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Xbox responsible person: if the growth of Game Pass services does not meet expectations, Microsoft may withdraw from the game business.

2025-01-17 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >

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Shulou(Shulou.com)11/24 Report--

CTOnews.com, September 20 (Xinhua)-- Microsoft accidentally uploaded uncensored documents in a recent lawsuit with the Federal Trade Commission (FTC), resulting in the disclosure of a lot of its confidential information in the gaming industry. These include Microsoft's plan to launch a cloud-hybrid next-generation Xbox host in 2028, a medium-term revamped Xbox Series X that will be equipped with a new Xbox handle to support tactile feedback, and Bethesda's future game plans.

Even more shocking, Phil Spencer, head of Microsoft's game division, said at the investigation hearing that if Game Pass growth does not meet expectations, Microsoft may withdraw from the game business altogether. Game Pass is a subscription service launched by Microsoft a few years ago, which allows users to play Microsoft games indefinitely on multiple platforms by paying a monthly fee. Game Pass has become the core of Microsoft's game strategy and an important source of revenue and profit.

At an investigative hearing, FTC showed an internal slide of Microsoft predicting Game Pass growth over the next few years (shown below), and Microsoft predicted steady Game Pass growth over the next few years. However, Spencer said that the growth rate and scale reflected in this picture were much lower than Microsoft had expected, especially on the cloud and PC platforms. If Microsoft doesn't meet its own goals by 2027, it may abandon the gaming business, he said.

"I don't think this is what Xbox business will look like in the future." "this is a report presented by our device organization to the game leadership team, so this is the view of the team responsible for making our hardware on the future of the business," Spencer said. "I can safely say that if we don't make more progress outside the console, we will quit the game business. If this is the end result, we will not continue to do so."

Whether Game Pass can meet its growth targets remains to be seen, but there is no doubt that there is still a lot of room for growth on PC and cloud platforms, especially after Microsoft's acquisition of Activision Blizzard. CTOnews.com noted that earlier this year, Microsoft announced that Game Pass had more than 25 million subscribers on all platforms.

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