From a consumer standpoint, it's extremely important how developers view the value proposition equation. It's developers who make the games you consume and decide how much value to provide with the given product they release for sale (the game). If developers come to the conclusion, for a variety of reasons, to offer less value because the potential return will not be there then the consumer ends up being offered less, all else being equal. Less can mean a variety of things.... less scope and content, less quality, unsavory monetization models etc.
Idiocy knows no bounds.
Gamepass subs are stagnating and plateauing, mainly due to the fact that the Xbox Series consoles sell-in is declining launch aligned to Xbox One, and there is nothing that screams or points to a reversal of fortune, in the short term, or the long term.
Hardware sales matter.