Xbox has introduced a new feature that allows players to convert compatible physical game discs into digital licenses linked to their Microsoft account. This feature, which was first tested with members of the Xbox Insider program, is now available to all users. When a compatible Xbox One or Xbox Series X game disc is inserted into a console with a disc drive, the console reads the disc and adds the corresponding digital license to the player's account. Once registered, the game can be downloaded and played directly from the console's storage, without the need to keep the disc in the drive. The process depends on metadata embedded in the discs, which have been used for several years in Xbox games. Each disc contains a unique key that allows the console to identify the game and authorize access to its digital version. Once the license is registered, certain titles can be played on other compatible consoles. Games that support Xbox Play Anywhere can also be accessed on PC without additional purchase and can be played remotely or through Xbox Cloud Gaming. Microsoft officially announced the feature on August 26, 2026, in response to Sony’s decision to stop producing physical discs as early as January 2028. The new feature allows Xbox players to automatically scan physical games they already own by simply inserting the disc into an Xbox console, provided the console has a disc drive and the game is compatible. However, the initiative is currently limited to Xbox One and Xbox Series X | S games, and not all discs from these consoles are eligible for the conversion. Eligibility may change over time and depends on various technical factors, such as license types, editions, and manufacturing details. After conversion, the physical disc continues to function normally, but it no longer needs to be in the disc drive to play the game. However, players should still keep the disc physically, as reselling it could result in losing access to the digital version. If the disc is inserted into an Xbox linked to a different account, the digital copy will transfer to that account. If a player has only lent the game, the digital copy will be reassigned to them when they reinsert the disc into their own console. Some major publishers, including Ubisoft and Sega, have announced their support for this feature. Most Xbox One and Xbox Series X | S games are compatible, though Microsoft has been cautious in discussing the details. The company has not released a full list of compatible titles, instead allowing players to test their own games on a case-by-case basis.