Tag: Microsoft

  • AI Automation Cuts 25% of Entry-Level Tech Jobs, Risks Junior Roles

    AI Automation Cuts 25% of Entry-Level Tech Jobs, Risks Junior Roles

    Key Takeaways

    1. Layoffs at major companies like Amazon and Microsoft are largely attributed to automation and AI technologies.
    2. Entry-level workers are at the highest risk of job loss due to the ease of automating their tasks.
    3. The number of junior workers in computing roles has dropped significantly, indicating challenges for newcomers in the job market.
    4. Experienced professionals are also vulnerable as AI can perform complex tasks traditionally done by specialized workers.
    5. The shift towards hiring junior staff augmented by AI could lead to the obsolescence of mid-level positions and impact tax revenues and unemployment support systems.

    Layoffs at companies like Amazon and Microsoft have put a spotlight on artificial intelligence as a key reason for job cuts. Executives are acknowledging that automation will reduce the number of workers in the upcoming years, leaving many employees questioning if their experience will provide them with better job security.

    Job Security Concerns

    Some experts suggest that entry-level workers are likely to be the first affected since their basic tasks are easily automated. The CEO of Anthropic even cautioned that nearly half of all junior white-collar positions could vanish in the next five years. On the other hand, others believe that older, well-compensated employees who depend on traditional workflows may be more vulnerable, particularly if they do not adapt to new technologies.

    Data on Employment Trends

    Initial data indicates that newcomers are facing challenges. According to ADP payroll statistics, the number of workers in computing roles with less than two years of experience dropped by about 25% after reaching a peak in 2023. Customer service positions are experiencing a similar decline. A temporary ban on ChatGPT in Italy provided comparable results: junior programmers completed tasks a bit quicker. However, mid-level developers utilized the tool to manage teammates and navigate different programming languages, enhancing their overall worth.

    Impact on Experienced Professionals

    The risk for experienced workers is significant. AI technologies are now capable of drafting legal documents and writing production code, diminishing the value once associated with specialized knowledge. Law firms using generative models have reported employing about half the number of contract attorneys, and major tech corporations continue to let go of seasoned managers and engineers while heavily investing in automation.

    As companies increasingly hire mostly junior staff augmented by AI, along with a few senior supervisors, mid-level positions might become obsolete. This change could lead to a decrease in tax revenues and place additional pressure on unemployment benefits and support programs. Lawmakers are already exploring methods to retrain displaced workers and ensure that everyone benefits from productivity improvements brought by AI.

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  • Microsoft’s Xbox Game Pass Game Costs Exceed $50 Million

    Microsoft’s Xbox Game Pass Game Costs Exceed $50 Million

    Key Takeaways

    1. Microsoft includes all first-party titles on Game Pass at launch and adds popular third-party games, enhancing subscriber value.
    2. The cost to acquire games for Game Pass ranges from $50,000 to over $50 million, indicating significant financial investment.
    3. Despite high costs, Game Pass is reportedly still profitable for Microsoft.
    4. The increasing expenses of developing AAA games pose challenges for sustaining current acquisition rates.
    5. Microsoft may need to consider raising subscription prices or focusing on indie/AA games to manage costs and meet financial goals.

    Ever since Xbox Game Pass started, many have been trying to guess how much money Microsoft spends to keep the service filled with great games. All first-party titles from Microsoft are now available on Game Pass on their release day, and the company has also been bringing in big third-party games like Expedition 33 right at launch.

    Great for Subscribers

    The inclusion of highly expected third-party games is beneficial for Game Pass, providing subscribers with popular content. However, it raises serious concerns about how sustainable this approach is. Just how much is Microsoft really paying to ensure major game launches for Game Pass? Can they keep this up in the long term?

    A Surprising Discovery

    A sharp-eyed user on X, Timur222, spotted something intriguing about the costs of Xbox Game Pass games in the LinkedIn profile of Iain MacIntyre, a recently dismissed Senior Business Development Manager at Microsoft. He noted that MacIntyre “negotiated over 500 deals ranging from $50,000 to more than $50 million, securing both indie hits and AAA titles for Game Pass.”

