Microsoft raised the price of Game Pass Ultimate significantly in October 2025, and now a report says the company's new gaming CEO, Asha Sharma, may be exploring ways to make the service less expensive for more people. That would be welcome news for anyone still upset about the jump in subscription costs.

What the report says

According to reporting from The Information, relayed by other outlets, Sharma is looking to make consoles and services like Game Pass more appealing to a wider audience. One idea on the table is to introduce lower-priced tiers for Game Pass. Right now these ideas appear to be in early planning, and Microsoft has not confirmed any changes.

How a cheaper tier might work

  • Ad-supported options: An ad-funded tier has reportedly been planned for Xbox Cloud Gaming in 2026, and the same model could be adapted for Game Pass to reduce prices.
  • Separate cloud tier: The cloud gaming ad tier would let players stream games they bought digitally, but it would not include access to Game Pass catalog titles. It is expected to be offered as a standalone option, removing any need to own a Game Pass tier to use cloud streaming there.
  • No guarantees yet: These ideas are reportedly under consideration, not finalized. Expect change only after official announcements.

New games and streaming quality

Meanwhile, Game Pass continues to add titles. Recent waves have included games such as Disco Elysium and Resident Evil 7. Microsoft also improved cloud streaming quality for Game Pass Ultimate last year, so the company has been working on both content and delivery.

What this could mean for players

If Microsoft moves forward with cheaper Game Pass tiers, more people might try the service, especially if an ad-supported option lowers the monthly cost. But any trimmed price could come with trade-offs, such as ads or a reduced game library.

For now, take this as a report about possible plans rather than a promise. If you were affected by the last price change, you have reason to watch these developments closely.