Microsoft is a terrible company if you ask me, definitely the worst place you can get your games in, but apparently they are trying to recover some steam (pun intended), by bringing some old classics to PC. This will be via their plan called, Disc to Digital, so it will definitely be some sort of emulation for old games that might not be as good as what the fan community has been providing for years now. It is crazy that they took this long to do it, but there is a ton of Xbox games like Phantom Dust that need a second chance to shine.
Microsoft plans something neat
The keyword is planning, as this feature seems to be rolling out from 2027 to 2028. It will be interesting to see how all of this is implemented, but it is neat to see that they want you to keep using your physical games and that you can still sell them when you get tired of them. They actually do read the games from the physical medium, but any sort of digital download coming to it will still be tied to some sort of DRM server, this was a tragic inevitability.
But still, the fact that you can sell your won stuff and play it whenever you want is pretty neat, but we have to see if this will be done via emulation or real hardware configurations. Considering we are speaking about Microsoft here, it makes sense that they will do it in the cheapest way possible, as trying to make hardware that runs our old discs is simply something they will never consider, its too much effort. Regardless, going the emulation route will prove to be a challenge because fans and enthusiasts have already done so many years before it even crossed the mind of Microsoft.