Microsoft Adds New Tier, Hikes Prices for Xbox Game Pass

Microsoft introduced a new Xbox Game Pass tier and raised the price on Tuesday. The ultimate tier monthly cost will jump from $17 to $20.

Additionally, the "Day One on Game Pass" guarantee now includes restrictions, raising concerns about the service's sustainability.

This move may be an attempt to upset the physical game sales-dominated market, analysts say. Game Pass, like PlayStation Plus, lets players download hundreds of video games for a monthly charge.

According to Forbes, the revised pricing and features, including the "Game Pass Standard," which excludes Day One exclusive games, are as follows:

• Game Pass Core (previously Xbox Live Gold): $10/month or $75/year, contains 25 titles and online multiplayer.
• Game Pass Standard: $15 per month, no yearly bundle; covers the whole Game Pass game catalog, but not Day One exclusive, which will be introduced after an undefined period.
• Game Pass Ultimate: $20/month; no yearly package; complete library; Day One debuts; and cloud gaming.
• PC Game Pass: $12/month, no annual contract, all features except cloud gaming.
• Game Pass Ultimate, which costs $240 a year, or the cheaper PC Game Pass, which may deter Xbox console sales, are required for Day One debuts.

Microsoft Wants to Boost Game Pass

Analysts say Microsoft is struggling to build Game Pass, with 100 million customers seemingly out of reach. Console subscription saturation, limited PC reach, and cloud Game Pass's low appeal outside of Xbox contribute.

To boost subscription income, Microsoft raises pricing. The new tier appears to be an attempt to keep cost-conscious subscribers while enticing others to upgrade to Ultimate.

Revised subscribers will notice the revised pricing immediately while existing members will see it in September. Xbox console customers may keep their basic subscription until it expires, preserving access to hundreds of games but eliminating new releases and several Ultimate-only games.

Microsoft stated that the normal subscription may include select launch Game Pass Ultimate games. The most expensive Game Pass tier now costs more than Sony's PlayStation Plus Premium, which costs £13.49 ($17.32) a month in the UK.

Banking on Call of Duty

The decision to distribute the next Call of Duty video game on Game Pass quickly led to price increases and higher membership tiers. To offset the costs, industry experts suggested higher tiers or other monetization tactics for Microsoft's services, according to BBC.

Call of Duty has sold over 425 million copies, earning tens of billions.

This follows Microsoft's $69 billion acquisition of Activision Blizzard last year and Game Pass's May announcement that Call of Duty: Black Ops 6 would arrive on Game Pass on October 1, per Eurogamer.

In response to claims of "changes" to Game Pass to promote Black Ops 6, Microsoft assured that the game will be "playable on Xbox and PC for Xbox Game Pass Ultimate, PC Game Pass, and Xbox Game Pass for Console members" at launch.