The quality of first-party PlayStation 5 AAA games would "deteriorate" if these games would be made available at launch on subscription services, according to Sony Executive Deputy President.
Speaking during Sony's latest financial call, as transcribed by Seeking Alpha, Sony Executive Deputy President Hiroki Totoki commented on first-party titles launching on subscription services, saying that this would cause them to reduce the investment needed for these games, and thus lower their quality.
I will refrain from making comments on the competitor’s strategy and our current thinking is to have a development cost, a proper R&D investment for quality products, and that will improve the platform and also improve the business in the long run.
And AAA type titles for games PlayStation 5. If we distribute that on the subscription services and the, we may need to shrink the investment needed for that, and that will deteriorate the first party title quality and that’s our concern. So we want to make sure that the, we spend a profit development cost to have a solid products with solid titles to be introduced in the right manner.
This statement from Sony Executive Deputy President Hiroki Totoki falls in line with what PlayStation head Jim Ryan said back in March.
[In terms of] putting our own games into this service, or any of our services, upon their release... as you well know, this is not a road that we've gone down in the past. And it's not a road that we're going to go down with this new service. We feel if we were to do that with the games that we make at PlayStation Studios, that virtuous cycle will be broken. The level of investment that we need to make in our studios would not be possible, and we think the knock-on effect on the quality of the games that we make would not be something that gamers want.
At this point, it seems like Sony will not change its strategy regarding PlayStation 5 AAA titles in the foreseeable future. As Jim Ryan said, however, things may change in the future, so there eventually will be a time when Sony will embrace the subscription model that is doing so great for Microsoft.