Subscriptions: My Personal Opinion
If there is one pricing model that I do not see disappearing it is that of the subscription model. Some consumers hate it, and some consumers don't mind it, and perhaps some consumers love it. Let's take a look into each of these perspectives, why the consumers feel as such, and some examples of where a consumer might be in each of these categories and why.
Nintendo Switch Online Service
Oddly, one of the most decisive services for many retro gamers. Consumers who used the previous Wii Virtual Console and are stuck in the mindset that they owned each of the games they downloaded, and that the selection was much more grand. While the latter is very true, with the current Switch Service lacking in both additional consoles and in the games offered, the former is incorrect. With digital goods, be that either in full digital form as in a download, or on disc or ROM cartridge is actually licensed for you to play, you as a consumer do not own it, and never will.
One of the downsides of a non-subscription based model as presented prior to the Switch is content discovery and play-ability. I assume that most consumers have budgets, and therefore cannot purchase every single game on such retro storefronts. The consumer will most likely only purchase games which they either grew up with, or fondly know about through friends and their community. The consumer will not otherwise easily leave their comfort zone and stuck with only very specific games.
With subscription services like Nintendo Switch Online, rather than the consumer only being able to play a potentially small handful of games they know, they can now see and play a wide assortment of retro games. This can allow a consumer to otherwise try a retro game they may never have even bothered with if it wasn't through a subscription model. Isn't the point of retro gaming to explore games which we may not have had the chance to enjoy and play before? Retro gaming should go beyond the nostalgia that usually fuels it. This type of subscription model is perfect in this regard, minus the fact that it is missing a lot of other retro consoles, and even some games.
I believe the lack of retro systems and games is more related to the agreement that Nintendo sets out to use when allowing retro systems and games onto their service. I assume that some publishers just don't agree with this agreement that Nintendo currently has, and thus, the service feels much more limited as a result. Some publishers seem to prefer to instead create their independent collections and sell that to the consumer instead. The problem with this, is not just that the retro games are no longer more centralized, but that a lot of retro games are missed. Take the classic Super Nintendo action RPG, Brain Lord. This classic was published by Enix, now known as Square Enix in the modern day. I don't see why this hidden gem couldn't be on the Nintendo Switch Online Service for others to enjoy. I doubt Square Enix will make much if they sell this game by itself, but it could at least be a part of the Nintendo Switch Online service.
Personally, I have been a supporter of the Nintendo Switch Online Service since it's release, and only suspended the subscription for a year while I was homeless, which should be understandable. I enjoy discovering and playing retro games which I may have never played back when I owned any of those systems. Some of them I would have seen at my local Blockbuster for rent, but avoided, as I could only rent a single game, and usually I'd pick a game that I know I'd love to play. With this service, it has a similar feel to that of going into a Blockbuster, but now rather than being just limited to the games that I want to play, I can now try every game in the store as a part of this neat subscription service. With this subscription, there is no risk to try a game that I might not enjoy, as I can easily just move onto a different one if I don't like it. To me, it's perfect. If Nintendo keeps this subscription and service on every future Nintendo console, then that is a form of game preservation that works, and allows more people to try these retro games. Currently, both the original Switch, and now the Switch 2 both support the collection of retro games, and thus, I am confident that Nintendo will also have this service available on their next console after the Switch 2 as well.
Video Streaming Services
Originally I disliked this idea, as I wanted to have copies of each of the movies and TV shows on physical media. However, I came to realize that I don't tend to rewatch a movie or TV show all that often, and it then becomes more of a pain to have physical media. With modern streaming services, I can watch that movie or TV show once, and then easily move on without having to worry about physical storage.
Also, as with the Nintendo service, with these streaming services, I can also watch movies and TV shows I may have otherwise been hesitant to watch as I wouldn't originally be sure if I'd like it or not. The other alternative to at least TV shows is through cable, where the viewer usually needs to wait until a very specific time frame to watch their TV show. The current model of on-demand allows the TV show to adapt to the viewers schedule, rather than the viewer adapting and finding time to adapt to a cable schedule.
