Xbox Game Pass Faces Criticism Amid Microsoft Layoffs and Strategy Shift
On June 2024, Microsoft announced significant layoffs affecting approximately 9,000 employees worldwide, including key teams within Xbox Game Studios. This move coincides with the cancellation of several high-profile projects such as Perfect Dark and Everwild, raising concerns about the future direction of Xbox Game Pass and its sustainability as a subscription model.
Arkane Studios founder, known for Dishonored and Prey, publicly criticized the Game Pass strategy, calling it “unsustainable” and highlighting the risks of relying heavily on subscription revenue at the expense of traditional game development. Industry insiders suggest that Microsoft’s pivot towards prioritizing Game Pass growth may be impacting creative freedom and long-term studio stability.
Microsoft has stated that these changes are part of a broader effort to streamline operations and focus on delivering value to Game Pass subscribers through a curated library of games and cloud gaming services. However, the layoffs and project cancellations have shaken confidence among developers and fans alike.
Sources: Microsoft official announcements, Arkane Studios founder statements, TheGamer, New Game Network. Image credit: Microsoft Xbox official media kit.
