Xbox Game Pass offers users an immense library of video games in exchange for a monthly fee, similar to audiovisual streaming platforms like Netflix. The service hosts a wide variety of games, from AAA titles like Starfield and Forza Motorsport to indie games like Inside and Coral Island.
Since its introduction in 2017, Game Pass has seen tremendous success and is now the go-to subscription service for Xbox users. However, such a popular service can only be created and maintained if there’s funding to support it.
Phil Spencer, CEO of Microsoft Gaming, has revealed in a recent interview with Windows Central that Xbox spends over a billion dollars a year on Game Pass. While this might seem like an absurd amount of money (spoiler alert: it is), Spencer explained why the investment is worthwhile.
According to Spencer, this hefty sum is necessary to support the large multitude of third-party studios participating in Game Pass. While some of the industry’s most popular game studios are among its members, Xbox also helps finance small and lesser-known companies working on niche projects. The key lies precisely in the enormous variety of video games available on Game Pass, which attracts many players and makes it easy for them to discover new titles.
Xbox’s investment in Game Pass isn’t the only noteworthy information from Spencer’s interview with Windows Central. Recently, rumors surfaced that Game Pass might expand to rival platforms like Switch and PlayStation. However, Spencer debunked these rumors, explaining that Microsoft has no plans to bring Game Pass to new platforms.
In the interview, Spencer stated that Game Pass has become an important part of Xbox’s identity and will continue to be so. While the company doesn’t intend to expand Game Pass to new consoles, they’re still exploring new ways to innovate the Xbox brand and expand its vast game library.