The Gold Membership for Xbox Live is a joke. A pyramid scheme set up by Microsoft to con gamers out of their money. Sure, they will sell you on the security of the service and that someone has to pay for the servers, but it’s a hustle nonetheless. Don’t believe me? Let’s take a look at the reasons the service is borderline criminal.
Faulty Membership
Xbox offers two plans, silver and gold. The problem with this system is the lack of structure with the features for the plans. Silver membership lets you turn the system on, have the system read Xbox game discs, and purchase a title on Xbox live. Gold membership gives you access to EVERYTHING else. Want to watch Netflix? Gold membership. Surf the web? Gold membership. Play online? Gold membership. You are “nickeled and dimed” for every feature on the machine. Why even offer a “silver” membership when you only thing you are allowed to do is play a game. It’s a slap in the face, and questions our intelligence. Microsoft is essentially telling us that $350 dollars gives us basic access to our Xbox. Anything above playing a game or buying a game online will require us to pay a fee. It’s pay-to-play in the worst form.
Competition
There are benefits to owning both a Xbox 360 and Playstation 3. The biggest benefit is the first hand experience at what each ecosystem offers for my money. With Playstation, access to the internet is free. Online play is free. Access to Netflix is free. When I purchased a Netflix account I decided to boot up the Xbox first to watch videos. I was then notified that I had to purchase a Gold account to access the Netflix service. I turned off the Xbox, powered up the Playstation 3 and downloaded the Netflix app. One press of the X button and I was on my way to streaming content. It didn’t cost me any money, it’s free for me to access because I own a PS3. It’s hard to say I need to pay to play online when the competition is offering the same service for free. And if I did want to pay for a Playstation Plus account, I am greeted with free access to first-class Playstation games as well as discounts on older PS3 games. It is an additional feature that I feel benefits the current structure of my “free” plan.
Double Dip On Essentials
Over the holiday season I had the chance to play Halo 4. After completing the campaign I wanted to continue experiencing the campaign with Spartan Ops. Of course my plans were stopped because I don’t have a gold membership. But let’s say I did have a gold membership. Not only would I have to pay for the membership but I would have to pay 343 Studios for future access to the Spartan Ops experience. I am now paying for the same thing…twice! We are living in an age where what was once a premium feature is now a standard. Online play was “new” back in day of the Dreamcast, but now it is standard. Developers create games with their own payment plan. They have realized the potential revenue that can be earned in the long tail. It is why you see companies offering episodic content after the release of their game. Xbox knows this and decided that if developers are going to earn extra money from players that they will want a slice of the action as well. It’s one thing to pay once for content, it’s another to pay the developer AND Microsoft for the same content.
Wrap Up
As an avid gamer the Xbox Live system is a double edged sword. On the one hand Microsoft has created the place for online gameplay. But the cost to play in their space is more than what you bargain for. I’m sure many people will say that the price is well worth the experience, $60/year. But I wasn’t born yesterday. I shouldn’t have to pay for the essentials. Especially when you create a tiered price structure. It’s a freemium model from the last generation. Charging for the use of apps is unacceptable, especially when I am already paying the developer of the app a monthly fee. You cannot overlook the competition, who’s happy to offer you the essentials for free. 2013 is the beginning of the next generation for home consoles. We are all ready to get our hands on next generation hardware. As you ready your wallets for your next console of choice ,ask yourself this question: Am I willing to pay a premium for what should be free?
Gotta say that I disagree. Xbox Live is better than the Playstation network, and thats why it costs money. Online gaming is a better experience on Xbox. From my experience, demos even come out sooner. Remember a couple years ago when PSN was hacked and it went down for days? Hasn’t happened to Xbox. Charging money allows for Microsoft to put better infrastructure in place for their customers.
Oh and lets not forget that while PSN has quite a bit to offer now, it wasn’t always the case. The gap between the two services used to be muuuuch wider. I pay for Xbox Gold and all I pretty much use it for is HBO Go and WatchESPN, both of which PSN still doesn’t have.
