Best yet, Microsoft has added PC games and PC downloadable content like map packs and skins to the mix. However the good news is that if you wanted to gift PC games, you'll be pleased to learn that it is now available as well through the Microsoft Store. You can't buy more than two discounted products at once, or more than 10 total discounted products within a 14 day period.
Microsoft asks that players give feedback on the new system, including features they'd like to see, but for now it looks promising for you benevolent souls out there. Fortunately, if you run into bugs like I did, you can also gift games via the Microsoft Store website, which behaves as expected. Full-priced products have no limits. Xbox 360 and Xbox original games can't be sent as gifts either, as well as preorders, free products, and consumable DLC such as virtual currency. For some reason, you can not gift more than two discounted items within a 14 day period. You can also gift downloadable content and even subscription time to the Xbox Live Gold and Xbox Game Pass services.
Last year, Microsoft enabled digital gift giving for select Xbox titles and subscriptions using the Microsoft Store.
One of the first games you might want to gift is State of Decay 2. With the first sales considered, you'll be able to get a console like the 1TB PUBG Xbox One S Bundle for $249 instead of $299. Now, all Xbox One games qualify for digital gifting. Similar to Steam, recipients can only redeem gifts in the country or region where they were purchased.
This feature should already be live and available to users, so fire up the Microsoft Store if you'd like to check it out.