    Thus, it seems that Microsoft shells out between $50k and a staggering $50m or even more to acquire games for Game Pass. But this doesn’t necessarily mean that the service is draining Microsoft’s finances, as it is reportedly still making money.

    Future Uncertainties

    The range of costs per title suggests the challenges of maintaining the current speed of acquisitions in the future. Developing AAA games is notoriously pricey and has only gotten more expensive in recent years. With the average AAA title now taking several years to finish and costing tens of millions, if not hundreds of millions, Microsoft will have to invest even more to secure blockbuster titles for Game Pass.

    To address this issue, the company might consider raising Game Pass subscription prices, which seems likely since Xbox has to meet strict financial goals, or they could choose to focus more on indie or AA games instead of AAA deals. No matter what path they choose, one thing is evident: Xbox faces a tough road ahead.

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    Microsoft's Xbox Game Pass Game Costs Exceed $50 Million
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  • Windows 11 Surpasses Windows 10 as Leading Desktop OS

    Windows 11 Surpasses Windows 10 as Leading Desktop OS

    Key Takeaways

    1. Windows 11 has become the most popular desktop operating system, holding a 52% market share as of July 2025, surpassing Windows 10 at 44.59%.

    2. The growth of Windows 11 has been gradual, increasing from less than 10% in 2022 to 36% in 2024, with over 400 million devices using it by October 2023.

    3. Strict hardware requirements for Windows 11 have slowed its adoption, as many older computers do not meet the new criteria, despite a free upgrade option for Windows 10 users.

    4. Windows 10 will lose mainstream support on October 14, 2025, but users can receive an additional year of free security updates if they meet specific conditions.

    5. Microsoft aims to encourage more users to switch to Windows 11 by emphasizing security, cloud integration, and ongoing support before Windows 10’s final phase.

    Microsoft has hit a big milestone in its journey to phase out Windows 10. Windows 11 has now taken the lead as the most popular desktop operating system around the world. As per the latest statistics from StatCounter, Windows 11 boasts a 52% share of all desktop Windows PCs as of July 2025, while Windows 10 has dropped down to 44.59%. This shift occurs nearly four years after the launch of Windows 11 and just a few months before Windows 10’s support comes to an end.

    Growth of Windows 11

    The rise of Windows 11 has been slow yet consistent. The operating system had less than 10% of the market by 2022, increased to 28% in 2023, and then reached 36% in 2024. The data from October 2023 showed that Windows 11 was installed on over 400 million devices. However, this growth was significantly slower compared to Windows 10’s launch, which hit the 400 million mark within just a year. In contrast, Windows 11 took twice that time. It was only in 2025, as Microsoft pushed harder before Windows 10’s retirement, that Windows 11 began to close the gap more rapidly.

    Hardware Challenges

    One key factor for the slower adoption has been the strict hardware requirements of Windows 11. Even though Microsoft provided a free upgrade option for Windows 10 users, many older machines didn’t meet the new CPU and security criteria, leaving millions unable to upgrade. Recently, Microsoft has increased efforts to promote hardware upgrades, including more noticeable full-screen alerts encouraging users to transition to compatible systems.

    Support Timeline

    Looking forward, Windows 10 is set to leave mainstream support on October 14, 2025. Microsoft has made an additional year of free security updates available to users who log in with a Microsoft account and back up their Documents folder to OneDrive. For those who choose not to do this, there’s an option to pay $30 or use Microsoft Rewards points for updates.

    In spite of some hesitance and a slower uptake compared to Windows 10, Windows 11 is now securely established as the leading desktop operating system. Microsoft is counting on its emphasis on security, cloud integration, and continued support to encourage more users to make the change before Windows 10’s final phase.

