Raccoon Logic developer believes Xbox Game Pass devalues content, hurting industry revenue.

Hutchinson suggests games should be added to subscription services after a year, similar to film distribution.

Alex Hutchinson of Raccoon Logic, the studio behind Revenge of the Savage Planet, has said that Xbox Game Pass devalues content and will ultimately hurt the video game industry. Raccoon’s latest offering, Revenge of the Savage Planet, launched in May 2025 and was one of many titles made available day one on Xbox Game Pass.

The debate about whether Microsoft’s gaming subscription service is good or bad for the industry has been ongoing. Developers, industry analysts, and even former Sony Interactive CEO Jim Ryan have categorized Xbox Game Pass as “destructive.” Ryan said that the overwhelming consensus among publishers was that they do not like the business model, and industry analyst Mat Piscatella has gone on record saying that neither Xbox Game Pass nor PlayStation Plus represent the future in gaming.

Xbox Game Pass Hurts the Industry, Says Revenge of the Savage Planet Developer

Additionally, the studio co-founder pointed out that the money Microsoft paid for the Game Pass deal did make a significant difference for development, but that was a long time ago. The implication is that the money has been used and sales of Revenge of the Savage Planet and its DLC have not been sufficient to refill the coffers.

Hutchinson explained that the current Game Pass model is very damaging for most developers, and this will lead to more studios closing and fewer games being made. In essence, the culprit is largely that people simply don’t value what they obtain for “free,” which is how many gamers view the Xbox Game Pass and PS Plus offerings.

The games industry as a whole, Hutchinson believes, should agree that titles will only be added to subscription models like Game Pass after a year, like how the film industry releases movies in cinemas first and on digital services only after some time has elapsed. At one point, Sony seemed to agree with this sentiment, with former PlayStation boss Shuhei Yoshida making a similar comparison.

Games would only come to PS Plus after 6 to 12 months, he stated. However, since that interview in 2022, PlayStation has also begun adding day-one titles to its subscription service, with Giant Squid’s Sword of the Sea slated to launch on PS Plus in August, for example

Source - Gamerant 

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