Microsoft

In the Wake of Xbox Layoffs, Founder of Dishonored and Prey Dev Arkane Slams Game Pass: ‘Why Is No-One Talking About the Elephant in the Room?’

Hot on the heels of the layoffs that have swept through Xbox, the founder of Microsoft-owned Arkane Studios has hit out at Game Pass, whose subscription model he called “unsustainable.” Raphael Colantonio, who founded the Dishonored and Prey developer and served as its president before leaving in 2017 to start Weird West maker WolfEye Studios

Hot on the heels of the layoffs that have swept through Xbox, the founder of Microsoft-owned Arkane Studios has hit out at Game Pass, whose subscription model he called “unsustainable.”

Raphael Colantonio, who founded the Dishonored and Prey developer and served as its president before leaving in 2017 to start Weird West maker WolfEye Studios, took to social media to ask: “Why is no-one talking about the elephant in the room? Cough cough (Gamepass).”

When asked to expand on his thoughts on Game Pass, which Weird West launched straight into as a day one title in March 2022, Colantonio said: “I think Gamepass is an unsustainable model that has been increasingly damaging the industry for a decade, subsidized by MS’s ‘infinite money,’ but at some point reality has to hit. I don’t think GP can co-exist with other models, they’ll either kill everyone else, or give up.”

Colantonio’s comment sparked a vociferous debate about the pros and cons of Game Pass in industry terms as well as for the customer. Microsoft’s subscription service has been called many things over the years: the death of the video game industry; the savior of smaller developers who benefit greatly from payments made by Microsoft to secure their games; and everything in between. During the great Xbox FTC trial to decide the fate of Microsoft’s $69 billion aquisition of Call of Duty maker Activision Blizzard, then PlayStation boss Jim Ryan claimed that he had talked to “all the publishers” and that, unanimously, they all hated Game Pass “because it is value destructive.” He also said Microsoft “appears to be losing a lot of money on it.”

Back in 2021, Xbox boss Phil Spencer countered Game Pass doomsayers, saying: “I know there’s a lot of people that like to write [that] we’re burning cash right now for some future pot of gold at the end. No. Game Pass is very, very sustainable right now as it sits. And it continues to grow.”

That was four years ago. What about now, in the wake of cuts that have seen Rare’s Everwild, the Perfect Dark reboot, and an unannounced MMO in the works at developer behind The Elder Scrolls Online all canceled?

Colantonio’s comments were backed by a number of industry peers, including the former VP of biz dev at Epic Games. Michael Douse, publishing director at Baldur’s Gate 3 developer Larian, said that the biggest concern right now revolves around what happens when all that money runs out. This, Douse added, is “one of the main economic reasons people I know haven’t shifted to its business model. The infinite money thing never made any sense.”

(It’s worth noting that Baldur’s Gate 3 has so far not launched in Game Pass or PlayStation Plus.)

Colantonio then ridiculed Microsoft’s insistence that launching games into Game Pass did not impact sales, only to later admit the contrary.

Douse responded to to say he prefers the Sony way of doing things. Sony’s PlayStation Plus policy is to keep first-party games off the subscription service at launch, only adding them some time later. That’s why you won’t see this year’s Sony’s Ghost of Yotei launch straight into PS Plus, but you will see Call of Duty: Black Ops 7 as a day one Game Pass launch.

“The economics never made sense, but at the same

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Microsoft

Microsoft Canada president vows ‘community-first approach’ to AI investment

Share this Story : Toronto Sun Copy Link Email X Reddit Pinterest LinkedIn Tumblr Breadcrumb Trail Links Money News Ontario Technology Microsoft Canada president vows ‘community-first approach’ to AI investment Tech giant announced $19-billion investment to expand AI and cloud infrastructure in Ontario and Quebec Author of the article: Ling Hui Published Apr 08, 2026

Microsoft Canada president vows ‘community-first approach’ to AI investment

Tech giant announced $19-billion investment to expand AI and cloud infrastructure in Ontario and Quebec

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Microsoft said its billion-dollar investment to expand artificial intelligence infrastructure at Ontario and Quebec data centres will include a “community-first approach,” taking into account concerns from the local communities.

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In December, the tech giant had announced a $19-billion investment — the largest in Canadian history — to expand its AI and cloud infrastructure in the two provinces.

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In a blog post Tuesday, Microsoft Canada president Matt Milton said the company is aware that Canadians have “real questions” about affordability, energy and water use, jobs and the impact on communities regarding its AI investment.

“At Microsoft, we believe communities should share in the benefits of AI infrastructure and they should not bear the costs,” Milton said.

Electricity costs, water usage among concerns

He said the company’s five “community-first” principles will shape how it will build and operate its data centres in Ontario and Quebec.

Among those principles he outlined was the company’s commitment to “paying our way on electricity” to ensure that its data centres don’t increase electricity prices for Canadians and put added strain on the grid.

Milton said the company will work with provinces, utilities, system operators and regulators to plan new supply in advance. He also said the company will pay the full cost of the electricity it uses, including the cost of new generation, transmission and grid upgrades.

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Milton also said that Canada’s cooler climate means the company can cool its data centres mostly using outside air, “using water for cooling less than 5% of the year.”

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Thousands employed in construction process

He also said the company will work with local governments, conservation partners and research institutions on water projects.

Milton said Microsoft’s data centre investment in Canada will employ about 2,000 workers across all sites during construction with 400 Canadian businesses involved during the construction phase.

