere is representative of the what modern-day Xbox has become. "We wanna make sure that gaming for Microsoft equals Xbox," he said, driving home those words with five raps of the table. "Xbox has always been a gaming console, and over the last year and a half or so, you’ve seen it become the gaming brand for Microsoft. Under that, it can mean what you want it to mean. Whether you’re part of the PC group that wants to have the latest and greatest in 4K gaming, 120 frames per second, that whole routine. Or maybe you just want to sit down and play a great game on a console and don’t have time for that. We’re trying to make sure we have something for everybody, no matter how they want to game, where they want to game, or when they want to game."

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This flexibility is all very consumer-friendly, but it clearly requires the digital storefront to be a key component of how those consumers interact with Xbox. This plays beautifully into the hands of a company that needs to shift how consumers view its platform: as a platform, rather than as a singular, generational piece of hardware.

"Once we reveal more information about Project Scorpio in the coming months and over the next year, I think it’s about choice," Hryb said. "There are certainly people that have the time and the resources to build their own PC, and they want to have the latest graphics card when it comes out. And that’s fine! That’s a great audience, we love those folks! But there are also folks who only have time—maybe like six hours a week—to play games. They’ve got other commitments in their life, they can just pop a game into a console or have it already downloaded and play it immediately. So, I think we’re trying to give people the choice of how and when they want to game."

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How does the upcoming upgrade to Xbox, Project Scorpio fit into all this? Well, firstly Xbox doesn’t want consumers to think of it as a generational shift. "We’re looking at Scorpio as part of the Xbox family. I mean, who defines generations? They used to be defined very clearly by perhaps processor, hardware releases, and the games that were on them," Hryb said. "What we’re looking at doing now is something that’s a little more akin to the mobile phone space, where when you upgrade all your content goes with you."

There it is again. "…all your content goes with you," presumably via the digital storefront.

This accelerated release cycle must mean the hardware team at Xbox is working hard these days. We were curious about what else they might be up to. "Microsoft is a massive software company, but people forget that the hardware side of it is incredibly important," Hryb reminded us. "We have an incredible division that produces mice and keyboards. When Microsoft started Xbox we leaned on that team to build the original Xbox, the controllers and so on and so forth. They have a tremendous heritage there."

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"The reason the mouse and keyboard team was started way back in the day, was to support the software," Hryb continued. "And you can draw that line right through to the future to the Elite controller, which was built to support the software, i.e. the games by providing great customization. I’m not here to say hey we have an 'Elite Something' coming out any time soon, but we’re looking at the market quite closely, especially now the competitive market is so huge. We get great feedback from competitive gamers that love that controller, and they want more similar hardware. I don’t have anything to announce, but I can say we’re always looking at opportunities."

The direction Xbox is taking seems to be diverging from PlayStation, which is sticking to what it does best, doubling-down. It makes sense for Xbox to try new things—things that make it stand apart—in order to attract more players to its platform, and remain competitive. More consumer-friendly features are a good thing, and it's possible that over the course of time, we'll agree that a digital-only future is the way to go. Until then, we can only hope that strong competition between the leading platforms drives both to continue to introduce more consumer-friendly programs.

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AuGoldfinger79

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CLICK BAIT! headline, read the article people. Gamespot reaching for clicks I see lol

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RUMADBRAH

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Edited By RUMADBRAH

I'm always going to get physical because they they download in a matter of minutes and when your service goes out for whatever reason good luck playing your digital games.

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Wretch1d

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They try Digital only i move to PS

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DWalker131

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@wretch1d: yep i'm a family of all 3 consoles ps. xbox and nintendo, if xbox goes all digital, i'll drop it like a bad habbit and save some money in the process

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deactivated-6085a0bd46474

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"I mean, who defines generations? They used to be defined very clearly by perhaps processor, hardware releases, and the games that were on them. What we’re looking at doing now is something that’s a little more akin to the mobile phone space, where when you upgrade all your content goes with you."