So let me ask you this, if PlayStation had those apps for free would it change your mind?
I don’t disagree with having the extras on a fee but the core experience of online play should be free. Microsft makes a case of having to pay for the infrastructure but I seriously doubt giving some portion of online play for free would send them to the poor house.
So let me ask you this, if PlayStation had those apps for free would it change your mind?
I don’t disagree with having the extras on a fee but the core experience of online play should be free. Microsft makes a case of having to pay for the infrastructure but I seriously doubt giving some portion of online play for free would send them to the poor house.
Man this is dead on, playing online is kind of whack any way who wants to argue with 12 yr olds
Also xbox live has gone down before and banned over 3 million ppl for altered machines which should be none of their business yet you pay for them to steal your right to privacy
Altering your Xbox is illegal. Read the terms and conditions that came with your console. Modifying it in anyway is against the terms you agreed to upon purchasing it. If you want to modify it (for cheating or hacking or pirating games or whatever), then keep it offline. Don’t bitch about being banned when you go online with a hacked console.
It is to protect the millions of other users.
Highly disagree. For many reasons:
Fistly, the silver account isn’t called silver anymore, and it’s basically just a way to get you signed up with a gamertag. You can’t play games on your console if you don’t have a username (aka gamertag) to store your save data and other profile information under. It’s no different to needing a username to use Twitter or Facebook.
Secondly, the vast majority of people who own an Xbox, own it to play games. And a very high percentage of those people play online a lot. So they have a Xbox Live regardless – and so everything that comes with Live is simply a bonus.
My point is, people make out like Microsoft are saying “if you want Netflix, you have to pay our subscription” – like they’re charging you twice. But they’re not.
Let me put it this way: You’re paying a subscription to use your ISP. And then you’re paying to use netflix. Yet nobody complains about that.
Microsoft offer a service. It’s a highly secure, very fast, well-maintained and often-upgraded system that has been maturing for 10 years. It costs a hell of a lot to run, requires thousands of staff members to operate not only the server side of things, but the support lines, billing, technical assistance etc etc.
Compare this to PSN which when it started was nothing more than a peer-to-peer network which relied on your own connection and the developer deciding whether or not to let you play online. And when they did let you, they had their own (often awful) system which of course varied throughout every game, meaning there was no consistency, no security, nothing.
Sony have never been fully on board with online gaming – the only reason they started supporting it is because they saw how successful Xbox Live was. This is why they rushed out a terrible PS2 modem and hard drive accessory to compete with the original Xbox (after months of slagging Microsoft off, saying they’re trying to turn console gaming into PC gaming..)
But anyway, back to the issue: Xbox Live costs a lot of money to run. The incredibly tiny subscription fee we (choose!) to pay is easily worth the price.
We get:
Stable servers. Fast connections. Speedy updates. (full system update within 15 minutes compared to a simple PSN firmware update in around an hour)
Consistent experience (menu options, lobby features, party functionality, cross-game chat)
Early access to almost every demo and DLC pack (compared to PS3) thanks to Microsoft’s money and advertising opportunities for developers
The best customer support, by far (their Twitter account alone gets awards for this constantly)
Things like access to Netflix, Hulu, Internet Explorer etc are merely bonus points. They’re not charging you to use them. They’re saying that if you play on Xbox Live, here are some bonus apps you can use.
I *do* see how it can look the way you’re portraying it – a lot of people think the same. But I don’t see it that way. I’m already paying for Xbox Live, and have been for 10 years, because I enjoy playing online. And so anything else that comes with Gold is merely a bonus.
Of course you would be stupid to sign up to Xbox Live just to watch Netflix. But nobody will ever do that. Because that’s not what Xbox Live is made for.
Everyone talks up PSN+ as though it’s a good deal, when the reality is it’s pretty terrible. You’re paying a subscription fee for something you don’t get to keep. “Oh I get all these free games” – no. They’re not free, you’re paying to play them. Your subscription is your rental charge. That money is paying for those games. But the bad news is, once you end your subscription, say goodbye to those “free” games.