Prior to the current online streaming video providers, there was something a lot of people may have also forgotten, a video-on-demand service from their cable provider, which worked more or less similar to how hotels would charge for renting an individual movie for a night. Both were equally expensive, but did allow for the on-demand we see with streaming providers. The video streaming through the Internet with Netflix, Disney+, and among others is a much better model for the consumer overall, especially when you think of what came before. I don't think many consumers really complain about video streaming services, as now it has become widely accepted as the way to watch movies and TV shows in the modern day.
When you look at the Nintendo Switch Online Service, at it's pricing, and it's overall format. You may come to realize that it is rather similar to that of how the current video streaming services operate. They all try to be very affordable, and offer a lot of various content for the consumer through a simple subscription.
Software-As-A-Service aka SAAS
This is the sort of subscription model that a majority of consumers seem to dislike, and it makes sense on why it's disliked. While some might be shaking their head now thinking of me as some sort of hypocrite for siding with the Nintendo Switch Online Service which is also software based, but that is much different. With most SAAS subscriptions, you don't get any options, and there is zero room for consumer discovery as with the Nintendo service, which is more aligned as a video streaming platform, than a SAAS platform.
With most SAAS platforms, you are playing into a singular, and often very small eco-system of products, of which the subscription price is overly priced. In most of these SAAS situations, it is much more meaningful and affordable to pay the singular upfront price of say Adobe Photoshop over paying an expensive recurring subscription. With this subscription, the consumer feels more of a sense of lock-on, with a complete lack of choice. This doesn't sit well with almost every consumer, including myself. I can understand why a lot of consumers dislike Adobe's new subscription-based model.
When it comes to software, the consumer should still have the choice to license out the exact software and version of their choosing.
This subscription model is said to soon be hitting the Windows operating system directly, where Microsoft will be selling Windows via a subscription model. This means, that in order to even use your Windows PC, you'll have to be subscribed. The consumer should be very scared of this, really.
Let's take a look at both what Microsoft has been doing to get this ball rolling into Windows being a full-on subscription, and then take a look at it from Microsoft's point of view.
The first step has been clear from Microsoft, eliminate the use of any Local Accounts, and with the recent updates of Windows 11, it is becoming more and more difficult to even create a local account. This is prep from Microsoft's end. How will Microsoft ensure that you have a valid Windows operating system subscription? This will be via your Microsoft Account of course! Each and every Windows user will soon require this, and perhaps Microsoft will also sell full Windows licenses as well, but will be pushing a subscription as the first option.
The second step is to introduce ads throughout the operating system, so that Microsoft can offer a so-called Free Ad Supported Tier of the Windows operating system. Many users have already been seeing a lot of ads appear, even on their fully licensed copied of Windows 11.
It's only a matter of time before Microsoft will begin rolling out the actual enforced subscriptions out to consumers.
From the perspective of Microsoft, they are obviously hoping to profit more in their Windows department at Microsoft, which has been losing money for several years now. This will also cut down on pirated copies of Windows 11, as now a subscription will be used to ensure that every user using Windows has a valid paid-for subscription, or if they don't, they will see a swath of ads giving Microsoft that missed revenue.
Final Thoughts
Subscription services can work well for some products, while certain types of subscriptions on other products can come off a bit greedy. A subscription service should not be everywhere, and there are many cases where a subscription just doesn't belong. It will be interesting to see how many consumers will take the upcoming Windows operating system subscription model, as these consumers may not feel as though they even own the PC or laptop of which they worked hard to purchase. It would feel like an insult to some consumers, and may make them look into other options. While I don't believe that the average consumer will flock to Linux, it may open the door for the more technically minded Windows user to finally make that jump. The average consumer will instead look into either moving to ChromeOS or macOS.
Where subscriptions do tend to flourish is when the service itself provides considerable value for the consumer. With video streaming services, a lot of consumers are willing to pay for those, as they have access to a lot of premium and original content from that streaming provider. There is clear value in that subscription model. When the Nintendo Switch Online Service first launched, it was lacking that same value, but over time, it has built up a fairly large catalogue of retro games, making it have more value to consumers. Subscription models that only have a singular product don't seem to have the same value. Consumers expect a subscription service to feel as though they got a good deal from it. Neither Adobe nor the upcoming Windows subscription will make the consumer feel this value, and thus, the consumer will complain, and only those diehard consumers, the one's who can't live without the subscription will be the sole subscribers.