Xbox cuts Game Pass prices after backlash but delays day one Call of Duty access in major strategy shift

Xbox has reduced the price of its Game Pass subscription service in several markets just six months after a sharp increase triggered criticism from players. However, the Microsoft owned gaming brand has also confirmed that future Call of Duty releases will no longer arrive on standard Game Pass plans at launch, marking a major change to one of its most valuable membership benefits.

The move reflects a broader effort by Xbox to rebuild trust with users while also reshaping how it earns revenue from one of gaming’s most popular subscription platforms.

In the United Kingdom, Xbox has lowered the monthly cost of Game Pass Ultimate from £22.99 to £16.99. PC Game Pass has also been reduced from £13.49 to £10.99 per month.

The company has indicated that pricing changes will vary by region, suggesting similar adjustments may apply in other countries depending on local market conditions.

The cuts come after widespread backlash earlier this year when Xbox raised prices by more than 50 percent in some territories. Many subscribers at the time said the service had become too expensive and some publicly considered cancelling their memberships.

Game Pass has long been one of Xbox’s strongest consumer offerings, giving members access to a large rotating library of games for a flat monthly fee. But recent pricing pressure appeared to weaken goodwill among long time fans.

Alongside the lower prices, Xbox confirmed that upcoming Call of Duty titles will only be added to Game Pass Ultimate and PC Game Pass about a year after release. This means players on lower tier plans will no longer receive immediate access to new entries in the blockbuster franchise.

Existing Call of Duty games already included in the Game Pass library will remain available to subscribers.

The decision is significant because Microsoft previously promoted first party titles arriving on Game Pass from day one as a major reason to subscribe. Since Microsoft owns Activision Blizzard, Call of Duty has become one of the most important assets in its gaming business.

For many players, especially those who subscribe temporarily just to play the latest Call of Duty title, the change could reduce the short term value of the service.

Reaction across gaming communities has been mixed. Some users welcomed the lower subscription prices and said Xbox had responded to customer feedback after months of criticism.

Others raised concerns that removing day one access to a first party franchise creates uncertainty over what other titles might be restricted in future.

That debate highlights the challenge facing Xbox leadership. Subscription services rely heavily on trust, predictable value and clear benefits. When major perks change, customers often reassess whether the monthly fee still makes sense.

Christopher Dring, editor of The Game Business, said the price reduction shows the challenge Microsoft faces in restoring confidence in the Xbox brand.

He noted that while prices have fallen now, the Ultimate tier is still around 35 percent more expensive than it was two years ago.

Dring also pointed out that subscription prices usually rise rather than fall, making Xbox’s move unusual in the wider entertainment market.

Streaming platforms such as Netflix have continued to increase fees in multiple countries, meaning Xbox’s reversal stands out at a time when many digital services are becoming more expensive.

A recently leaked internal memo from Xbox chief Asha Sharma reportedly acknowledged that Game Pass had become too expensive for players.

Sharma, who took over the leadership role in February after previously working as an AI executive at Microsoft, has said her goal is to understand what makes Xbox successful and protect it.

Industry observers believe the new strategy may signal a shift toward broader monetisation models beyond subscriptions alone.

Business professor Joost van Dreunen said Xbox could rely more heavily on advertising in future, operating more like a scaled platform business that monetises audience attention rather than depending only on game access and subscription revenue.

That would align Xbox more closely with trends seen across digital media, where advertising, memberships and premium upgrades increasingly work together.

Xbox has faced a difficult few years that included layoffs, project cancellations and changing hardware strategies.

In 2024, Microsoft’s decision to release some formerly exclusive Xbox titles on rival platforms also sparked backlash from dedicated fans who viewed exclusives as central to the brand’s identity.

Even so, the company has continued to invest in future hardware. Microsoft recently confirmed work on a new Xbox console currently known by the codename Project Helix, describing it as part of a renewed commitment to the future of Xbox.

Some gamers believe the latest Game Pass update makes the service more attractive for everyday users who are less focused on annual Call of Duty launches.

Streamer Chantelle Parker, known online as Chantelle Plays, said the lower pricing is a major win for casual gamers because they no longer need to subsidise premium access aimed at Call of Duty players.

She added that dedicated fans of the franchise often buy the game separately anyway, meaning the lower subscription cost could better serve those interested in the broader library.

For many households facing rising costs, a cheaper Game Pass tier may make gaming more accessible again.

The latest changes create two clear choices for players. Those who want the newest Call of Duty immediately may need to purchase the game outright or wait for delayed inclusion on premium Game Pass tiers. Meanwhile, users more interested in variety and value may welcome the lower monthly fees.

Xbox now appears to be balancing affordability with premium exclusives rather than offering every benefit to every subscriber.

The price cut may help slow subscriber losses and improve public sentiment, but the removal of instant access to one of gaming’s biggest franchises could remain controversial.

Xbox still holds powerful assets, a vast game library and global recognition. Yet the company must now prove that Game Pass remains compelling in a crowded market where consumers are increasingly selective about recurring subscriptions.

For Microsoft, this is more than a pricing update. It is a test of whether Xbox can modernise its business model without weakening the loyalty of the players who built the brand.