To fix this, you need to go to the settings of your Microsoft Store account and enable the option. Because of this, you might be forbidden from launching any games that require an Internet connection via Game Pass.
You should be able to fix this issue by repairing the Xbox App and the Xbox Game Pass from the Apps & features.
This is a frequent problem among users who recently upgraded to Win 11 from Win 10.
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To fix this, you need to install the latest Windows infrastructure update that you are missing. Unless your system has it, you can expect certain games (particularly games from first-party studios) to refuse to launch. Most commonly, GamePass is missing a key security WU infrastructure update that it needs.