You may not be able to hear group chat in the Xbox Game Bar if your gamepad installation or your LAN/headset drivers are corrupt. Also, improper configuration of sound devices can be the cause of the mentioned error.
Users encounter a problem when trying to use group chat, but can’t hear other players, even though the system/game sounds are working fine. Some users could not even use the microphone in group chat. In some cases, the problem is limited to one or two games.
Some experienced users on the Microsoft forum said that if nothing happens when you press Win + G, check the Xbox Game Bar settings. However, if you find that the Xbox Game Bar is on, we have mentioned other possible solutions below.