So one question came to my mind when I read this: How are they gonna keep popping out remasters if we can still play the games on any future platform?

Maybe this is what comes next: annual payable texture packs? Upgrade your game every year for only 59,99$!

But that would remove one of my main incentives for buying remasters: a new trophy set.

But there's a way around that too! "With new beautiful textures comes new beautiful trophies! (bronze trophy: beat the game in 720p!), (silver trophy: beat the game in 1080p!), (gold trophy: beat the game in 4k!)."

Long. Live. Play.

2 • 
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killmoore

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yep.. bad f!$ing idea! i will not upgrade to the next system if it's digital only. Glad to see so many here agree with me.

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SolidGame_basic

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Click bait

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uncle5555

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Best response is how'd that work out for you this last time (with XBO)?

Oh yeah, I remember, it didn't.

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MegaX50

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The biggest problems I have with an all digital gaming market is for one, I'm a collector, I collect games. I Like having my physical product both because it's a part of the culture of gaming and it could easily disappear. For example, games like Too Human X-men Legends, We can't get a rerelease of Eternal Darkness because the company that made these games, went bankrupt, so they can't exist anymore digitally. So having that physical copy ensures that at least, as long as I can take care of it, I have the game still. Which brings me to Two: the ownership of digital things, which still seems very much in the air legally, as any storefront we buy things from can just remove the things we buy from our "ownership." A rare, but still good example was that time Amazon went and deleted books right off of peoples kindles.
And then always-online check ins. This is something I really would never stand for. If it's on my machine when I buy it, that should be the only time I need to verify that.

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korpdawg

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Edited By korpdawg

I don't have a problem with digital only. What I will raise holy hell (by which I mean no purchase and a couple emails/calls) over is if the digital only requires daily online check in.

Treating all your customers as pirates is no way to stop piracy.

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soltar

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Didn't we play this game already? Isn't this how Sony trounced Microsoft at the beginning of this console generation? I seem to remember something like this going on but apparently they don't.

Hey Microsoft, if you need help when to know something is a really stupid idea give me a call.

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DWalker131

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@soltar: yeah microsoft, and i'm Soltar's backup line, if you want to know if its a bad idea let either one of us know and we'll point you in the right direction lol

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deactivated-6793e8ba0e8bf

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Their sales are going to go down the crapper unless they have some better digital sale prices. Digital prices stay way too high for way too long...mostly.

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BLiTZ_156

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When you're considering buying an Xbox, but that would then support this.
ABORT ABORT ABORT

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SuperBry23

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Edited By SuperBry23

Why can't there always be options for physical and digital? I can download a music album or buy it at best buy. Buy a movie digitally or go buy a blu ray, get an e-book on kindle or go to Barnes and Noble and get the same book in print. Seriously why can't the same be said of games? All I read is digital-only future.

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skrilla99

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Someone tell Major Nelson to stfu about all this DRM digital only bs. Is he an idiot, doesn't he know that's one of the major contributing factors to the Xbox One getting doubled up in sales by PS4 this generation?!! The others being Kinect, launch price, design, and DDR3. But the DRM is a major turnoff. He's gonna shoot Scorpio in the foot will this talk. Idiot.

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blackace

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Edited By blackace

@skrilla99: Playstation 4 has lots of digital games are well. You're not complaining about DRM with them? Scorpio isn't going to be digital only. It's already going to be fully B/C with XB1 and many XBox 360 games. You'll always be able to use disks as well.

The only reason companies want digital only is because it's a lot cheaper then manufacturing Blu-Ray disk with the game content on it. By having the game just downloaded of a server over and over again, it's pretty dirt cheap. Companies make a lot more money this way. I'm sure game/publishing companies are pushing companies like Microsoft, Sony, Nintendo, etc.. to provide a lot more digital content with less physical.

For them to go all digital, they would need to cut the price of the games in 1/2 to $30 or less. They would need to provide free additional content as well. Games would need to be STEAM cheap on game consoles.

