NEWS

Phil Spencer: “Game Pass works as a business model. There’s no doubt about that. Even today. It works.”

Game Pass is the crown jewel of Xbox’s business model, and it seems to be in a great position, even in its early stages.

In an interview with EuroGamer, Spencer was talking about GamePass in relation to a question about how Sony doesn’t want to put first party games day and date on their subscription service PSNOW.

Spencer responded to this question by stating…

“What I’ll say for us – and I’m trying to figure out how much I want to dive into this because it could get messy – giving developers a business model that’s already working at scale inside of a subscription – and I think there’s some confusion out there whether Game Pass works. Game Pass works as a business model. There’s no doubt about that. Even today. It works. It works incredibly well – allows us to go and invest in the studio acquisitions we’ve done and the quality of content we’re building over the next two or three years that’s gonna show up. It’s an integral part of the business model that allows that.”

There has been a lot of question surrounding GamePass in terms of sustainability. It is obviously an incredible platform that provides an insane amount of value, but it’s fair to ask how the model works.

We obviously don’t have the numbers, but Spencer seems extremely confident that the business plan is working. By looking at the continued investment in GamePass, new studios, and new IPs, we can see that the plan is trending in the right direction.

GamePass is one pillar of Xbox’s business plan, and it seems to be going extremely well for them. Considering the sheer amount of exciting games currently on the service and the games coming soon, that is an exciting prospect for fans of Xbox.

For more context on the quote, as well as an overall fantastic interview with Phil Spencer, make sure to check out the EuroGamer piece.

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