> PC gaming is a very small market... and PC game pass
I think you're very much wrong. The game pass market is said to have ~30 million users. Having them be able to play on PC is probably quite important as not everyone can afford an extra Xbox if they already have a computer.
Your argument is not very convincing unless you can show numbers of people who have an Game Pass Ultimate subscription and use it for PC gaming.
> not everyone can afford an extra Xbox if they already have a computer
Gaming PCs are much, much more expensive than consoles at same performance. Most people have consoles and no gaming PC. In markets where that's not the case (e.g. China), game pass and Xbox in general happen to be also less relevant -- if they get a console, they'll get a PS5.
Every teen wants a gaming PC because all their favorite streamers and YouTubers play on PC. It's not 2010 anymore. Walk into any big box store and there's pre built gaming PCs of various price bracket. Even Costco has like 5 different models right near the entrance.
You've literally provided the evidence that Microsoft cares about PC gaming in your original post.
I think you're very much wrong. The game pass market is said to have ~30 million users. Having them be able to play on PC is probably quite important as not everyone can afford an extra Xbox if they already have a computer.