Microsoft Shocks Gamers with Major Xbox Game Pass Price Increase and New Subscription Tiers for 2025

Xbox Game Pass Price Increase: What’s Changing

Microsoft confirmed that the Xbox Game Pass Ultimate plan has jumped from $19.99 to $29.99 per month, a 50% hike that immediately sparked intense debate among players and retailers alike.

Below is a quick breakdown of the new pricing structure:

The company said the change aims to “add flexibility and value,” offering subscribers more choice depending on how they play. Still, many fans feel the new rates could push the service beyond what casual players are willing to pay.

What’s New in the Subscription Plans

Microsoft emphasized that each tier now comes with expanded benefits. The Ultimate plan, in particular, now includes:

• Over 75 day-one game releases per year

• Access to Ubisoft+ Classics titles

• Fortnite Crew membership perks

• Cloud streaming upgraded to 1440p resolution

• Exclusive in-game rewards and discounts

Meanwhile, Essential and Premium subscribers will enjoy broader game libraries and improved access to cloud gaming. The company also revamped its Microsoft Rewards system, linking it more closely with Game Pass tiers rather than offering direct subscription purchases through points.

Reactions and Retailer Resistance

The announcement of the Xbox Game Pass price increase triggered strong backlash within the gaming community. Many long-time subscribers described the jump as excessive, especially in the current economic climate.

Retailers, however, added an unexpected twist. GameStop publicly stated it would continue selling Game Pass Ultimate subscriptions at the old $19.99 price both in stores and online. Other platforms like Amazon are still offering older digital codes that can be stacked for up to 36 months, allowing users to lock in previous rates.

Microsoft Defends Its Decision

Microsoft’s communications director, Dustin Blackwell, acknowledged the frustration but insisted the move was about long-term sustainability. “Price increases are never fun,” he said, “but they reflect the growing value we’re delivering to players.”

The company argues that with new content partnerships, expanded day-one releases, and higher-quality cloud performance, subscribers are receiving more than ever before. However, many analysts see this as a high-risk decision, warning that steep increases could slow Game Pass growth, especially among budget-conscious gamers.

Players Explore Alternatives and Workarounds

Some Xbox users are taking advantage of loopholes before the new pricing fully locks in. Digital retailers are offering prepaid Ultimate codes at older rates, and forums are filled with tips for stacking memberships.

At the same time, reports surfaced that Microsoft is testing a free, ad-supported version of Xbox Cloud Gaming that would allow users limited one-hour sessions—suggesting the company may be experimenting with a hybrid model to keep casual players engaged.

How the Update Affects Current Subscribers

For existing users, the new pricing will apply automatically at the start of their next billing cycle. Microsoft has assured subscribers that their current game libraries, cloud saves, and progress will remain unaffected.

Players now face a decision: whether to continue with the Ultimate plan at a higher cost or switch to the lower-priced Premium or Essential tiers that may better match their playstyle.

Despite criticism, Microsoft’s confidence in its long-term strategy is clear. With the Xbox Game Pass price increase, the company is betting on the strength of its growing game catalog and streaming technology to justify the cost—and reshape the future of gaming subscriptions once again.