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DWalker131

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@blackace: agreed, i will only buy a digital game if its 30 or less and at that price and it better be as epic skyrim/fallout in quality

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BarcaAzul

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Edited By BarcaAzul

He has been banging this drum since about 2008 and while Internet connections get quicker for most, there are still consumers of Xbox and PS that are still in the slow lane.

Add ever increasing cost to caped Internet download restrictions and relatively small HDD in base models and 4K download sizes, digital only isn't very appealing.

Plus retail will be pissed.

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jenovaschilld

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These two things are not related in anyway. Digital only means no retail physical versions, cross buy via pc/xbox is just that. If i buy a gas grill from Amazon digitally that does not mean you cannot get it physically. As pc/xbox only makes the platform, and has the digital store for the game to be purchased this still allows the publishers to sale their game anyway they want. And with a tie in ratio even higher then 7th gen, there is no way they would get rid of physical discs as they represent over 60% of console gaming sales.

Digital only is the future, but....... it is still a ways off. Maybe 9th gen in 3 yrs..... which I highly doubt. Here in the USA a console could go digital only, but as we are less and less the 800lb gorilla in the room Globally, where the purchase of a 50-100+ gigabyte game would be impractical for the rising middle class around the world who still counts their internet in usage. They now believe 100 million consoles have been sold in just 3 years (8th gen) with a tie in ratio (game per console) that is still being counted, but it is huge, of which physical still dominates. MS Sony NIN, would love to see used games go away but it is still the dominate moneymaker. Most digital sales are of small, low priced purchases indies and DLC. While large AAA games like COD, Madden, Fiffa, FF sale mostly physical and of course those have the largest profit margins.

The article above trying to tie the two things together is shallow at best, click bait at worst. (yet here i am). Personally the ability to buy one game for xbox and PC at once is nice, though the Windows 10 Store is atrocious nightmare of complaints and poor performance. MS wants to be the next STEAM or Origin, or UPlay or one of a hundred DRM clients that are less anti-piracy and more of metadata collection. When a AAA game comes out, most people will play it on what ever platform that is the easiest, quickest, and that their friends are also playing it on. This is not a huge selling point for the majority of gamers and only for a small niche market at best. It will no be enough of a selling point to move the vast majority of gaming industry console sales away from physical.

IF they really want a digital only future then they should offer consumers a better product. Digital purchases of AAA games continues to be too high both at launch and months later as physical depreciates much faster due to used game sales. Also digital games have ZERO value as you cannot trade, give away, barter, resale or even collect them.

-THEY NEED TO MAKE DEALS WITH INTERNET PROVIDERS TO NOT COUNT GAME(S) DOWNLOADS TOWARD DATA USAGE. Like many companies not counting certain products (netflix, hulu, pandora) toward data usage through deals. Sony/MS need to make those deals as well. Not everyone has perfect cable/dsl internet connections and compared to the real world and rest of the world - downloading a large game is prohibitive.

There also needs to be better reasons to buy digital then just convenience - like bonuses in the form of swag. For example free maps, free dlc, free bonus content, free shit... AFter all a digital purchase takes out the middle man and saves publishers alot of money by eliminating hardworking jobs (people out-of-work), for every game sold digitally, it starts to remove someones job somewhere. And we are not talking about the acne riddled game stop worker, but people who drive trucks, artists, salesmen, and the huge variety of craftsmen who put a physical game on the shelf for us gaming consumers to buy.

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AngelusMortiel

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Edited By AngelusMortiel

@jenovaschilld:

#1: The USA has some of the worst internet and ISPs in the world.

#2: Very few modern countries outside of the US, UK, Canada, and Australia are excessively restricted on internet bandwidth. Probably because the ISP is those other countries are either state-owned or are not operating a regional monopoly.

