Xbox Game Pass Expansion: Game Everywhere, Rising Cost

Xbox Game Pass Price Hikes and New Tier Announced: A Deeper Dive

Microsoft has updated its Xbox Game Pass subscription service, introducing price increases and a new subscription tier. This article details the changes and analyzes Xbox's overall Game Pass strategy.

Related Video: Microsoft Raises Xbox Game Pass Prices

Price Increases and New Tier

Effective July 10, 2024, for new subscribers and September 12, 2024, for existing subscribers, Xbox Game Pass pricing will change globally:

• Xbox Game Pass Ultimate: Increases from $16.99 to $19.99 per month. This includes PC Game Pass, Day One games, the back catalog, online play, and cloud gaming.
• PC Game Pass: Increases from $9.99 to $11.99 per month, retaining Day One releases, member discounts, the PC game catalog, and EA Play.
• Game Pass Core: Annual price increases from $59.99 to $74.99, but remains $9.99 per month.
• Game Pass for Console: Discontinued for new members starting July 10, 2024. Existing members can maintain access as long as their subscription doesn't lapse. After September 18, 2024, the maximum stackable time for Game Pass for Console codes will be 13 months.

Xbox Game Pass Standard: A New Option

Microsoft is also launching Xbox Game Pass Standard, priced at $14.99 per month. This tier offers a back catalog of games and online play but excludes Day One games and cloud gaming. More details on release dates and game availability will be shared soon.

Xbox's Broader Strategy

Microsoft emphasizes providing player choice with varying price points and plans. Previous comments from Xbox CEO Phil Spencer and CFO Tim Stuart highlight the importance of Game Pass, first-party games, and advertising as high-margin businesses driving Microsoft's growth.

Game Pass Beyond the Xbox Console

Xbox's recent marketing campaign emphasizes Game Pass accessibility beyond Xbox consoles. The service is now available on Amazon Fire Sticks, allowing players to access hundreds of titles without owning an Xbox. Future plans include adding more major titles to the service.

The Future of Physical Games and Xbox Hardware

Microsoft has confirmed its continued commitment to hardware and physical game releases, despite the expansion of Game Pass. While acknowledging challenges related to manufacturing costs of consoles with disc drives, Xbox's strategy does not involve abandoning physical media.