Things are getting very interesting and the Xbox Series X and Series S games They are gradually abandoning the physical format. This is a reality that we have already seen going through several fronts, among which we can highlight the layoffs in the Microsoft division dedicated to the launch of games in said format and the company’s plans with the Xbox Series Just yesterday I told you that it could be completely digital.

The situation seems to be getting worse as some European vendors already do They have stopped restocking certain Xbox Series X and Series S games. This information comes from a very reliable source that has contacts in the industry, so it has a high degree of credibility, but why is this happening, what does Microsoft have in mind to start phasing out physical games? It’s a good question, and I’ll answer it based on three basic keys.

The first key is low sales of games in digital format. According to multiple sources, most of the revenue Microsoft gets from Xbox games comes from digital sales as well as the popular Game Pass service. This means that for the Redmond company, the physical format is less and less important, and therefore leaves it in the background.

As the second key we have marketing costs of games in physical format. Releasing games in this format means more costs than in digital format, because there are many elements that come into play, such as the optical format, the box, its design and everything related to logistics. A game in physical format avoids all these costs and is easier to sell, which means a higher profit margin.

The third and final key is related to value that a fully digital console can offer. By omitting the optical drive, it is possible to create smaller consoles with a more attractive design for users. This type of console can also be much more economical because the component can generally represent price difference between 50 and 120 euros.

Microsoft hasn’t said anything official at this point, but the reality the market is experiencing and Xbox’s situation is so clear that it’s not necessary either. The leaked information makes it clear where Microsoft and its consoles are going in the short to medium term, and it’s not crazy to think about saying goodbye to physical games for the long term. Does this strategy sound right to you?