#3: Making deals with ISPs in order for game downloads to not count toward a data cap would, from my view, be a clear violation of the concept of Net Neutrality. If game downloads were able to be given such priority, what other paying businesses could get preferred treatment from ISPs?

#4: You are saying that publishers need to give people handouts in order to incentivise digital sales, which is about the most convoluted way to do things. If a digital game is cheaper to produce, it would make the most sense and incentivise consumers the most to simply pass some of those savings on to the consumer. $60 physical game becomes $40 digital, for example.

#5: Calling Steam, Origin, uPlay, et al "DRM platforms" is disingenuous at best. They are officially called "Digital Distribution Platforms" (DDP) for a reason, although calling them storefronts or marketplaces is equally viable.. I make this distinction because some platforms boasting no DRM (like GOG) completely contradicts your terminology. Others allow for publisher-specific DRM, like Steam. Origin and uPlay are, very much, DRM platforms as you say, but they are also run by two of the biggest and greediest game publishers (EA and Ubisoft, respectively).

#6: Finally, there is a myth that digital goods are inferior to physical because of the elimination of the second-hand games market. That is entirely propaganda spread by the company that would be taken out of business by a digital-only market: GameStop. Digital goods can be traded and resold very easily within a DDP, but GameStop has no such way of facilitating it in order to take a cut.

Also, if you think you can't "collect" them, you obviously have not seen some of the sites out there devised in order for PC gamers to brag about how large their Steam library is. It just so happens that "collector" mentality does not align with your "collector" mentality. Nonetheless, neither are the correct or incorrect ways to approach collecting, as it is a subjective hobby.

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jenovaschilld

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@angelusmortiel: Loved your comments, especially the one about games not counting towards data caps. I did not think about net neutrality (which I am a huge proponent of) and how allowing certain applications higher priority would betray the human need for a fair and equal internet for all. I still think there can be a way or program though where a game publisher can burden part of the cost of its 'own' games data download. As the internet matures, mobile data caps are less and less likely to exist as it will be on par with landbased ISP like cable or dsl.

The last part regarding collecting of games, show me your first edition, original boxed Witcher 3 that you give to your son or granddaughter. For instance, ff7 original. Digital games downloads as a product labeled as a lease is not very many years old, what about 20yrs from now, 40yrs, 75yrs from now, after many game publishers have went the way of THQ. Will there still be a place to download your game, without having to repay, for it once computers are injected straight into our brains? I agree with the subjectiveness of collecting, but there is a clear line for consumer products that is collected and which would allow you to give it to someone or trade, barter. Steam has already said your game collection is 'one' person only, and cannot be inherited or split, for say... a divorce.

And your 6th comment about used games.... You said digital games can be traded and resold via a DDP, but in actuality they simply are not. I would like to buy your used digital copy of COD Infinite warfare- here is the money, and will you be delivering the game via FedEX?? That is why there is first use laws in almost all countries which allow a person to purchase something and have the consumer right that go along with it. We can argue is a game like a lawnmower - but I know that right now my physical copy of FF15 for ps4 is something I can give to my nephews, trade for a hunting dog, or simply resale used to someone at work for cash.

There is a used book market, used cds, used lawnmowers market.. But at this point, consumers do not have the same rights or value that physical does over digital. With digital, you are purchasing a software 'lease' with no real ownership and no promise of continued support years, decades, or centuries later and most importantly you give up all legal consumer rights including class action lawsuit. Healthy competition of a used game market vs new helps keep costs down for consumers as well.

Great post by the way.

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AngelusMortiel

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Edited By AngelusMortiel

@jenovaschilld: Please don't take any of this harshly, you have made both very valid and not as well-formed points for me to counter.

I do not refer to mobile data caps... I refer to any data caps, period. Including the ones used by cable ISPs. Data caps and similar such anti-consumer restriction will be the norm until the market has more natural competition that allows non-capped offerings to potentially succeed. While I personally despise data caps, I'm also a firm believer is allowing the market run naturally as much as it can.