    StatCounter via Windows Central

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    Windows 11 Surpasses Windows 10 as Leading Desktop OS

     

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  • Microsoft Xbox Division Faces Pressure from Unrealistic Financial Goals

    Microsoft Xbox Division Faces Pressure from Unrealistic Financial Goals

    Key Takeaways

    1. Xbox division faces tough times with layoffs and unrealistic financial targets set by Microsoft’s CFO, Amy Hood.
    2. Debate exists regarding the realism of financial expectations, particularly after the Activision Blizzard acquisition.
    3. Xbox revenue dropped significantly from $21.5 billion in 2023 to $15.7 billion in 2024, due to lower hardware sales.
    4. Xbox Game Pass subscriber growth is steady but far from the target of 100 million users by 2030, with 35 million expected by mid-2025.
    5. Significant layoffs have impacted key studios, leading to restructuring challenges within Xbox Game Studios.

    The Xbox section of Microsoft is facing tough times, with layoffs and challenging financial goals that could harm its future, insiders reveal. This situation seems to stem from rising pressure from upper management. The Xbox team has been assigned a “completely unrealistic financial target,” which might hinder its progress.

    Insider Insights

    According to Windows Central’s Jez Corden, who shared the update on X, Microsoft’s CFO Amy Hood has set an “unrealistic” financial target for Xbox. Corden suggested that these high expectations could “keep hurting the division.” This news comes right after significant layoffs at Microsoft, which have severely impacted Xbox and its associated studios.

    Different Opinions

    Tom Warren from The Verge added his thoughts, arguing against the “unrealistic” tag, saying, “I don’t think it’s unrealistic; it’s just the reality of the Xbox business after the ABK acquisition. Without that deal, Xbox revenue would be lower, and the Game Pass bet hasn’t paid off yet.”

    The ABK Acquisition

    The acquisition being discussed is Microsoft’s $68.7 billion purchase of Activision Blizzard, which has boosted the company’s portfolio with franchises like World of Warcraft, Diablo, DOOM, and Call of Duty.

    To compare, Microsoft’s overall revenue for the fiscal year 2022 was $198.27 billion, with the Xbox division contributing a mere $16.23 billion during that time. In 2024, Microsoft’s Xbox revenue dropped to $15.7 billion, a significant decline from the previous year’s $21.5 billion. Insiders suggest that this decline is due to lower Xbox hardware sales, with Microsoft selling only 2.7 million units, while Sony managed to sell 4 million PS5 units in the same timeframe.

    Game Pass Growth

    On a brighter note, Xbox Game Pass reached 34 million subscribers in early 2024. By mid-2025, it’s reported that the subscription service has surpassed 35 million subscribers, which is considerably below Microsoft’s target of achieving 100 million users by 2030.

    Game Pass generated $4.7 billion in revenue in 2024 and is expected to bring in around $5.5 billion by 2025. However, this growth is not likely to compensate for Microsoft’s larger financial commitments.

    Restructuring Challenges

    Clearly, the financial strain has been intense, as Microsoft laid off 9,100 employees, impacting AAA studios like Turn 10, Rare, Romero Games, and The Initiative.

    Xbox Game Studios is going through a significant restructuring phase, and the path forward appears quite challenging. The effects of the layoffs have resonated throughout the gaming sector, evident on LinkedIn where former employees have shared their layoff experiences, often unexpectedly.

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  • Xbox Exec’s AI Job Tips Spark Backlash After Industry Layoffs

    Xbox Exec’s AI Job Tips Spark Backlash After Industry Layoffs

    Key Takeaways

    1. Microsoft laid off 4% of its employees, totaling around 9,000 individuals.
    2. An Xbox Game Studios executive faced backlash for suggesting laid-off workers use AI tools for emotional support and job searching.
    3. The advice included using AI as a “career coach” to help with job applications and overcoming impostor syndrome.
    4. The gaming community criticized the advice as insensitive, especially given the context of layoffs linked to Microsoft’s AI investments.
    5. The layoffs impacted at least 13 game studios and resulted in the cancellation of three games, significantly affecting the industry.