Not to mention PSN+ is Sony’s way of saying “we really want to charge you some kind of subscription fee because Microsoft have shown it’s very lucrative, but we were stubborn and late to the game with PS3 so we needed an extra bullet-point on our box to try and get more people to buy our console instead of an Xbox. And now we’re stuck in a position where we’ll look like hypocrites if we charge you. So here, have a game rental service disguised as a free game marathon.” And millions of people fall for it. It’s truly amazing.
The proof is in the pudding. The numbers speak volumes. The sheer amount of people who pay for Xbox Live Gold is not dwindling – it is sky-rocketing. Sony are losing billions in comparison. Microsoft make a very very VERY healthy living from subscription fees (which go into making Xbox Live better, and the console itself – we wouldn’t have all these new dashboard updates if it weren’t for Xbox Live). Sony will be kicking themselves, and I would be seriously amazed if they didn’t charge you to play online with the PS4. They’d be fools not to.
I’ll continue to pay the very paltry £34.99 a year. Do you see how tiny that amount is? Less than £3 a month. £3 a month for the absolute best service you can get. Even for a very poor gamer, it’s a drop in the ocean. Well worth it.
You make great points. My argument is more with the general principle, should we have to play for online? I believe there are many ways to make online free but charge for other items. For instance online play is free but if you want to set up private gaming sessions online it will cost a fee. You are right, Microsoft does have a solid infrastructure, enough where it can make a plan like services like Dropbox. Dropbox gives you access to the main service but higher level functions cost. My gripe with the account set up now is that you don’t get that balance. I’m from the old school where you pay once and get what you pay for. So for me it isn’t so much the cost as it is the ideal. Sony might not have as robust an infrastructure but they believe in the same ideals. To me online play is as standard as multiplayer. Access to that standard should be free.
As far as the modded Xbox goes I’ve never had a reason to do so, so I can’t comment
A very well-thought response and I would echo many of the points made here. At some level I do find it cumbersome to have to pay for simple online access and game developers appear to be pricing some gamers out of the market when asking players to pay for a new map pack 4 weeks after release (see: Halo 4).
I’m 99% sure Valve hardware won’t change anything – all they’ve shown so far is that they’re making the PC market into a semi-console market. It’s a PC in a box that connects to your TV, as far as we can see.
So it’ll just be the PC market as it is now, but honestly I don’t see many PC gamers wanting to buy a limited (non-upgradable) box for their TV that they’ll have to re-buy in 8 months when new hardware is out. Not when they can use Steams own features to play their games on a big screen o.O
Maybe we don’t have the full picture yet, but the whole Steambox thing seems to only be getting bit hype because it’s Valve. I’m sure it’ll change nothing regarding Microsoft/Sony/Nintendo
“Let me put it this way: You’re paying a subscription to use your ISP. And then you’re paying to use netflix. Yet nobody complains about that.”
Are you saying that I can get free internet when I sign up for Xbox Live Gold?
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Compare this to PSN which when it started was nothing more than a peer-to-peer network which relied on your own connection and the developer deciding whether or not to let you play online. And when they did let you, they had their own (often awful) system which of course varied throughout every game, meaning there was no consistency, no security, nothing.”
I like how you talk about how MS has grown over the past 10yrs the paragraph before, but Sony’s PSN is still what it was when it first came out. It has also evolved a great deal. Heck they just released a new PSN store that looks awesome.
Also when playing games online it’s not a Console thing in regards to security. It’s the game developers servers. Absolutely NOTHING to do with your PS3/360.
But I will say 360 has better social aspects in gaming. The UI is better for that
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“We get: blah blah blah”
Sony has all of what you listed except for the game lobby’s. Or do they have that? I’m not sure anymore cause I don’t play online games on my PS3 anymore. PC gamer. But I don’t want to hear little kids cursing in lobbies anyway
Also did you know you can connect to the PSN Japan Store and play game demos early that way too? Or even games that don’t come out in the States. For instance, I was playing Bayonetta demo wayyyy before it came to PSN US or 360.
