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Internal Microsoft document reveals plan to slash cut on Xbox game sales, too

UPDATE: Microsoft has said it will not change its revenue share from Xbox game sales, after an internal document suggested it had planned to do just that.

In a statement issued to The Verge, Microsoft said: “We will not be updating the revenue split for console publishers.”

It looks like Microsoft had a change of heart from just a few months ago, when the internal document was put together. More on that in the story below.

ORIGINAL STORY: A confidential Microsoft document released ahead of Epic’s high-profile lawsuit with Apple has revealed the company’s plan to slash its cut on Xbox games.

A document dated January 2021 and titled Microsoft Store Policies & App Store Principles, contains a slide that says “all games will move to 88/12 in CY21”.

This line appears under the Microsoft Store on Xbox subsection, so we know it applies to Xbox games.

The document suggests Microsoft intends to move to a 88/12 revenue share for games sold on Xbox consoles during the first half of 2021 – so, by the end of June. Currently, Microsoft takes a 30 per cent cut of sales, in-line with Sony and Nintendo’s policy.