Microsoft Considers Changes to Xbox Game Pass Pricing and Value

Microsoft may soon adjust the pricing and structure of its Xbox Game Pass subscription service. In an internal memo obtained by The Verge, Xbox’s new chief, Asha Sharma, acknowledged that the service has become expensive for players. Sharma indicated that the company is considering changes to improve value for subscribers.

Key Highlights

• Microsoft may revise Xbox Game Pass pricing after internal concerns about affordability
• Asha Sharma, Xbox chief, called for a better value equation for Game Pass subscribers
• Price hikes in 2023 linked to adding Call of Duty to Game Pass
• Rumors suggest Call of Duty could be removed from the service in the future

Internal Memo Reveals Pricing Concerns

Sharma wrote to employees that Game Pass remains central to Xbox’s gaming value. However, she stated that the current model is not final. Sharma explained, ‘Short term, Game Pass has become too expensive for players, so we need a better value equation. Long term, we will evolve Game Pass into a more flexible system which will take time to test and learn around.’

She also mentioned the growing online discussion about Game Pass pricing. Sharma plans to discuss these concerns with Xbox staff in more detail next week.

Recent Price Increases and Service Changes

Microsoft raised the price of Xbox Game Pass Ultimate by a significant margin last year. This increase was one of the largest since the service launched. The company justified the price hike by introducing upgrades across several Game Pass tiers.

Part of the cost increase was linked to Microsoft’s decision to add new releases from the Call of Duty franchise to Game Pass. The company included Call of Duty in the service during the summer of 2024.

Potential Future Adjustments

There are now rumors that Microsoft may reconsider its strategy regarding Game Pass content. Jez Corden from Windows Central recently suggested that Call of Duty could be removed from Game Pass in the future. This potential change could impact the value proposition for subscribers.

Microsoft has not confirmed any specific changes yet. The company appears to be evaluating both short-term and long-term adjustments to ensure Game Pass remains competitive and valuable for players.