Microsoft May Lower Xbox Game Pass Price After CEO Says Service Is Too Expensive

April 14, 2026
Microsoft May Lower Xbox Game Pass Price After CEO Says Service Is Too Expensive

Redmond, Washington, April 14, 2026, 05:08 (PDT)

Microsoft is weighing adjustments to Xbox Game Pass pricing, following a leaked memo where gaming chief Asha Sharma told employees the subscription’s price was getting out of reach for users. The Verge reported Monday that possible changes could include near-term tweaks and a more substantial overhaul of the service’s sales model.

This is significant now, since it’s the most concrete signal so far that Microsoft could take another look at the October 2025 shakeup that pushed Game Pass Ultimate up by 50%, landing at $29.99 per month. Game Pass remains Xbox’s key play to shift the business away from just selling consoles and toward day-one releases, cloud gaming, and package deals.

According to a memo reviewed by The Verge, Sharma told employees that Game Pass had grown “too expensive for players,” stressing that Microsoft needs a “better value equation.” She also said the “current model isn’t the final one,” adding that Xbox intends to pursue a “more flexible system.” The Verge

Back in October, Microsoft pointed to a bump in day-one titles, upgraded cloud streaming, additions like Fortnite Crew and Ubisoft+ Classics, plus changes to its rewards program as reasons for the pricier Ultimate tier. Premium stayed put at $14.99 monthly, while Essential remained $9.99.

There’s a stark divide between the current Xbox tiers. Ultimate touts access to more than 500 games and day-one releases. Premium, on the other hand, lists 200-plus games, says new Xbox-published games land within a year, and makes it clear: no Call of Duty titles.

The gap widened when Microsoft rolled Call of Duty into Game Pass starting July 2024. On the Ultimate tier’s page, Call of Duty: Black Ops 7 shows up as a day-one launch, highlighting just how much the service leans on major titles for its premium push.

Xbox’s highest subscription tier comes in pricier than competitors, even though the offerings aren’t quite apples-to-apples. PlayStation Plus Premium is listed by Sony at $17.99 per month, with PlayStation Plus Extra at $14.99, and EA Play goes for $5.99. The Xbox Ultimate package, on the other hand, throws in PC gaming, cloud access, and benefits from third-party publishers.

Sharma took over as Microsoft Gaming CEO in February, and this memo marks an early move that hints at her direction for Xbox’s consumer side. According to the report, she’s set to brief employees on Game Pass next week. That timing points to Microsoft still weighing its options before announcing anything concrete.

But there’s a twist—a cheaper base price isn’t the only way this plays out. Microsoft’s added day-one launches to Ultimate, along with EA Play, Fortnite Crew, and Ubisoft+ Classics. Instead of simply slashing prices, the company could tinker with more limited bundles or tweak who gets access to what.

Xbox’s pricing pages still show the current rates. Following the October debut of the $29.99 Ultimate tier, though, Microsoft seems to be taking another look at one of Xbox’s main consumer offerings.

Stock Market Today

  • JB Hi-Fi and Aristocrat Leisure Shares: Key ASX Stocks to Watch
    May 7, 2026, 4:14 PM EDT. The JB Hi-Fi Ltd (ASX:JBH) share price has declined 22.6% so far in 2025, reflecting challenges despite its position as a major Australian electronics retailer. JB Hi-Fi posted modest revenue growth of 2.5% annually since 2021, reaching A$9.59 billion in FY24, while net profit dropped to A$439 million. Its return on equity (ROE) stands at 29.5%. In contrast, Aristocrat Leisure Ltd (ASX:ALL), a global gambling machine manufacturer and online games provider, trades 35.3% below its 52-week high. ALL has seen stronger growth, with revenue climbing 11.7% annually to A$6.6 billion in FY24 and net profit rising to A$1.3 billion. ALL's ROE is 20.0%. Investors should factor in these performance metrics alongside broader market conditions when assessing these ASX shares.