    Microsoft has recently revealed that it has laid off 4% of its employees, which totals around 9,000 individuals. In the midst of this upheaval, an executive producer from Xbox Game Studios found himself facing backlash after sharing advice for those affected by the layoffs on LinkedIn, and understandably so.

    Insensitive Advice

    His suggestion to utilize AI tools like ChatGPT and Microsoft Copilot to cope with the emotional impact of job loss and prepare for future employment was not well-received by his former colleagues and others. Many viewed the advice as lacking sensitivity towards the situation.

    In a post that has since been deleted from LinkedIn, but was shared on Bluesky by Brandon Sheffield, Matt Turnbull encouraged employees to leverage AI tools to “lessen the emotional and cognitive burden that comes with losing a job.” He added:

    “These are tough times, and if you’re facing a layoff or even getting ready for one, you’re not on your own and you don’t have to face it alone.”

    AI as a Career Coach

    Turnbull proposed the idea of using AI as a “career coach” to assist in “forming a 30-day strategy to regroup, research new job opportunities, and start applying without feeling burnt out.” He went further to suggest using AI for tailoring resumes for various job openings, drafting new “About Me” sections, and contacting potential employers.

    He implied that the ex-employees might be dealing with impostor syndrome and shared a prompt that ignited outrage within the gaming sector and among laid-off employees:

    “I’m feeling impostor syndrome after being let go. Can you assist me in reframing this experience to remind me of my strengths?”

    Backlash from the Community

    This post faced fierce criticism from the gaming community and previous Microsoft employees. Eric Smith, a former producer at ZeniMax Online whose project was scrapped, responded bluntly, saying, “Read the room dude.”

    Numerous individuals noted that Turnbull’s comments were tone-deaf, particularly in light of Microsoft’s aggressive investment in AI—speculated to be a contributing factor to the layoffs. The company is set to invest nearly $80 billion on AI infrastructure in 2025 alone.

    The repercussions of these significant layoffs are ongoing, with at least 13 game studios being impacted, along with the cancellation of three games. Turn 10 Studios, for instance, saw 70 team members let go, which represents half of its staff. Meanwhile, ZeniMax Online’s recent MMORPG was canceled after almost seven years of development, coinciding with the departure of its studio founder, Matt Firor.

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  • Xbox Game Studios Confirms 40+ Games in Development Amid Layoffs

    Xbox Game Studios Confirms 40+ Games in Development Amid Layoffs

    Key Takeaways

    1. Microsoft laid off 9,100 workers, nearly 4% of its total staff, with significant cuts in the Xbox division.

    2. Xbox Game Studios is still developing over 40 games despite the layoffs, emphasizing a focus on exciting game creation.

    3. Major projects like the Perfect Dark reboot and Rare’s Everwild have been canceled, impacting long-standing staff.

    4. Turn 10, the Forza Motorsport studio, experienced a workforce reduction of about 50%, but Xbox CEO Phil Spencer is not retiring.

    5. Microsoft maintains a positive outlook, with many upcoming titles still on track for release, aiming to realign priorities for future success.

    A large number of layoffs happened at Microsoft earlier this week, with the company deciding to part ways with 9,100 workers, which is nearly 4% of its total staff across various departments. The Xbox division faced significant cuts, being one of the most affected areas.

    Game Development Continues

    Even with the layoffs, Xbox Game Studios has confirmed that over 40 games are still actively being developed. This information came from an internal message sent by Matt Booty, the head of Xbox Game Studios. Booty emphasizes that the company is still focused on its main strategy of creating exciting games for players and expanding its biggest franchises.

    Cancellations and Changes

    Unfortunately, the layoffs also led to the cancellation of the Perfect Dark reboot and the shutdown of its studio, The Initiative. Additionally, Rare’s project Everwild, which had been in the works for nearly a decade and even had a trailer released in July 2020, has now been scrapped. Consequently, Rare’s long-time director and executive producer for Everwild has left the studio after 35 years of service.