He said once its data centres are built and operational, the company will create 250 full-time jobs and hire about 400 contractors to maintain and operate its sites.

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  1. Microsoft Corp. signage in New York City, Oct. 25, 2src24.
    Microsoft touts $500 million AI savings while slashing jobs
  2. Plaintiffs who have filed lawsuits against social media companies hold photos of loved ones outside of the Los Angeles Superior Court on March 25, 2src26 in Los Angeles, Calif. A Los Angeles jury found social media giants Meta and Google liable for designing addictive social media platforms that harmed a young woman’s mental health.
    Plaintiff awarded $6M in landmark social media lawsuit against Google, Meta

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Article content

Microsoft said its billion-dollar investment to expand artificial intelligence infrastructure at Ontario and Quebec data centres will include a “community-first approach,” taking into account concerns from the local communities.

Advertisement 2
Story continues below
Article content

In December, the tech giant had announced a $19-billion investment — the largest in Canadian history — to expand its AI and cloud infrastructure in the two provinces.

Article content
Article content

In a blog post Tuesday, Microsoft Canada president Matt Milton said the company is aware that Canadians have “real questions” about affordability, energy and water use, jobs and the impact on communities regarding its AI investment.

“At Microsoft, we believe communities should share in the benefits of AI infrastructure and they should not bear the costs,” Milton said.

Electricity costs, water usage among concerns

He said the company’s five “community-first” principles will shape how it will build and operate its data centres in Ontario and Quebec.

Among those principles he outlined was the company’s commitment to “paying our way on electricity” to ensure that its data centres don’t increase electricity prices for Canadians and put added strain on the grid.

Milton said the company will work with provinces, utilities, system operators and regulators to plan new supply in advance. He also said the company will pay the full cost of the electricity it uses, including the cost of new generation, transmission and grid upgrades.

Advertisement 3
Story continues below
Article content

Milton also said that Canada’s cooler climate means the company can cool its data centres mostly using outside air, “using water for cooling less than 5% of the year.”

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Try refreshing your browser, or
tap here to see other videos from our team.

Thousands employed in construction process

He also said the company will work with local governments, conservation partners and research institutions on water projects.

Milton said Microsoft’s data centre investment in Canada will employ about 2,000 workers across all sites during construction with 400 Canadian businesses involved during the construction phase.

He said once its data centres are built and operational, the company will create 250 full-time jobs and hire about 400 contractors to maintain and operate its sites.

Read More

  1. Microsoft Corp. signage in New York City, Oct. 25, 2src24.
    Microsoft touts $500 million AI savings while slashing jobs
  2. Plaintiffs who have filed lawsuits against social media companies hold photos of loved ones outside of the Los Angeles Superior Court on March 25, 2src26 in Los Angeles, Calif. A Los Angeles jury found social media giants Meta and Google liable for designing addictive social media platforms that harmed a young woman’s mental health.
    Plaintiff awarded $6M in landmark social media lawsuit against Google, Meta

Article content
Comments
You must be logged in to join the discussion or read more comments.
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Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.

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Microsoft

PS5 Reportedly Hands Forza Horizon 5 an Additional 5 Million Sales

Resulting in $300 million of revenue.The PS5 version of Forza Horizon 5 has now sold more than five million units since its April 2025 launch and made over $300 million in revenue for publisher Microsoft, one Alinea Analytics reporter claims.Rhys Elliott of the analytical firm posted to social media that…

Resulting in $300 million of revenue.The PS5 version of Forza Horizon 5 has now sold more than five million units since its April 2025 launch and made over $300 million in revenue for publisher Microsoft, one Alinea Analytics reporter claims.Rhys Elliott of the analytical firm posted to social media that…
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Microsoft

Former Elder Scrolls Online Boss Says Xbox Cancellation Drove Him To Leave Bethesda

Project Blackbird was a new IP at the studio.Back in July, when Microsoft cancelled a bunch of projects amidst a huge shakeup for its Xbox division, The Elder Scrolls Online boss Matt Firor left the company — and now, roughly six months later, the former ZeniMax leader has gone into a bit more detail about

Project Blackbird was a new IP at the studio.Back in July, when Microsoft cancelled a bunch of projects amidst a huge shakeup for its Xbox division, The Elder Scrolls Online boss Matt Firor left the company — and now, roughly six months later, the former ZeniMax leader has gone into a bit more detail about why he chose to leave amidst this shakeup.Taking to social media in the new year…
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Microsoft

Crypto Miners Surge on US$17.4B Microsoft–Nebius AI Chip Deal

Shares of cryptocurrency mining firms rose sharply on Tuesday following news of a major deal between Nebius Group and Microsoft, valued at US$17.4 billion (AU$26.36 billion). The agreement, running through 2031, will see the Netherlands-based Nebius provide dedicated GPU capacity to Microsoft’s artificial intelligence operations, with the option for expansion up to US$19.4 billion (AU$29.37

Shares of cryptocurrency mining firms rose sharply on Tuesday following news of a major deal between Nebius Group and Microsoft, valued at US$17.4 billion (AU$26.36 billion). The agreement, running through 2031, will see the Netherlands-based Nebius provide dedicated GPU capacity to Microsoft’s artificial intelligence operations, with the option for expansion up to US$19.4 billion (AU$29.37 […]
The post Crypto Miners Surge on US$17.4B Microsoft–Nebius AI Chip Deal appeared first on Crypto News Australia…
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