I understand you differing view on collecting items. You are not alone in the belief that in order for something to be collectable, it needs to be corporeal. You also recognize that it's subjective, which would be the only thing I could add. Instead, I simply acknowledge that your view on it is perfectly valid and I only intend to show that there are other means of collecting.

Side note: Just because a publisher goes out of business does not mean that the game is no longer available digitally. Using your example: Darksiders 1 & 2 are both still on Steam last I checked. I can download them to a harddrive and pass that (and login information) to children and grandchildren to enjoy... If people still enjoy games the same way in two generations lol.

Regarding the used market on digital platforms: It does exist in limited forms (called the Grey Key Market), but I think we can both agree that it would be far better if it was more ubiquitous and fully matured. For theoretical example: I could buy a game for $60 on Steam, trade it to a friend for another game of any value, or sell it to a stranger for any value. All that would be needed is to transfer the licenses from one account to another. Steam can already force uninstall games that you refund, so the technology is there. That would be even easier to accomplish on the consoles.

Regarding the statement that Steam said games are for "one person only", do you have a source for that? Because I can, at this very moment, share my Steam library with friends/family via a built in feature in the Steam client called Family Sharing. It's not a bug or glitch, it's a very much intended feature of Steam. A little research can go a long way:

https://www.cnet.com/uk/how-to/how-to-share-your-steam-gaming-library-with-friends-and-family/

Now where you are correct in pointing out the flaws of the digital used market is the lack of inter-connection to the non-digital-games market, or even between different DDPs. I could not trade, say, my digital copy of Watch_Dogs 2 on Steam for to you in exchange for your lawnmower or for your copy of Uncharted 4 for PS4. I could also not trade it to my drug dealer for another hit of crack cocaine, so for now the coerced prostitution market remains unchallenged. You have to crawl before you walk, I suppose.

Finally, I must my challenge your claim, as quoted here:

"With digital, you are purchasing a software 'lease' with no real ownership and no promise of continued support years, decades, or centuries later and most importantly you give up all legal consumer rights including class action lawsuit."

Several problems with this: Firstly, owning a physical copy of a game gives you no more legal ownership of the intellectual property (IP) than owning digital. That being said, buying digital is not a "lease" unless there is an explicit subscription model required to access the game, such as World of Warcraft. Again, in that scenario, buying the physical disc version of WoW offers you no more benefit in accessing the game without a subscription.

Furthermore, support for any game is no more guaranteed on physical or digital.

Finally, the assertion that owning a digital copy means forfeiting a right to legal recourse against the publisher is categorically false. Even if there is a stipulation in the Terms of Service (present for both digital and physical copies), US and EU courts have set multiple precedents siding with the consumers and disregarding so-called "binding" terms in a ToS agreement.

In fact, you would flounder in your attempts to provide evidence that a digital copy has any legal differences than physical. Literally, the only difference is that one exists as a physical disc while the other exists on your gaming platform's storage device. Comically, since a disc is just another form of digital storage, even that difference is entirely illusionary.

So, in summary, the only completely valid justifications you have for the physical games is as your personal collectible enjoyment and because the used market for digital games has not fully matured.

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Thanatos2k

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Major Nimrod can think whatever he wants, if they try it again consumers will smack them down again.

Unless your "digital future" includes vastly reduced prices for games (like they are on Steam) no one is going to sign up for it. Non-transferrable digital licenses and nonexistant production costs means you're producing a literally inferior product, and you have the gall to try and sell it to us at the same price?

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siarhei

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Edited By siarhei

Unless they implement a depreciation model, they can keep their 3 year old $60 digital games while I get 10 physical discs for the same price.

This is MS greed talking, nothing else.

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VampireLord123

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Well i think is already happening, pretty much all my games are digital now is just so much more convenient than having discs around. Pretty much every company now has digital format and people are adopting it. Now days the software on discs is pretty much useless with all the updates and stuff that goes around, witout them you have a incomplete version of the game on the disc.

