Microsoft Gaming has a new CEO, with Asha Sharma taking over for Phil Spencer, and one big move she is reportedly considering is a change to Xbox Game Pass to make it less expensive.
The Information reported that one of her ambitions is to help make “future consoles and products like Game Pass more enticing to a broader range of customers.” To that end, the report said Sharma might look to revamp pricing models for Game Pass to “offer lower-priced tiers.”
In October 2025, Microsoft raised Game Pass prices, with Game Pass Ultimate going up by a whopping 50% to $30/month. Game Pass Premium, meanwhile, costs $15/month, while Game Pass Essential goes for $10/month. PC Game Pass costs $16.50 per month.
In terms of a lower-priced tier for Game Pass, it has been reported that Microsoft could offer an ad-based tier for Game Pass in the future. In fact, it was reported that people may be able to watch ads in exchange for playing Game Pass titles for free.
Lots of other entertainment services offer ad-based tiers that are free or discounted compared to the ad-free versions, with one prime example being Netflix. Its plan with ads starts at $8/month, which is a hefty discount compared to the Standard plan ($18/month).
GameSpot has contacted Microsoft in an attempt to get clarification on the suggestions made in The Information’s piece.
A Netflix partnership?
Intriguingly, in the same report, Netflix co-CEO Greg Peters said he and Sharma have “kicked around ideas” for how Netflix and Xbox could work together on subscription bundles. Nothing has been confirmed, but Peters said he “wouldn’t eliminate any possibilities.”
“You would have to do it in a way that works for the consumer and works for both companies, and frankly, I think Microsoft’s still trying to figure out how to make the Game Pass bundle work for Microsoft,” Peters said. “But what I like about Asha’s thinking is, it’s all about, ‘How do we do more?’ And it’s already been exciting to watch.”
In other news, it was reported in the same piece that one of Sharma’s first decisions as Microsoft Gaming CEO was to kill off the “This Is An Xbox” campaign, which people had a lot of feelings about. The campaign was quietly scrubbed from Microsoft’s websites shortly after Sharma took over as the new Microsoft Gaming CEO in February.