Video game subscription spending is down in the United States, as services struggle to attract and attain new subscribers. Though Phil Spencer claims that Xbox Game Pass remains profitable, the platform has noticeably reached its user peak, and the current trend certainly casts some doubt into its long-term viability. Despite being behind Xbox's subscription service, a significant advantage that PS Plus has over Game Pass are the pricing discounts for its annual option, meaning that players are more likely to be sporadically subscribed to Game Pass, resulting in greater number fluctuations and stunted growth.Xbox Game Pass has certainly been one of the best deals a player could buy, but profits in 2023 seem to point in another direction. It's no secret that the year was marked by several stellar releases such as Hogwarts Legacy, Tears of the Kingdom, Jedi: Survivor, and Diablo 4. These titles have enjoyed commercial success both on the digital marketplace, and with the number of physical copies sold. With half a year left, and highly-anticipated games such as Final Fantasy 16, Baldur's Gate 3, Starfield, and Assassin's Creed Mirage set to make their launch, 2023 is likely to be remembered for its premium releases rather than subscription growth.According to a study performed by Circana, subscription spending in April 2023 has only increased by 2% compared to April 2022, signifying that growth has effectively stalled. On the other hand, good old-fashioned video game purchases in 2023 have seen record profits despite the increase in price. Players may balk at the $70 price tag for the latest Diablo installment, but Diablo 4 has been breaking Blizzard records.
With Starfield being part of Game Pass from day one, people can't help but wonder if Phil Spencer is leaving money on the table. Had Starfield eschewed its console exclusivity in favor of releasing on all platforms like past Bethesda titles, it's very likely that many PlayStation owners would have purchased it. Perhaps in a landscape where video game companies are aggressively chasing to maximize their profit, having a platform like Game Pass be intentionally consumer-friendly isn't a bad thing.
The average player will likely consider picking up a Game Pass subscription on PC in September to play Starfield for just $10 per month, which certainly seems like a better deal than forking out $70 for a new release. As Microsoft continues its acquisition strategy, the catalog of Game Pass titles will continue to grow, but no longer in parallel with its number of users.