According to reports, Xbox aimed for 77 million Game Pass subscribers but currently has only 30 million.
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Microsoft's major gamble in gaming has not met its initial expectations, even after years of acquisitions and significant investments.
Microsoft invested considerable time promoting Xbox Game Pass as the future direction of gaming. However, a recent report from Bloomberg indicates that the service has significantly underperformed against the ambitious goals originally set by Xbox. According to the report, Xbox executives aimed for 77 million Game Pass subscribers by the end of fiscal 2026, but the service currently has around 30 million subscribers, which is less than half of Microsoft's original target.
Game Pass reportedly reached its peak subscription numbers sooner than anticipated.
The figures are particularly concerning when compared to recent data. Bloomberg states that Game Pass has roughly four million fewer subscribers than when Microsoft last made public remarks about the service in 2024, indicating that its growth has slowed rather than increased. Former Xbox employees mentioned in the report expressed concerns internally about the possibility that Game Pass subscriber growth may have already peaked.
Microsoft also attempted to modify its pricing strategy. Last October, the company raised the price of Game Pass Ultimate by about 50%, but later brought it back down to $23 per month in April. The intention was for the premium tier to bolster Xbox’s broader content ecosystem and, in turn, boost game sales.
The decision regarding Call of Duty wasn’t straightforward either.
A noteworthy revelation from the report is that even within Xbox, there was not unanimous agreement on the decision to include Call of Duty in Game Pass from the launch date. Bloomberg points out that several employees were concerned that offering such a significant annual title through a subscription service could negatively impact full-price sales, particularly since the franchise has a strong track record in retail.
These concerns appear to have merit. As Bloomberg reports, 82% of Black Ops 6 sales occurred on PlayStation, despite Microsoft’s ownership of Activision. The findings suggest that Xbox's subscription strategy did not provide the platform benefits many within the company had anticipated, even following one of the largest acquisitions in gaming history.
The report indicates that Game Pass is unlikely to be discontinued. However, with reported stagnation in subscriber growth despite major acquisitions and early-release titles, these figures provide insight into why Microsoft might be reevaluating aspects of its gaming operations after heavily investing in subscriptions for several years.
Varun is a seasoned technology journalist and editor, with over eight years of experience in consumer tech media. His expertise encompasses…
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According to reports, Xbox aimed for 77 million Game Pass subscribers but currently has only 30 million.
A recent Bloomberg report indicates that Microsoft aimed for Xbox Game Pass to have 77 million subscribers by the fiscal year 2026, but the service currently has approximately 30 million users.