    Staff Reduction Impact

    The studio known for Forza Motorsport, Turn 10, reportedly saw half of its workforce laid off during this round of cuts. There were whispers that Xbox CEO Phil Spencer might also be among those leaving, but Microsoft has clarified that he won’t be retiring “anytime soon.”

    In the restructuring process, an unannounced project from Zenimax Online Studios was also put on hold, which coincided with the exit of studio head Matt Firor, who had been with the company for 18 years.

    Positive Outlook

    However, Booty’s message was straightforward. The majority of Xbox’s game lineup remains intact, and the company is “keeping momentum on titles being released this fall, along with a strong lineup leading into 2026.”

    This means that all the games recently showcased at the Summer Game Fest and Xbox Games Showcase are still under development. Key titles include Clockwork: Revolution, Call of Duty: Black Ops 7, and State of Decay 3. Furthermore, active games that are nearing release include: The Outer Worlds 2, set for October 29, High on Life 2 for Winter 2025, NINJA GAIDEN 4 for October 21, Grounded 2 for July 29, and Gears of War Reloaded for August 26, 2025.

    These layoffs have understandably caused concern among many industry analysts and developers regarding the future of Xbox and gaming as a whole. Nevertheless, Microsoft’s leadership maintains that the layoffs are part of a larger plan to “realign priorities and focus resources to prepare our teams for greater success within a changing industry landscape.”

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  • Windows 12 Release Delayed by at Least One Year

    Windows 12 Release Delayed by at Least One Year

    Key Takeaways

    1. Windows 11 version 25H2 is set to launch in late 2025, with Insiders already testing initial builds.
    2. Security updates for Windows 11 Home and Pro will last 24 months post-launch, while Enterprise and Education editions will receive updates for 36 months.
    3. Users of Windows 10 can access an additional year of security updates with a simple method.
    4. The focus of the 25H2 update is on improving stability and quality, rather than introducing many new features.
    5. 25H2 is an “enablement update,” allowing for a quick installation process by activating existing features in version 24H2.

    Microsoft is getting ready to launch Windows 11 version 25H2, which is a major update for its operating system. Insiders can already try out the initial builds of this version, which is set to be widely available in the latter part of 2025. People using the earlier version, Windows 10, can access an additional year of security updates from Microsoft by employing a fairly simple method, which we will explain here.

    Update Details

    In a recent blog entry, Microsoft’s Jason Leznek shared insights about the upcoming update for Windows 11. He specified that security updates for both the Windows 11 Home and Pro editions will be assured for 24 months following the launch of 25H2, while the Enterprise and Education editions will receive updates for 36 months. Additional features will be rolled out over time after the update is released. This suggests that the company is currently concentrating on enhancing Windows 11, even though development on the next Windows version, likely Windows 12, is already in progress.

    Future Expectations

    As a result, users will need to be patient for a while longer before a new version of Windows arrives. Presently, it seems that private users might have to wait until October 2027, while businesses could be looking at October 2028 (assuming 25H2 launches at the end of Windows 10 support in mid-October 2025). There’s a good chance that Microsoft might push back this deadline again next year.

    Focus on Stability

    The main goal of this update is to enhance stability, improve quality, and resolve issues rather than roll out a multitude of new features. Windows 11 25H2 is anticipated to launch around the same time as the conclusion of support for Windows 10 in October 2025, facilitating a smooth transition for users to the newer operating system.

    25H2 is termed an “enablement update”, indicating that many of its new features are already embedded in the code of version 24H2 and can be activated with a minor update. This design aims to provide a particularly swift and efficient installation process that should not take longer than a typical monthly security update.

