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State of Decay 3 Staying on Game Pass: What This Means for Xbox Players

Undead Labs commits to Game Pass release despite Xbox changes, revealing why subscription access drives franchise growth.

Xbox gaming subscription lifestyle
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Undead Labs, the developer behind the popular State of Decay franchise, recently confirmed that the studio remains committed to releasing State of Decay 3 on Xbox Game Pass despite shifts in Microsoft’s broader gaming strategy. This decision carries significant implications for players who rely on the subscription service to access new titles without individual purchases.

Why the Developer is Doubling Down on Game Pass

In a recent industry interview, Undead Labs Studio Head Philip Holt explained the reasoning behind sticking with Game Pass for the upcoming sequel. According to Holt, the subscription service has been fundamental to the studio’s success and growth trajectory. He noted that the Game Pass audience provided the initial scale necessary for State of Decay to become the franchise it is today.

The developer emphasized that while Game Pass attracts a large volume of players, a significant portion stay engaged for extended periods. Holt pointed out that roughly half of the game’s monthly active users have maintained their involvement for nearly two years, with approximately a quarter remaining engaged for over five years. This level of retention demonstrates how the subscription model can cultivate long-term fan communities rather than just one-time players.

The Co-Op Factor and Network Effects

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State of Decay 3 is positioning itself as a major multiplayer experience, featuring four-player cooperative gameplay in a shared world environment. This design choice directly benefits from Game Pass’s broad accessibility. When a player on Game Pass discovers State of Decay 3 and enjoys the co-op experience, they naturally invite friends to join them. Many of those friends may be on different platforms or may not yet own the game, making the subscription service a natural entry point for expanding the player base.

Holt described this dynamic as a crucial growth vector. He explained that players coming from Game Pass often become invested in the franchise after experiencing quality co-op gameplay with friends. This organic word-of-mouth effect helps drive awareness and interest across gaming communities. For shoppers evaluating their entertainment budget, this means the game will likely maintain a healthy player population when it launches, ensuring that the multiplayer experience remains viable and enjoyable.

What This Means for Your Gaming Library

For consumers currently subscribed to Game Pass through Xbox consoles, this announcement provides reassurance that upcoming AAA titles from established franchises will continue arriving on the service. Holt’s public acknowledgment of Game Pass’s value sends a signal to the industry that the subscription model remains viable and beneficial for developers, even as the gaming landscape evolves.

The decision also reflects confidence in State of Decay 3’s quality and appeal. Rather than pursuing a traditional paid release strategy, Undead Labs is banking on the game’s co-op gameplay and long-term engagement potential to justify a Game Pass release. This approach suggests the developer believes the experience offers genuine value to players rather than serving as a quick cash grab.

Production Timeline and Team Structure

To ensure State of Decay 3 remains on track for release, Undead Labs is collaborating with three separate co-development teams. This organizational structure helps distribute the workload and maintain momentum throughout the development cycle. The studio’s commitment to maintaining the Game Pass release window demonstrates that these partnerships are functioning effectively.

For players planning their 2025 gaming schedule, this indicates that State of Decay 3 is progressing toward completion with adequate resources and support. The involvement of multiple co-development partners typically signals that the project has sufficient budget and attention from leadership to meet its targets.

Market Implications for Subscription Services

video game development studio workspace
Photo by Ben Garratt

Holt’s comments arrive at a moment when questions about subscription gaming’s long-term viability have intensified. By publicly endorsing Game Pass and its strategic value, he provides industry credibility to the subscription model at a critical time. Other developers considering their platform strategies will likely take note of how established franchises are finding sustained success through Game Pass releases.

For consumers comparing subscription services and evaluating which platforms offer the best value, State of Decay 3’s arrival reinforces the case for maintaining an active Game Pass subscription alongside compatible hardware. When major titles from recognized franchises continue launching within the subscription ecosystem, the service’s overall value proposition strengthens.

What to Expect Next

State of Decay 3 is scheduled for release in the coming year, with Game Pass access available on day one. Players interested in cooperative gameplay with substantial depth and long-term engagement potential should keep the title on their radar. The developer’s emphasis on community, retention, and the co-op shared world suggests a focus on creating an experience designed for sustained player investment rather than casual play.

As more information becomes available about gameplay features, progression systems, and detailed mechanics, the picture will become clearer about what State of Decay 3 offers compared to other titles in the genre. For now, Holt’s public commitment to Game Pass provides confidence that this franchise installment will arrive as planned with the features and quality standards players expect.

About the author

Serenity Richards
Serenity Richards

Serenity covers home game consoles for REMOVU, weighing performance, exclusive libraries, and the ecosystem each platform locks you into. She helps players pick the console that fits how and what they play.