Today, one day after Microsoft announced that it would shut down four of its games studios, Matt Booty, head of Xbox Game Studios, held a town hall to discuss the division’s future goals. “We need smaller games that give us prestige and awards,” Booty told employees, according to internal remarks shared with The Verge.
For some listeners on the call, it was a surprising goal: Microsoft had just shut down the Japanese developer Tango Gameworks, which was coming off the small, prestigious hit title Hi-Fi Rush.
Hi-Fi Rush, which was a surprise release last year, was praised for its innovation and charm. The rhythm action game featured music by The Black Keys and Nine Inch Nails, with an art style that evoked the hyper-stylized games of the PS2 era. Just four months after its release, Hi-Fi Rush hit 3 million players. During the 2023–2024 awards season, the game went on to win a Game Award, a Game Developers Choice award, and a BAFTA.
Music licensing for games is so dumb. You’d think the studios would remember the Guitar Hero effect, where having your back catalog featured in a game introduces it to a new generation and brings sales and new fans.
If anything, they should pay the devs for the exposure rather than the other way around. It’s not like I bought Hi-Fi Rush for the music, but I ended up enjoying and seeking out a few tracks due to it.
I wouldn’t be surprised if licensing a song to a video game pays more than the fractions of a cent per stream you get from the bump afterward, and exposure doesn’t pay your bills.
Apparently Rockstar paid around $5-10k per track for GTA IV, so it wouldn’t take much of a boost in sales to be more significant than the licensing fee income.