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  • Microsoft: Windows 11 Claims 2.3x Speed Boost Over Windows 10

    Microsoft: Windows 11 Claims 2.3x Speed Boost Over Windows 10

    Key Takeaways

    1. Upgrading to Windows 11 offers a more secure operating system and a cleaner user interface, as well as better compatibility with AI-driven applications.
    2. Microsoft claims that Windows 11 PCs can be up to 2.3x faster than Windows 10 PCs, but this is based on a potentially misleading benchmark comparing different Intel processor generations.
    3. Actual performance may vary depending on device settings, with many experts suggesting that a fairer comparison involves similar hardware for both operating systems.
    4. Users may face significant costs when upgrading to Windows 11, especially if their current hardware does not meet the new system requirements.
    5. Microsoft has introduced the Extended Security Updates (ESU) program, extending support for Windows 10 until October 14, 2025, to help users transition.

    Microsoft has recently shared a blog post that talks about the advantages of upgrading from Windows 10 to Windows 11. The company claims that users will have a more secure operating system with a cleaner user interface and better compatibility with applications driven by AI. However, the claim that “Windows 11 PCs are up to 2.3x faster than Windows 10 PCs” is what has caught the most attention. Critics quickly pointed out that this statement is based on a possibly misleading benchmark.

    Benchmark Details

    The article mentions a Geekbench 6 multi-core test in the footnotes. Yet, the comparison is made between different Intel processor generations. Windows 10 PCs equipped with 6th, 8th, and 10th-generation CPUs are compared to Windows 11 systems that use 12th and 13th-generation processors. As noted by PC Gamer, some of these CPUs are up to nine years older than Intel’s newest offerings.

    Performance Variability

    The benchmark from December 2024 adds a note that actual performance can differ based on the device and its settings. Still, many observers feel that a fairer comparison would involve Windows 10 and Windows 11 PCs with the same hardware. Unfortunately for Microsoft, most comparisons show that the performance boost with the new operating system is quite small.

    Microsoft may be getting anxious to persuade users who have not yet upgraded to Windows 10. Gamers would be eager for the promise of 2.3x better performance, but they are smart enough to recognize that the new OS isn’t as groundbreaking as it sounds. Furthermore, these users have pointed out that the cumbersome nature of Windows 11 focuses on features that do not necessarily enhance frame rates.

    Upgrade Costs

    For those who do not frequently upgrade their PC’s hardware, the transition also brings along considerable costs. Customers who have a legitimate Windows 10 license can move to Windows 11 without any extra charges. However, the requirements for Windows 11 exclude older processors that lack support for TPM 2.0 and Secure Boot. Consequently, some users find themselves needing to buy new desktops or laptops that come with Windows 11 already installed.

    Microsoft has recently rolled out the Extended Security Updates (ESU) program. This initiative will prolong support for Windows 10 for an additional year. Otherwise, security updates will cease on October 14, 2025, which could leave PCs exposed to malware threats.

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    Microsoft: Windows 11 Claims 2.3x Speed Boost Over Windows 10

     

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  • Microsoft Gaming Job Cuts Could Affect Xbox Availability in Europe

    Microsoft Gaming Job Cuts Could Affect Xbox Availability in Europe

    Key Takeaways

    1. Microsoft is planning significant layoffs in the gaming sector, potentially impacting Xbox operations in Europe.
    2. Countries like Germany, the Czech Republic, Poland, Switzerland, and Austria may experience disruptions in Xbox distribution networks.
    3. The future of hardware development for Xbox is uncertain, with a shift towards a more PC-like design for new devices.
    4. Microsoft is emphasizing digital gaming, reducing physical game copies, and promoting services like Game Pass and cloud streaming.
    5. Despite declining Xbox console sales, Microsoft hopes consumers will adapt to digital gaming, while PlayStation remains a strong competitor.

    As previously hinted in June, Bloomberg has reported that Microsoft is preparing to lay off a significant number of employees in the gaming sector. This reorganization could take place as soon as the month ends. Unlike past layoffs, these changes might have a lasting effect on the future of Xbox consoles. Central European gamers could be among the first to feel the impact. Tom Warren from The Verge anticipates that Microsoft will cease certain Xbox operations in this region.

