No they really don't. Apple doesn't understand why Game Pass is successful. Game Pass succeeds because it's an option, not the only option.
Game Pass is essentially a digital rental service. You're not limited to just Game Pass. But while subscribed to Game Pass if there's a game you really liked on the service or if a game is leaving the service, you get a massive discount to purchase the game outright. On Apple Arcade, you have no choice. If you wanna buy Jetpack Joyride 2 or Oceanhorn 2 to play on your iPhone or Mac, too bad you can't. You have to sub to Apple Arcade.
In fact that segways into the next problem: All of Apple Arcade's games are either "remasters" or adless versions of free mobile games you played 10 years ago, or games available on much better platforms. Meanwhile Game Pass has both quantity and quality in it's catalog with heavy hitters such as but not limited to:
- The entire Bethesda/Zenimax catalog including the most anticipated game of the year: Starfield
- The entire Like a Dragon series
- Persona 3 Portable, Persona 4 Golden, Persona 5 Royal, and the upcoming remake Persona 3 Reload next year
- Every annual release of MLB The Show
- Every game available in EA Play, including the newest EA Sports releases
- Grand Theft Auto 5
- Insurgency Sandstorm
- Assassin's Creed Origins and Odyssey
- Monster Hunter Rise
- And so many fantastic indie games to discover
That alone makes Game Pass worth the $10 a month price tag over Apple Arcade's $5 a month, especially since you can play these games through the cloud on your phone. (which is one of the reasons Apple is hellbent on keeping Xbox Game Pass off of iOS natively since no one would sub to Apple Arcade then if a better service was available.)