Microsoft Says Game Pass Has Became Too Expensive for Players

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Microsoft Gaming is reevaluating its Game Pass pricing structure, as the company believes current costs are hindering new subscriber acquisition. According to Kotaku, Asha Sharma, the new head of Microsoft’s gaming division, stated in a message to Xbox employees that “Game Pass has become too expensive for players, so we need to find a better value proposition.” Sharma also noted that, in the long term, Microsoft intends to “evolve Game Pass into a more flexible system, which will require time for testing and learning.” Kotaku’s John Walker explored the evolution of Xbox Game Pass in his article, “Inside Xbox Game Pass: A Peek at Microsoft’s Subscription Service.” Walker noted that since its launch in 2017, Game Pass has grown to offer over 350 games on various consoles, in addition to perks like day-one access to new releases. Phil Spencer, head of Microsoft Gaming, aims to make it the “Netflix of video games.” Xbox Game Pass Ultimate also offers access to Xbox Live Gold and the xCloud streaming service. Microsoft has invested heavily in game development studios, including the $7.5 billion acquisition of ZeniMax Media, which could lead to more exclusive games for Xbox Game Pass.

Concerns over Game Pass pricing are not new. Shae, an online commentator, agreed that the rising costs of game development, consoles, accessories, and other expenses can be burdensome for players, especially with the increasing cost of Xbox Game Pass. The Verge reported this week on Sharma’s memo addressing these concerns. In the fall of 2025, Microsoft increased Game Pass prices to $30 per month, shortly before the release of Call of Duty: Black Ops 7. The initial price of Game Pass Ultimate was $15 per month, including the paid Xbox Live Gold subscription for online gaming. This means the price has doubled within a year, partly due to the addition of new Call of Duty titles following the Activision Blizzard acquisition.

Microsoft’s Potential Game Pass Price Drop and Netflix Bundle Amid Call of Duty Rumors and Price Hike Concerns

According to The Verge, Sharma met with Netflix co-CEO Greg Peters last month to discuss potentially bundling Game Pass with Netflix. This move, along with a potential price drop that Sharma has hinted at, could be related to rumors that the new Call of Duty may not launch on the service. Microsoft justified the 2025 Game Pass price increase by citing the addition of more features, including the debut of Call of Duty, to offset lost sales with increased subscription revenue. If Microsoft lowers Game Pass prices as Sharma suggests, the change is sure to be welcomed by subscribers.

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