Xbox One preowned plan revealed?

[UPDATE] Retail sources claim Microsoft and publishers will take a percentage of every used game; Microsoft says reports are "inaccurate and incomplete"; new report says no secondhand fees at all.

[UPDATE 2] Sources have told Polygon that the Xbox One will not require gamers pay an activation fee to play used games, but will mandate regular checks to verify the authenticity of games.

Microsoft is also reportedly mulling over the idea of special "exemption codes" that could be provided to those in Internet-free scenarios, like active-duty soldiers.

[UPDATE] Following the publication of this story, Microsoft director of Xbox Live programming Larry "Major Nelson" Hryb provided a new statement on Xbox One and used games.

"The ability to trade in and resell games is important to gamers and to Xbox," he said. "Xbox One is designed to support the trade in and resale of games. Reports about our policies for trade in and resale are inaccurate and incomplete. We will disclose more information in the near future."

The original story follows below.

According to retail sources speaking with MCV, retailers will be able to charge whatever they want for secondhand Xbox One games, but Microsoft and publishers will receive a cut of every transaction.

The information leak comes after Microsoft reportedly briefed "key" partners on its plans for the secondhand market as it relates to the Xbox One, something Microsoft has been coy about.

The system will reportedly work as such: consumers can trade in physical Xbox One game discs only at retailers that have agreed to Microsoft's terms and conditions and have integrated the company's cloud-enabled Azure preowned technology into their own.

The traded-in title is then registered on Microsoft's systems as having been resold, and the data files will be cleared from their Xbox One account. Such a system would explain Microsoft's position that the Xbox One must "check in" with its servers once every 24 hours.

Retailers are then able to resell the used game at whatever price point they see fit. As part of this initiative, the publisher of the game will automatically receive a cut of the sale, along with Microsoft. The rest is revenue for the retailer.

It is unclear what this percentage will be, though Consoledeals.co.uk claims the portion paid to retailers will be 10 percent, well below the margins retailers have come to expect from secondhand games. This could negatively impact retailers like GameStop, which rely on the secondhand market for a healthy portion of their overall business.

During an earnings call yesterday, GameStop management brushed aside questions regarding the Xbox One and used games, instead saying it will allow Microsoft to announce plans in due time.

The site also suggests, based on information from a senior employee at "one of the UK's largest video game retailers," that the rumored Xbox One preowned activation fee will be £35 ($52). It is unclear if this fee will be an additional cost on top of the sticker price for secondhand games.

Microsoft's official stance on the Xbox One used-game scenario is that the platform has been designed "to enable our customers to trade in and resell games at retail."

"We know there is some confusion around used games on Xbox One and wanted to provide a bit of clarification on exactly what we've confirmed today," Microsoft said earlier this week. "While there have been many potential scenarios discussed, today we have only confirmed that we designed Xbox One to enable our customers to trade in and resell games at retail."

"Beyond that, we have not confirmed any specific scenarios."

Sony has also dodged questions regarding used games on the PlayStation 4. The company has confirmed that preowned titles will play on the next-generation system, but said decisions about activation fees will be left up to individual publishers.

"It's a publisher decision," Sony said in February. "We are not talking about it. Sorry."

Written By

Eddie Makuch is a news editor at GameSpot, and would like to see the Whalers return to Hartford.

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Discussion

18567 comments
Lillypaw
Lillypaw

Some confusion, dont think so micromuppets. You been after this for a long time and only the backlash and the number of xbox live subs that have been cancelled. Why else would you need to take so long to respond to the backlash, had to talk to publishers to get there agreement to change terms of the under table deals youd agreed. You lost alot of gamers with reveal and are now to damage control the rest, this is one xbox gamer for 10years or so say bye bye this gen as im off to the world that is Sony.

SeannTHEsheep
SeannTHEsheep

microsoft are not locking out second hand games on the xbox one. they wont be taking a cut of the profit (£20 or 60%) this is not happening. if it was true we would have seen it on Sky or BBC news.  if its not on the news on tv then its not happening.

