Sony earns royalties from Xbox physical game discs via Blu‑ray licensing

Sony Group Corporation receives a small percentage of each physical Xbox game disc because the discs are manufactured by third‑party companies that use Sony’s Blu‑ray technology under licence. Companies such as Technicolor produce the Xbox Blu‑ray discs, while Sony manufactures its own PlayStation discs in its Blu‑ray plants, notably the facility in Austria.

The arrangement was detailed by GameFile reporter Stephen Totilo. It continues even as Sony plans to stop producing its own PlayStation discs by 2028, a decision that has sparked protest from part of the PlayStation community. Nonetheless, Sony’s licensing deal ensures it still collects royalties from Xbox physical releases.