Microsoft Corporation (MSFT) Apologizes, but Is It Too Late?

However, by restoring the value of disc-based games with last night’s moves, Microsoft is raising the perceived value of disc over digital. Microsoft may be offering new releases online the day they hit stores, but if a $60 game on disc can be flipped for $10 to $30 in a few months once the player has moved on, it will be hard to justify buying that as a bandwidth- and storage-slurping download at the same price.

The key here would be to make the same games available cheaper through direct distribution, something that developers wouldn’t have a problem with if it means fewer secondhand sales and no inventory hassles or production costs.

For now, all that matters is that Microsoft realizes that it made a mistake and it’s apologizing. It will have until the holidays to figure out how to make gamers care less about disc-based releases.

The article Microsoft Apologizes, but Is It Too Late? originally appeared on Fool.com is written by Rick Munarriz.

Longtime Fool contributor Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Nintendo. The Motley Fool owns shares of Microsoft.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.