I think one of the problems is that Sony has so many big exclusives that they would lose a ton of revenue they would make from regular sales across all those titles by switching them all to PS Now. It might be better long term but would be painful short term to make zero directly from the likes of God of War/Uncharted etc. Also as Sony's game division is a much larger part of the overall company than Microsoft's Xbox division is a proportion of Microsoft, the revenue (and timing of revenue) from those exclusives is probably more important. If they did put all their exclusives on PS Now then it would probably overtake gamepass.