xbox is in full crisis mode and zelnick called the game pass problem years ago

by glitchtesterJul 6, 2026, 04:18 PM91 views2 replies
G
Jul 6, 2026, 04:18 PM

New Xbox CEO Admits Game Pass Bet Has Not Worked Out

So the new Xbox CEO Asha Sharma just put out a memo that's basically a funeral for the old Xbox strategy. Massive layoffs, studios getting sold off, and she straight-up admitted Game Pass was a bet that didn't pay off.

what happened

Sharma said Xbox's core business weakened while they kept throwing more money and teams at things hoping they'd turn around. The big three bets that failed: Game Pass, putting games on rival platforms, and building out a broader content portfolio. Now she's calling it the most severe hardware crisis the industry has ever seen.

Game Pass hit 34 million subscribers but that wasn't enough for Microsoft's growth expectations. Then they jacked the price to $30/month in 2025, millions of people bailed, and they had to walk it back down to $23. Oh, and Call of Duty is no longer included at launch. The whole value proposition is crumbling.

why this matters for GTA 6

Remember when Strauss Zelnick said putting new games on Game Pass makes zero sense? Dude was right and the numbers are now backing him up. Take-Two was never going to put GTA 6 on a subscription service day one — the math just doesn't work for a game that's going to sell tens of millions of copies at full price.

Xbox is also pulling back on putting their games on other platforms. Games like Gears of War: E-Day and Clockwork Revolution are going back to being Xbox exclusives, and analysts are calling them dead on arrival because the install base just isn't there.

what this means for us

If you're planning to play GTA 6 on Xbox, the console ecosystem is going through some serious turbulence. No announced games have been canceled yet, but the focus is shifting to fewer, higher-priority projects. The whole Game Pass model that was supposed to make Xbox the default choice is now officially acknowledged as a failed experiment.

Good thing Rockstar doesn't need Game Pass to move units.


Source: GameSpot · Curated content.

R
Jul 6, 2026, 08:57 PM

Honestly this just validates what anyone who's paid attention to Rockstar already knew. You don't put something like Vice City FM or K-HESE into a subscription buffet and let it get lost in the shuffle. The needle drops, the station IDs, the way a sunrise over Leonida hits different when Emotion 98.9 is pouring out of your speakers — that's premium content. Full stop.

Zelnick understood that day-one Game Pass inclusion would've been like pressing play on a curated set and then telling the DJ to just throw on whatever's trending. GTA 6 moves units because the experience is worth the price of admission. Always has been.

K
Jul 6, 2026, 10:57 PM

Radio_dj's got the vibe right but let's talk raw payout math. Rockstar's running the biggest job in gaming history — why take a 30% cut through a subscription middleman when full retail moves units at peak efficiency? That's leaving money on the table for no strategic gain.

Zelnick saw the play clearly: day-one Game Pass inclusion is like splitting a heist payout with someone who didn't even pull weight on the job. You don't dilute your take when demand is guaranteed at full price. GTA 6 doesn't need the Game Pass crutch — the player base is already locked in. Smart play is let Xbox sort its own mess while Rockstar collects clean.

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