Xbox Reveals The Absurd Amount Of Money It Spends On Game Pass Every Year

Highlights

• Microsoft spends over a billion dollars annually on the Game Pass subscription service, which is justified by its support for both big-name and indie game studios.
• Game Pass is constantly expanding and reaching new heights, with upcoming announcements expected at The Game Awards.
• Despite rumors, Microsoft has no plans to bring Game Pass to other platforms and is focusing on innovating the Xbox brand and game portfolio.

Microsoft Gaming CEO Phil Spencer revealed that Xbox spends over one billion dollars a year on its popular Game Pass subscription service. While this might seem like a surprising amount of money, Spencer further explained why it’s well spent.

Game Pass offers users a large library of games to play in exchange for a monthly fee, similar to popular streaming platforms like Netflix. It houses a diverse range of games from AAA titles like Starfield and Battlefield 2042, to artful indie pieces like Jusant and Inside. Since its introduction in 2017, Game Pass has been highly successful and is now the go-to subscription service for Xbox users. However, a service this robust does not come without significant investment.

After revealing that Xbox spends a billion dollars every year on Game Pass, Spencer explained in his interview with Windows Central that this money is needed to support the plethora of third-party game studios that participate in Game Pass. While its members include some of the most popular game studios in the industry, it also helps fund small, little-known companies that are working on niche projects. Although this undertaking is financially daunting, it allows Microsoft to offer a huge range of games within its Game Pass service, pulling in even more subscribers to the Xbox platform.

Although Game Pass has already reached impressive heights, it doesn’t seem to be slowing down anytime soon. It’s rumored that December 5 and the days following are going to be significant for Game Pass fans, thanks to some popular games being added to its library and announcements regarding the service expected to be made at The Game Awards on December 7.

Recently, rumors began to spread that Game Pass might be expanding to other platforms like Switch and PlayStation. However, Spencer shot these rumors down, explaining that Microsoft has no plans of bringing Game Pass to new platforms. He explained that Game Pass has become a major part of Xbox’s identity, and it will continue to be that way. Although the company is not looking to expand Game Pass to new consoles, it’s continuing to research new ways to innovate the Xbox brand and its portfolio of games.

Going into 2024, Game Pass continues with more anticipated releases. Games like Avowed, Hellblade 2, and Harold Halibut are just a few titles that have piqued the interest of gamers who are looking for intriguing single-player games to dive into. But seeing that these releases are still months out, in the meantime Xbox Game Pass subscribers can enjoy the service’s current abundance of content.

MORE: Xbox Game Pass Core Is Adding 2 More Games in December 2023