New Xbox CEO Asha Sharma has reportedly admitted that the company’s Game Pass subscription model has become “too expensive for players”, and Microsoft needs a “better value equation”.
In a leaked memo obtained and published by The Verge, Sharma – who was announced to be taking over from Phil Spencer back in February, following the shock news that the Xbox head would be retiring from Microsoft after nearly 40 years with the company – said it was “clear” the current Game Pass model “isn’t the final one”, adding the subscription service is “central to gaming value on Xbox”.
“Short term, Game Pass has become too expensive for players, so we need a better value equation,” Sharma’s memo reads. “Long term, we will evolve Game Pass into a more flexible system which will take time to test and learn around.”
Towards the end of last year, Xbox Game Pass got a massive price hike, along with a shake up of its various tiers. At this time, the cost for Game Pass Ultimate rose to $29.99 / £22.99 per month. According to The Verge, one of the reasons for this steep Game Pass price increase was Microsoft’s decision to include Call of Duty with the subscription. Call of Duty: Black Ops 7 came out in November, roughly one month after Game Pass prices went up.
Eurogamer has asked Microsoft for comment on today’s report.
As for Sharma, since taking over from Spencer in February, she has booted the “This is an Xbox” campaign into the abyss and confirmed the next-gen Xbox will play Xbox console games and PC games. Project Helix – as it is currently known – will “lead in performance”, Sharma said earlier this year. At GDC, Microsoft then shared more details on its next generation of Xbox console, including an overview of some early Project Helix features.
For more, be sure to check out our Chris’ feature on everything happening with Sharma’s new role at Microsoft: The future of Xbox is vague and contradictory, with just a glimmer of hope.
