Xbox Game Pass: Expansion and Subscription Rise

Xbox Game Pass Price Hikes and New Tier Announced: A Look at Microsoft's Expanding Strategy

Microsoft recently announced price increases for its Xbox Game Pass subscription service, along with a new subscription tier. This move comes as Xbox continues its push to make Game Pass available on a wider range of devices.

Price Changes Effective July 10th (New Members) and September 12th (Existing Members):

Xbox Game Pass Ultimate: Increases from $16.99 to $19.99 per month. This tier 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, 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: Will no longer be available to new members starting July 10, 2024. Existing subscribers can maintain access as long as their subscription doesn't lapse. After September 18th, 2024, the maximum stackable time for Game Pass for Console codes will be limited to 13 months.

Introducing Xbox Game Pass Standard:

A new $14.99 per month tier, Xbox Game Pass Standard, will offer access to a back catalog of games and online play, but without Day One games and cloud gaming. Microsoft will release further details on its launch date soon.

Xbox's Broader Strategy:

Microsoft emphasizes that these changes offer players more choice. Statements 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. The company also emphasizes its commitment to offering games across multiple platforms, including cloud gaming and streaming devices like Amazon Fire Sticks.

While expanding its digital reach, Microsoft assures continued support for physical game sales and Xbox console production. The company's strategy isn't solely focused on a fully digital future.

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