Phil Spencer is confident that Starfield will make profit

Starfield's incoming launch on the Xbox platform and the Game Pass this September is pivotal to the future of Microsoft's gaming arm.


Starfield's expected universal appeal could result in a massive jump of Xbox Series S/X units sold later this year.

Gone are the days when the biggest gaming coming to the Xbox was Halo and Gears of War. This year, and possibly going forward, all eyes will be on the massive slate of upcoming games coming from ZeniMax Media, which Microsoft closed the deal on two years ago. But, in light of recent developments, including the reported difficulty of moving Xbox units and the failure of Redfall, some can’t help but express doubt that Starfield, arguably the biggest game of its generation, will make a profit for Microsoft. However, if you ask Phil Spencer, he isn’t worried at all.

Bethesda has long been associated with ambitious games that are nothing short of epic. Led by Todd Howard, the studio has developed games that have become cultural phenomena, such as Skyrim. However, developing these expansive games comes at a cost. The team at Bethesda and their Microsoft overlords have the hefty task of ensuring Starfield is not just a great game, but also a profitable one.

Phil Spencer, the Head of Xbox, explained the economics behind game development during a recent chat on GameSpot sister site Giant Bomb’s at Nite show. He used the example of Halo 2, explaining that the game’s profitability wasn’t simply about the number of units sold but how many consoles it sold, how long players stayed on the platform, and how many games they bought.

As per Spencer, Starfield’s launch on the Game Pass subscription service fits perfectly into this equation. By releasing the game on Game Pass, Microsoft hopes to grow its user base and sell more games, making it more cost-effective.

This idea is reminiscent of the old-school console strategy, where game exclusivity was key to growing the platform, which ironically is the exact opposite of Microsoft’s current strategy.

However, this plan isn’t without its detractors. There has been a significant amount of skepticism regarding the profitability of Game Pass and whether its affordable price could hurt the gaming industry. Spencer didn’t think twice about coming to the defense of the platform, saying that Xbox and Game Pass are profitable and sustainable. He also declared that Starfield will play a crucial role in propelling the growth of the brand and the service.

The only problem with the “all-in” approach to Starfield is the bitter answer to the question, “what happens if it doesn’t sell well?”

Moreover, Microsoft’s confidence in Starfield was evident at the Summer Game Fest. The game was touted as “one of the most important RPGs ever made.” Such preemptive self-aggrandizing is a risky strategy, especially considering the fiasco of Cyberpunk 2077. The fallout from that game’s poor launch serves as a stark reminder that excessive hype can lead to downfall if the final product fails to meet expectations.

In a way, Microsoft’s hefty $7.5 billion acquisition of Bethesda could be seen as a justification for this confidence. Both of the companies are publicly committed to Starfield, believing that it will be a major seller this holiday season. But the question remains: will Starfield live up to this hype?

If nothing else, Microsoft is definitely hedging its bets to make sure this is the case. Starfield will move units, that much is clear. To coincide with its release, Microsoft is releasing a new Xbox Series S with a beefed-up storage and a blacked-out exterior. More importantly, the Starfield-themed accessories pair perfectly with the older Xbox Series S for those who own one already. Finally, the different editions of Starfield make sure that everyone, from casual gamers to collectors, have something to throw their money at.

The only thing missing now is a Starfield-themed Xbox Series X, although we’re pretty sure Microsoft is going to give one away albeit as promotional material for the game – not for the general public.

Starfield should set a new record of subscribers playing the game simultaneously on the Game Pass but that doesn’t necessarily mean that it will make bank.

In the end, the players are the ones who will decide whether Starfield will be as important to the RPG genre as Microsoft and Bethesda believe it to be. If the game does manage to meet the expectations set by the marketing hype, it could help redefine the genre. And if Starfield manages to leverage its position as a Game Pass launch title to drive platform growth, it could serve as a game-changer for Microsoft and Bethesda.

Already, we’re hearing rumblings that other studios, like Santa Monica Studio, are going the space and sci-fi route, as if already expecting that Starfield will kickstart a new space age in gaming.

It’s hard to imagine just how much pressure is on Bethesda to deliver with Starfield.

With the release date looming on September 6th, only time will tell if Starfield will be able to propel Xbox and Bethesda to new heights. In the meantime, the gaming world waits with bated breath to see if this new venture will indeed shoot for the stars or come crashing down to earth.

Ray Ampoloquio
Ray Ampoloquio // Articles: 7186
With over 20 years of gaming experience and technical expertise building computers, I provide trusted coverage and analysis of gaming hardware, software, upcoming titles, and broader entertainment trends. // Full Bio