Xbox’s mission to be all-digital cemented by waning physical game sales

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Physical games could soon be a thing of the past for people playing on the Xbox platform. (Image: Xbox)
Physical games could soon be a thing of the past for people playing on the Xbox platform. (Image: Xbox)

As Xbox turns its attention to digital-based endeavours to Xbox Game Pass, retailers have reportedly lowered their stock of physical Xbox games.

It’s no secret that Xbox, more so than Nintendo and PlayStation, has been pushing for an all-digital video game future for quite some time. Initiatives such as Xbox Game Pass prioritise downloads and subscriptions over outright copies sold, while the Xbox Series S console doesn’t feature a disc drive at all. Is it any wonder, then, that a new report has surfaced claiming that Xbox physical game sales are so low, that brick-and-mortar retailers throughout Europe are said to be stocking far fewer when compared to the console’s rivals.

This is according to GamesIndustry.biz head Christopher Dring anyway, who recalled hearing as such on the Games Industry Microcast (heard here at the 26:22 mark ). "I was told by a major publisher, just before Christmas, that across Europe, several retailers have started just not listing Xbox anymore," he said. Dring wasn’t able to go into detail about which retailers specifically have stopped selling physical Xbox games, but he did elaborate on the reason why. “Xbox is such a digital console now that physical performance of Xbox games is really low”.

Such revelation comes in the wake of Microsoft’s decision last week to cut no less than 1,900 jobs across its entire games division following the Microsoft Activision deal’s completion. The department that prioritises bringing physical games to market is said to be one of many that has been affected by these layoffs. “Ultimately when you’re selling a console that most people are just downloading games for, it doesn’t really benefit the retailer very much,” Dring summed up.

Adorably all-digital

News that European sellers aren’t particularly bothered about Xbox winding down its physical games division is shocking but not surprising. Especially when you consider where the future of the platform seems to be headed. After all, when Microsoft leaked its plans for an Xbox Series X refresh last year, it let slip that this upcoming redesign will be “adorably all-digital” and do away with an optical drive altogether. Obviously, the Xbox Series S has always remained a digital-only machine, but this will mark a first for that machine’s big brother which has up until this point offered both options.

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This Xbox Series X refresh isn’t due out until November 2024, according to the leaked documents, presuming Microsoft’s release plans haven’t changed. If it does launch without a disc drive, the company’s decision to close down the physical division, as suggested by Windows Central reporter Jez Corden in a tweet, might be less tied to the Microsoft Activision merger and more so just a continued long-term plan. Last month’s Xbox Developer Direct showcased Hellblade 2: Senua’s Saga – a major 2024 exclusive that won’t be shipping without a physical release.

Aaron Potter

Xbox Series S, Xbox Series X, Xbox

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