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Xbox Game Pass Price Cut Appears To Be Helping Microsoft Regain Momentum
When Asha Sharma was appointed CEO of Microsoft Gaming earlier this year, the reaction from parts of the Xbox community was cautious at best. Her background in Microsoft’s AI division made some players question whether Xbox was moving further away from its traditional gaming identity.
Replacing Phil Spencer also added pressure. Spencer had become one of the most recognisable figures in modern Xbox history, even as the brand faced criticism over exclusivity, hardware direction, studio management, and Game Pass strategy.
Now, one of Sharma’s earliest major changes appears to be showing signs of progress. Following last month’s Xbox Game Pass price reduction, Microsoft is reportedly seeing improved acquisition and retention trends across the subscription service.
Xbox Reduced Game Pass Prices After Growth Slowed
Before the change, Xbox Game Pass had been facing mounting frustration from players who felt the service had become too expensive. Game Pass Ultimate had climbed sharply in price, changing the value conversation around what was once seen as one of gaming’s easiest recommendations.
Microsoft responded by cutting Xbox Game Pass Ultimate from US$29.99 to US$22.99 per month, while PC Game Pass dropped from US$16.49 to US$13.99 per month.
The compromise was significant. New Call of Duty releases will no longer arrive at launch, with Microsoft instead shifting those games to the service roughly a year after release. That move gives Activision’s biggest franchise more room to sell at full price before entering the subscription library.
Xbox Says Acquisition And Retention Are Improving
According to a GameSpot report on an internal memo, Sharma told employees that Game Pass growth had slowed and subscriber losses had accelerated after earlier pricing and tier changes. Since the price reduction, however, Xbox has reportedly seen acquisitions grow and retention improve.
That is an important early signal for Microsoft. The subscription service has long been central to Xbox’s identity, but the service has also had to balance player value with the rising costs of premium content, day-one releases, cloud access, and a multiplatform strategy.
Still, Sharma reportedly cautioned that the price cut is only a first step. That matters because subscription services cannot rely on a single adjustment to solve deeper issues with churn, content costs, and player spending habits.
Forza Horizon 6 May Have Helped The Wider Xbox Mood
One factor Xbox has not directly separated out is the effect of Forza Horizon 6. The new racing title has had a strong launch, with players responding positively to its Japan-inspired setting, open world design, and familiar festival structure.
Even if the game’s exact contribution to Game Pass momentum remains unclear, its timing likely helped the wider conversation. A lower subscription price becomes far easier to defend when it arrives alongside a major first-party release that people are actively excited to play.
For Xbox, that combination is important. Price cuts can bring players through the door, but strong games are what keep the service feeling worthwhile month after month.
A Bigger Long-Term Test
The early signs may be encouraging, but Xbox Game Pass is still operating in a tougher market than it did during its strongest growth years. Players are more selective about subscriptions, and premium game development is becoming more expensive across the industry.
That makes Microsoft’s new approach feel like a course correction rather than a complete fix. Removing day one Call of Duty access may protect full game sales, but it also changes one of the service’s most powerful selling points.
For now, Xbox appears to have regained some momentum by making things feel more affordable again. The bigger challenge will be proving that the service can continue to grow without losing the value that made players care about it in the first place.
