Chiefs at Xbox’s first-party studios apparently hate Game Pass

Game Pass has revolutionized gaming, but it’s also stirring up some serious discontent behind the scenes at Xbox. I think it’s time we talk about the elephant in the room: Xbox studio leaders are openly expressing fears that Game Pass is killing the value of their games.

For less than $15 a month, you can access hundreds of games, which sounds like a steal. But here’s the kicker: this pricing model is pulling the rug out from under game sales. Titles that should cost $50 to $70 are being devalued. Just look at The Outer Worlds 2. It struggled to find an audience on Steam because players opted for the cheaper Game Pass option instead.

According to industry insider Jason Schreier, Xbox executives are frustrated enough with Game Pass that they’re considering slashing day-one titles from the service. “That makes no sense anymore,” he says. This isn’t just about profit margins; it’s about the perception of value in a crowded market.

Let's take a moment to think about South of Midnight. It had a price tag of $40 but was available on Game Pass for a fraction of that. People loved it, but why pay full price when you can get it with a subscription? It’s creating a culture of gamers who are unwilling to fork out cash for a game they can access easily through Game Pass.

“There are a lot of people out there in studio leadership within Xbox who absolutely detest Game Pass and think it has destroyed the value of their games.”

Now, this isn’t just a minor complaint. Executives believe Game Pass is harming the gaming ecosystem as a whole. They argue that it’s undermining the success of their titles and even affecting releases on other platforms. The irony? Some day-one titles still perform well outside of Game Pass, suggesting that players will pay for quality when they see it.

It’s a tricky balance for Xbox. They want to appeal to gamers looking for value, but they also need to protect their first-party titles. If Xbox continues down this path, we could see a shift in strategy where they pull back on the day-one releases, prioritizing revenue over accessibility. And that’s worth paying attention to.

In the end, I think Game Pass is a double-edged sword. It can bring in new players but at the cost of long-term revenue for developers. The question remains: can Xbox find a way to make both work? Or will they have to face the music and adapt their approach? Only time will tell, but one thing's for sure—Game Pass is reshaping the industry in ways we’re just beginning to understand.