Also lets not forget to mention PSN Plus mentoined in article. For $50 you get free/heavily discounted games (good games at that), cloud storage for saved games, Full game trials for 1hr, and more. But back to free PSN
Most of the money they make from Live is profit. It isn’t put back into making the system better or maintaining it. In fact revenue from Live helps cover OTHER areas of their Xbox 360 business. Stated in 2011 Financial Statements here http://www.microsoft.com/investor/SEC/default.aspx?year=2011&filing=annual
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“The proof is in the pudding. The numbers speak volumes. The sheer amount of people who pay for Xbox Live Gold is not dwindling – it is sky-rocketing. Sony are losing billions in comparison. Microsoft make a very very VERY healthy living from subscription fees”
I would love to see your numbers on Sony losing billions due to PSN. But yes they do make huge revenue in subscription fees. but that doesn’t go back to the consumer like you think. goes to investors and other areas of MS development.
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I have a 360 and a PS3 and a PC. First choice for gaming is the PC. Free to play online games and the community is often more mature (and better players) than the console. PS3 is 2nd choice as games I play on console don’t need internet really. Usually single player as multiplayer games are on PC.I’m paying for Xbox Live now because I wanted to play Halo with friend. Will assess what I want to do when subscription expires.
I agree with Charles. Way too much money for what you actually get.
You said PSN has everything that I listed? You’re wrong.
Fast connections? That partly depends on the host of the game.
Speedy updates? Absolutely not. My twitter timeline is full of people complaining about how long their PS3 is taking to update when they just wanted to play a quick game. 360′s are extremely fast to do an entire dashboard update. This is thanks to MS’s infrastructure and server knowledge. Sony are about on par with Nintendo when it comes to fast downloads (ie they’re both extremely slow)
Consistent experience? Not at all. Every game has its own version of a lobby, there is no cross-game chat and party functionality is limited on a per-game basis. 360 does it cross-everything (ie I can be browsing the web while my friend is watching Netflix while 2 other guys are in Borderlands co-op and another is playing Halo 4 solo campaign. We can all be in the same party talking together. PSN can’t do that.
Early access to almost every demo and DLC pack? 99% of the time, Xbox gets these first. Microsoft makes all the deals first, especially with new XBLA releases (coming to 360 first, ported to PS3 months later) and very popular things like Call of Duty map packs. Not to mention Skyrim content.
The only thing I can’t comment on is Sony’s customer support, as I’ve never used it – although they clearly handled the hacking scandal very badly, very late and their apology was pretty shoddy.
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I agree with Charles. Way too much money for what you actually get.
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I don’t understand how you can think this. You almost certainly pay more per month for a simple household bill (gas/electric/telephone?) than you do for an entire years worth of Xbox Live. People just seem to be looking for an excuse to complain?
You make great points. My argument is more with the general principle, should we have to play for online? I believe there are many ways to make online free but charge for other items. For instance online play is free but if you want to set up private gaming sessions online it will cost a fee. You are right, Microsoft does have a solid infrastructure, enough where it can make a plan like services like Dropbox. Dropbox gives you access to the main service but higher level functions cost. My gripe with the account set up now is that you don’t get that balance. I’m from the old school where you pay once and get what you pay for. So for me it isn’t so much the cost as it is the ideal. Sony might not have as robust an infrastructure but they believe in the same ideals. To me online play is as standard as multiplayer. Access to that standard should be free.
As far as the modded Xbox goes I’ve never had a reason to do so, so I can’t comment
Sony isn’t pertinent to this, microsoft are charging you to access other peoples service with YOUR hardware. When I bought my xbox I was sold “xbox 360 S” I did not pay to “rent xbox 360 indefinitely under highly restrictive license”. As such I should be able to use MY hardware to connect to other peoples services without microsoft charging me for the privalage. If they want to charge for multiplayer in thier games (their infractucture) then fine. But charging a recurring fee for access to other peoples service is bullshit.