By Sagar V. Mankar Microsoft recently revealed that its popular Xbox Game Pass service now has over 34 million subscribers worldwide.
This represents strong growth of 36% from the 25 million subscribers reported over two years ago in January 2022.
Key Takeaways:
- Xbox Game Pass now has 34 million subscribers globally
- Growth rate of 36% over the past 2 years
- Slower growth recently, especially on consoles
- Goal of reaching 100 million subscribers by 2030 looks challenging
The new milestone comes as Microsoft prepares to bring some Xbox exclusives to rival platforms like the PS5 and Nintendo Switch.
Analysis of Xbox Game Pass Growth
The latest figures are the first update on Xbox Game Pass subscribers since Microsoft announced its blockbuster acquisition of Activision Blizzard in early 2022.
The growth to 34 million subscribers is impressive.
However, it does represent a slowdown compared to previous quarters.
Microsoft’s gaming chief Phil Spencer admitted growth was slowing on consoles.
This is likely due to saturation in major console markets.
According to Spencer,
“We’re seeing incredible growth on PC…On console, I’ve seen growth slow down, mainly because at some point you’ve reached everybody on console that wants to subscribe.”
Mobile could be the key to unlocking more growth for Game Pass.
But uptake on Xbox Cloud Gaming has been slower than expected so far.
Can Microsoft Hit 100 Million Subscribers by 2030?
Back in 2021, Microsoft set a goal of reaching 100 million Xbox Game Pass subscribers by 2030.
However, based on recent growth trends, this ambitious target now looks doubtful.
Microsoft previously targeted 73% Game Pass growth for 2022, but only achieved 28%.
This led to Xbox Game Pass growth being dropped as a target for executive compensation.
The slower growth on consoles and mobile shows there is still work to be done to dramatically expand the Game Pass subscriber base.
What’s Next for Xbox Game Pass?
While 100 million subscribers by 2030 could be a stretch, Microsoft still aims to grow Game Pass in the long run.
The focus will be on expanding to more platforms like mobile and reaching gamers in new markets.
Microsoft is also building an Xbox mobile gaming store to compete with Apple and Google.
Recently Apple cahnges its policy allowing third party app store for thier devices but Microsoft wants more openness from Apple.
Phil Spencer stated –
“There’s not room for us to monetize Xbox Cloud Gaming on iOS. I think the proposals that Apple put forward … don’t go far enough to open up competition on the world’s largest gaming platform.”
The door remains open for Xbox Cloud Gaming to come to iOS properly.
But monetization and store restrictions remain a barrier for now.