Microsoft may have shut down its physical games division – WGB

by shopidea.net
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The reliable Jez Corden of Windows Central said that Microsoft has shut down its entire physical gaming division, which is responsible for bringing Xbox games to brick-and-mortar stores.

“Microsoft also shut down a division dedicated to bringing Xbox games to physical retailers… If you’ve seen the digital-only Xbox console leak… well, where is Microsoft going here? “You can understand why,” Jez said.

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This ties in with the sad news that Microsoft will be cutting 1,900 jobs across its gaming division.

Jez correctly pointed out that while the division responsible for physical games may have been shut down, that doesn’t mean Xbox intends to stop selling physical games. Instead, they may choose to outsource those tasks.

Of the three consoles available, Xbox typically has the highest digital sales of physical games, likely because the majority of Xbox consoles are Series S, which doesn’t have a disk drive for physical games. It is likely driven by facts.Here in the UK it is estimated that Almost 90% of game sales in 2022 were digital.

Leaked documents also hint at Microsoft’s plans to focus on purely physical gaming with its next console. In other words, it’s all about a digital future, at least in Microsoft’s eyes.

I personally still love physical media. Especially since in order to review as many games as possible, I buy copies, play the games, sell them, and put that money toward the next title I want to cover. I have no problem with companies focusing on digital sales, but I also think there’s plenty of room for both. But from Microsoft’s perspective, digital sales of first-party titles mean it keeps all the money, while physical sales make less money.

Supermarkets and retail stores also appear to be gradually phasing out physical media. Here in the UK, Tesco no longer stocks games, while Asda has drastically reduced their games and movies to almost nothing. Meanwhile, retailer GAME announced plans to stop selling used titles.In the United States, there are reports such as: Walmart also plans to discontinue games

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