Lillypaw
Lillypaw

Fanatical gamers matter because they’re vocal, Blau said. As early adopters, they buy consoles as soon as they come out. While many will eventually buy a second console later in the cycle, which one they buy first matters for game sales and in setting trends. Such consumers spend 140 percent more on games than the average buyer, according to NPD Group.

Think someone forgot to tell Micromuppets, E3 to late to many Fanatical Gamers have already turned there backs on you. Me For One.

Banyek
Banyek

Damn it.. This thread is dead. I was soo looking foreward to be the 20000. commenter..

SKErwin
SKErwin

activation codes =========> hackers are welcome

Double_Wide
Double_Wide

This generation of gaming is going to be a bust. All three companies are rushing into it way too early. Its evident in the amount of restrictions and cutting back of fundemental features it takes just for these consoles to do what they were designed to do.

Instead, a bunch of time was invested around expanding the integration of other forms of media and social networking.

mindfreak4563
mindfreak4563

helloooooo. is anyone here. dammit the whole thread is dead.

Shewgenja
Shewgenja

It would be real easy for them to set aside all of these plans for DRM if they would just have the gamer put the disc in the tray in order to play a game.  They tout the "feature" of being able to play a game without a disc, but you are giving up your rights as a consumer because of such a silly thing.  The irony being, at least to me, that "getting up and changing discs doesn't matter" was the battlecry when MS went with DVD over a next-gen format with the XBox 360.


So, now we come full circle, and the One is by all accounts a closed system HTPC in a box.  It forces you to keep the thing connected and will in all serious likelihood charge you for the luxury of playing your games online.  I'd say it appalls me that people are cheering for this thing to win or that it frightens me, but the level of consumer sheep cultivated in this day and age leads me to expect nothing better.


Gamers just aren't what they used to be.  This is why they don't know how to make Metroid crawl (You'll have to look that up for the reference.)  The art of making games isn't even what it used to be and the critical thinking skills to be a gamer are almost dead and gone.  My biggest hope is that this next-gen proves me wrong on all counts.

silvergol
silvergol

PRE ORDER TROJAN!

PRE ORDER TROJAN right now!

by just buying A XBOX ONE 1 RIGHT NOW!

(You don't wanna fall on that,will son?)

Logan_uc
Logan_uc

so no "Dave" jokes her? Oh well.

AngelsongCA
AngelsongCA

Microsoft #1:  Well how can we piss off gamers even more than they are now?  I'm running out of ideas.

Microsoft #2:  I don't know insult their mothers?

Microsoft #1:  Program it into Kinect.

HAL-209
HAL-209

I am quite surprised at the response by MS. I've not seen backpedalling by a company    this fast or this far in quite some time. I still think they have some way to go, mind you.... but this is how feedback should work: come up with idea, see what people think of it and ditch it if nobody likes it. 

Thank goodness they they have abandoned some of this nonsense before E3 - if they flop there then there won't be any coming back. Next they need to assure people that single-player games won't require being hooked up to the internet for verification and my main gripes will be dealt with. 

Perhaps their business model should be more focussed on pleasing customers rather than working out how to milk them like cows. They still have some way to go on this front. I may have to wait and see whether they deliver any truly fantastic games before I consider picking up an Xbox one but I am less offended by the noises they are now making.  

Keep up the venting ... hopefully they'll get the message. 

mjswooosh
mjswooosh

I can't wait to do some really advanced things on the XBone, like watch cable TV...that'd be so COOL because cable TV is so new and cutting edge. Even though its 2013 I really love to watch commercials. Who needs streaming services?

Jdc01
Jdc01

Wii u should be sending thank you notes to ms execs.... Lol

Jdc01
Jdc01

A TV channel should make a reality show using the video feed from every living room using x1 , they can call it " gamer morons "

racerxgundam
racerxgundam

so M$....on gamespot i am seeing..

Backtracking and vagueness on Indies

Backtracking and vagueness on the issue of privacy

Apparently someone in Gerrmany doesn't have his head up his ass and can see what this truly is

Still no official explanation on the issue of used games, lending a particular game out, and the need to tie the game to both system and profile.....

