Microsoft is reportedly developing a new Disc-to-Digital feature that would allow Xbox players to convert eligible physical games into digital licenses, potentially making the transition to an all-digital future much easier.
The report arrives shortly after Sony announced it will discontinue physical disc production for new PlayStation games starting in 2028, further fueling speculation that the gaming industry is steadily moving away from physical media.
Sony Confirms End of Physical PlayStation Game Discs Starting in 2028
Disc2Digital Could Convert Physical Xbox Games
According to Tom Warren of The Verge, references to a new “Disc2Digital” system have been discovered within the Xbox PC app since May.
The feature is reportedly designed to work with Xbox Series X|S and Xbox One game discs, though Xbox 360 and original Xbox titles are currently not expected to be supported.
If implemented, players would simply:
- Insert a compatible physical disc.
- Install and launch the game.
- Sign in with a Microsoft account.
The system would then grant the user a digital entitlement, allowing the game to function as a digital purchase while still recognizing ownership of the physical copy.

Digital License Would Follow the Disc
One of the more interesting details from the report is how ownership is expected to work.
Rather than permanently assigning the digital license to a single account, the entitlement would reportedly remain linked to the physical disc itself.
That means if the disc is lent to a friend or used on another Xbox profile, the digital entitlement would move with the disc, allowing the new user to activate the game in the same way.
According to the report, Microsoft is also planning support for:
- Xbox console bundle discs
- Multi-disc games
- Various physical editions
However, not every compatible Xbox One or Series X|S disc is guaranteed to work.
Microsoft reportedly noted that support depends on when and how the disc was manufactured, meaning older production runs may lack the necessary data required for the feature.
Physical Discs Would Still Function
Importantly, the report claims that converting a game would not disable the original disc.
Players would still be able to use the physical copy on compatible Xbox hardware, meaning Disc2Digital wouldn’t replace physical ownership—it would simply provide a more convenient digital alternative.
What Does This Mean for Project Helix?
The report also revisits rumors surrounding Microsoft’s next-generation console, Project Helix, which has been repeatedly rumored to launch without a built-in disc drive.
According to Tom Warren, Microsoft has not yet finalized that decision.
If Disc2Digital becomes a reality, it could serve as an important bridge for players with large physical Xbox collections, allowing them to carry their libraries forward even if future Xbox hardware eventually abandons optical drives.
Microsoft has not officially announced the feature, so all details should be treated as unconfirmed until the company provides formal information.









