Microsoft also announced revisions to the sales split for PC game developers selling on the Microsoft Store. More capital in the wallets of developers

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The Game Developers Conference (GDC) disclosed this week in its ninth annual State of the Industry Survey that only 3% of surveyed developers think the “standard” 30/70 revenue split with digital storefronts is reasonable. Soon after, Microsoft announced a significant improvement to its revenue-sharing programme for developers.

The Epic Games Store bucked the trend when it launched in late 2018, offering to let developers keep a full 88 percent of the money made from their games. Now, Microsoft is following suit after the GDC report.

Matt Booty, the president of Xbox Game Studios, confirmed that the Microsoft Store terms for PC game developers are being updated. Beginning August 1, developers will receive 88 percent of their games’ nett sales, up from 70 percent.

“A clear, no-strings-attached revenue share means developers can bring more games to more players and achieve greater commercial success,” Booty said.

Notably, the move only extends to PC games purchased from the Microsoft Store and has no bearing on console games.

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Steam, the leading PC games distribution platform, updated its distribution agreement in late 2018 to allow developers with successful games to take home a larger cut when surpassing certain milestones. Apple announced in November 2020 that it would reduce App Store commision fees for developers earning less than $1 million a year to 15%. Google announced last month that it would cut developer fees in half on the first $1 million in revenue.

Image credit Gorodenkoff, Casimiro PT

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