Almost 24 hr M$ hate

Man, who knew you could sabotage and TANK a system before its launch? hell before its official unveiling!!!! M$ should actually get some respect cuz i did not know that they cared so much for Nintendo, that they came up with a plan to save the Wii u

> wii u

Super_Tramp
Super_Tramp

I am so ashamed of you all. Where the hell are my 20K comments?

SeannTHEsheep
SeannTHEsheep

they would not be allowed by law to only let some game shops reactivate second hand games for a fee. until i see comfirmation on the news that the new console is region locked and wont play second hand games without a internet connection on bbc or sky news then i know its just internet whispers. 

daemonproject
daemonproject

@Lillypaw the percentage is so low though and I guarantee most haters will pick it up eventually! Same kinda crap went on between 360 and PS3

daemonproject
daemonproject

@Nasimul This twitter battle is actually very incorrect in the terms that how many actual voters compared to actual potential buyers! Some people aren't forum/site junkies that dwell on hate speeches about rumor and speculation! 360 already has 77million sales that's a high potential rate on people who will grab the xboxone this year! So I wonder actually how many it actually is that are going on this hate for xboxone! I guess it's only in the thousand mark being 1000 - 100000 that's a very small percentage compared to the 77million! Also watch this makes perfect sense why it should happen! http://youtu.be/2G_f8YBy39M

Lillypaw
Lillypaw

@Nasimul thou reports say xbox out pre ordering ps4 in UK I am ashamed I live here :(

HAL-209
HAL-209

@Nasimul Is that a smudge on my screen or is Xbox winning in Somaliland?

cousinmerl
cousinmerl

@mindfreak4563 We've sadly moved on, there's new news to complain about x-bone.
I'm not sure we'll ever get to 20,000.
it was a nice dream, just like a new console with no DRM

Lillypaw
Lillypaw

@Logan_uc how true that is I find unlikely but it was always going to sell. Micromuppets should have lost alot of it's no fan base but it was always going to have it's fan.  Even with the latest Reveals that it's not a Games Machine, It's not even a All in One Entertainment Machine it's a way to get you to watch Advert's over last few month Live has Slowly had More and more Adverts on it than anything else.

What it did loose was me thou I've owned xbox for 10 years or so I've always ome close to buying Playstation.  When Kinect Came out it was down to one Kinect or 4 Move Kits, I'm sorry to say I think I choose wrong.  Kinect is a waste of time nearly or for Kinect sports and Dance Central but anything beyond that is just a joke.  Hopefully you guys can tell me if move did any better but I still bought the wrong console, and I don't intend to repeat that mistake.

Yulaw2000
Yulaw2000

@Jdc01 Reward us for watching ads? *Facepalm*

racerxgundam
racerxgundam

@HAL-209 i think their statement that service men and women will get some sort of "exemption code" is a rather indirect way of confirming for sure of the once 24 hr mandatory check to play games offline

> wii u

surferosh
surferosh

@Super_Tramp   we are slowly getting there.. but need your help and assistance too.. 

Super_Tramp
Super_Tramp

that 4% are victims of Identity Theft.

ManatuBeard
ManatuBeard

@Lillypaw @Logan_uc They always pre-order the last thing they see... MS show will be 1st on E3, more pre-orders, then SONY show and all pre-orders change back to sony. Casual gamers need to be herded correctly.

HAL-209
HAL-209

@racerxgundam @HAL-209 After all the crap they've pulled I'm hardly in any rush to go out and buy one. What I hope is that the game just does a background check ticking off the disc against my personal account whenever I go on line, The idea of exemption codes just pisses me off. I buy the game, I buy the console but if i don't go online then my console just stops ... No way am I going to put up with that the next time I detach from the world and pick up the next Fallout or Elderscrolls game. If these sorts of practices become routine then eventually I;ll need to relent. Given a choice I will support whichever gaming company lets me enjoy my games,