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Rumor: Microsoft To Reduce Developer Royalties On Xbox

Thanks to new redacted documents obtained by The Verge, Microsoft plan on lowering their cut from Xbox transactions by a substantial amount. The documents were obtained from the ongoing Epic Games vs Apple lawsuit which notes overviews of standard fees and revenue share for companies including Nintendo, Microsoft, and Sony. Under this section, Microsoft notes that all games will move from a 70/30 split to an 88/12 split later this year. This would mean that instead of collecting a 30% royalty of a game or DLC on their digital platform, Microsoft will only collect 12%.

The document notes:

“There is a proposal currently under Gaming Leadership Team consideration to adopt 88 / 12 as a public PC games revenue share for all games in exchange for the grant of streaming rights to Microsoft.”

While a spokesperson for Microsoft told The Verge “We have no plans to change the revenue share for console games at this time,” some believe this will still happen later this year. Others believe that plans simply fail through.


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