    Potential Closures in Europe

    Warren doesn’t go into great detail, but it appears that some distribution networks in various European countries could be affected. The countries that might be impacted include Germany, the Czech Republic, Poland, Switzerland, and Austria. There are rumors among gamers that shipments of the Xbox Series X and S could completely halt. Reports from European consumers indicate that these Xbox consoles have become harder to find.

    Changes in Microsoft’s Strategy

    The restructuring in Europe seems to reflect Microsoft’s changing strategy for Gaming. While the company has formed a partnership with Asus for the ROG Xbox Ally handhelds, the future of hardware development remains uncertain. Microsoft recently revealed plans to collaborate with AMD for a possible successor to the Series X. However, some analysts think that this new device could look more like a Windows PC rather than a classic console.

    Shift to Digital Gaming

    Residents of Central Europe may also find it difficult to locate physical game copies in stores. Microsoft has decreased the number of first-party Xbox games that are shipped on discs. Instead, they are promoting digital downloads via the Xbox Store. The company is focusing on services like Game Pass and cloud streaming, which can be accessed on PCs and mobile devices. Consequently, Microsoft is becoming less dependent on distributing gaming hardware worldwide.

    Despite a decline in Xbox console sales in Europe, some fans are still feeling let down. Microsoft is optimistic that these consumers will transition into the digital age. Until then, PlayStation remains a viable alternative with its PS5 consoles.

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    Microsoft Gaming Job Cuts Could Affect Xbox Availability in Europe

     

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  • Xbox Game Pass Growth Slows Amid New Handheld Console Launch

    Xbox Game Pass Growth Slows Amid New Handheld Console Launch

    Key Takeaways

    1. Xbox Game Pass has reportedly surpassed 35 million subscribers, but Microsoft has not confirmed this figure.
    2. Critics suggest that the growth of Xbox Game Pass subscriptions may have plateaued since the surge during the COVID-19 pandemic.
    3. Microsoft aims for 100 million Game Pass subscribers by 2030, but growth has slowed, particularly for the Xbox Series X|S.
    4. Phil Spencer acknowledged that not all gamers are interested in Xbox Game Pass, as some only play a few titles each year.
    5. Microsoft is exploring new markets, focusing on PC Game Pass and mobile gaming, to attract more subscribers amid declining console sales.

    Microsoft last disclosed its Xbox Game Pass subscription figures in February 2024, revealing that the service had reached 34 million subscribers. Recently, a user named Timur222 found a LinkedIn profile of a Microsoft employee that states a different number. The Program Manager mentioned in the profile claims that Game Pass has surpassed 35 million members. While this figure sounds impressive, it may indicate that Microsoft is falling short of its own growth targets.

    Reasons to Wait for Official Updates

    There are many reasons why gamers might want to hold off until Microsoft gives a formal update. It remains unclear when Kevin K. last updated the information on his LinkedIn page. Moreover, the 35 million+ figure is not precise, and the real number could be even higher. Nevertheless, critics suggest this adds to the argument that the growth of Xbox Game Pass subscriptions may have plateaued. During the COVID-19 pandemic, the service saw a surge in subscribers, prompting Microsoft to share progress reports more eagerly.

    Future Growth Goals

    Earlier reports indicated that Microsoft aimed for 100 million Game Pass subscribers by 2030. However, by early 2024, it became evident that the company might find it difficult to achieve this goal. Growth has noticeably slowed down, particularly for the Xbox Series X|S. Even Phil Spencer, the CEO of Microsoft Gaming, recently admitted that the service may not attract every gamer. Some users only engage with a few titles each year and don’t have the time to explore new Xbox Game Pass games every month.

    Exploring New Markets

    Due to falling console sales, Microsoft is targeting new audiences for Game Pass on other platforms. The outlook for PC Game Pass appears more promising than for console-specific services. Additionally, at the Xbox Games Showcase on June 8th, the company revealed the ROG Xbox Ally series. These new handheld consoles operate on Windows, with Microsoft focusing on enhancing the OS for gaming purposes. To gain new Xbox Game Pass subscribers, Microsoft will need to tap into the untapped potential of the mobile gaming market.

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