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Austacker

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Edited By Austacker

I've been 100% digital on Xbox since about the 3rd month of Xbox One's launch and wouldn't go back.

It's far too convenient, simple and definitely my strong preference in acquiring games on this platform.

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Fdigits

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If there was any actual benefit from digital it would make sense but there isn't with music there was but games nope. But these greedy ass companies just want another way to leech money from the consumers. That's why they always try to push digital.

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dylan35

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@fdigits: music is what are you talking about i have a Nurse With Wound box set I bought in 1990 it's selling for $1,000.00 now. Physical discs don't really matter. So since you like Taylor Swift and pop music..........

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SkytheWiz1

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Edited By SkytheWiz1

As someone who used to be vehemently against digital, as long as gamesharing is still an available feature for his console, I won't contest.

Being able to split (for example) Dying Light: The Following for $12 apiece with a relative/friend and both being able to play it at the same time, together is one of the best features of this generation.

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DarqStalker

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I wish it was all digital already. It is so much more convenient and easier to switch games when it"s digital. I feel like I'm using ancient technology when I have to insert a disc now to play a game. Steam is all digital, so why are ppl complaining about it? How many still buy PC games on discs?

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DWalker131

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@DarqStalker: i won't speak on everyone's behalf but for me its the pricing e.g gta 5 megalodon pack 69.21 usd ($93 aud) on steam vs xbox one which is 160 usd ($210 aud)

secondly, its the download speed my area won't have the new nbn until early 2018 so until then downloading a AAA title like just cause 3 took me over a day to download (a day and a half if i remembered correctly)

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FanboyMan

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I'm hinting at Switching to a different platform if digital only future is true.

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oflow

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People blowing this way out of proportion as usual. He didn't say it was going to change tomorrow.

Anyone that doesn't understand that physical media is going all digital has their head in the sand. Just like tube tvs and vcrs. The tech is being phased out.

As the internet infrastructure gets better, physical media loses its relevance. Tech companies are currently working on having 1000Mb internet available thru 5G wireless carriers by 2020. NHK is currently working on it with Germany and South Korea to reveal at the Tokyo Olympics.

I understand some people are collectors and some people don't like MS' store which is understandable. But Steam has been all digital for years and most PC gamers aren't ranting and crying about that.

Physical media is bad for the environment. Billions of dvds go into landfills every year and all the chemicals used to make them go into the water supply. Physical media is not sustainable so put on your big boy pants it's not as bad as some people make it out to be.

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DarqStalker

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@oflow: Well it's gamespot so, you know how they blow up any Xbox related news way out of proportion. If it was Sony announcing all digital, it'd be like the 2nd coming of Christ.

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blackace

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@DarqStalker: If it was Sony doing this they would be bowing to their backside saying, "Yes Master. Thank you Master." lol!!

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DarqStalker

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@sellingthings: Damn your are missing out. The Xbox app is such an awesome feature. Let's me know when friends come online even if I'm not on the console. Can even join their voice party on PC and them on Xbox. If you're any kind of gamer it's a necessity.

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DarqStalker

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@sellingthings: Damn such a long term gamer it's sad though you are set in your ways. Been gaming myself since the Atari 2600 days and I'm eager to always try new technology. Do you still have one of those old school TVs where you have to get up and turn the dial to change the station too? A Beta Max player? 8-track player? If so, that's cool. It sucks when playing an online game and other team mates don't communicate. Really deteriorates from the online experience; now we know the type of person that contributes to this. I've paid for XBL for 8 years and I'm happy I do. Even before they included the free games every month. Now, I get 4 games at least for free each month, access to other free online games like DC Universe, Trove which came out today and countless others. I can't imagine a gaming experience without it.

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suicidesn0wman

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@sellingthings: You need a snickers, or some LSD, something, anything!

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DWalker131

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@suicidesn0wman:

Now the drugs don't work

They just make you worse

But I know I'll see your face again lol

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