Microsoft has announced price cuts to its Xbox Game Pass subscription service while also delaying day-one access to future “Call of Duty” releases, marking a major strategic shift in its gaming division under new leadership.
The company said on Tuesday that Xbox Game Pass Ultimate will now cost $22.99 per month, down from $29.99, while PC Game Pass will be reduced to $13.99 from $16.49. The changes were outlined in a company blog post and represent the first significant adjustment since recent leadership changes within the gaming unit.
At the same time, Microsoft said upcoming titles in the “Call of Duty” franchise will no longer launch on Game Pass on day one. Instead, new entries will be added to the subscription service roughly one year after release.
The decision reverses a high-profile strategy adopted after Microsoft’s $69 billion acquisition of Activision Blizzard, which aimed to boost Game Pass appeal by offering blockbuster titles at launch.
Industry analysts say the move reflects mounting pressure on Microsoft’s gaming business, which has faced rising subscription prices, weaker-than-expected console sales, and concerns over content depth compared with rivals Sony and Nintendo.
The restructuring comes amid broader leadership changes, following the departures of long-time Xbox executives Phil Spencer and Sarah Bond in February. Asha Sharma has since taken charge of the division.
Earlier reports from The Verge, citing an internal memo, said Sharma acknowledged that Game Pass pricing had become a barrier for users, prompting internal discussions about affordability and long-term sustainability.
Microsoft has not commented further on whether additional pricing or content changes are planned. The company said it remains committed to evolving its gaming subscription model to meet player demand.