The natural incentives had already pointed to subscription based games, these companies attempted it, and consumers mostly rejected it. I'm extremely dubious that this regulation would be enough to reverse that. It's a much easier decision for a company to put a small development team on readying the server tools for public release than brute forcing a new business model on a resistant consumer base and all the associated risks that come along with it.

Not exactly the same thing, but a few years ago the law changed to require a sesame-allergen notice on foods that had sesame. Some manufacturers starting adding sesame to foods that didn't need it, because they concluded that including the notice was easier than guaranteeing that their product was sesame-free. The intent of the law was to protect people with sesame allergies, but the result was fewer choices for them.

Sometimes laws have unintended consequences.

https://apnews.com/article/sesame-allergies-label-b28f8eb3dc...

If people dislike subscription-based games, companies will adapt by making non-subscription games designed with end-of-service in mind. It only creates an incentive as much as people are willing to pay for the subscription.

The market for subscription games is vastly smaller than the market for offline games. The industry learned that when everyone tried to make a wow killer.

Good luck with that.

The industry already tried to make everything a live service game in the 2020-2022 period and it was financially disastrous because gamers rejected it.

Gamers have made it clear that they don't want a market full of live service games unless they are free to play (and even then, very few will survive).

They'll make rare exceptions for things like GTA6, but these will be unicorns.