Microsoft Halts Xbox Game Pass Ultimate Price Hike Amid User Backlash

Microsoft has announced a pause on the planned price increases for its Xbox Game Pass Ultimate subscription following widespread backlash from users. The company initially intended to raise the price for new customers by over 50 percent, a move that prompted significant criticism from the gaming community.

Gamers expressed their frustration after the announcement, labeling the price hike as a “step too far” during challenging economic times. Many took to social media to voice their concerns, accusing Microsoft of employing “garbage marketing” tactics and warning of potential mass cancellations of subscriptions.

In a significant change of direction, Microsoft confirmed that the price adjustment will not immediately impact existing subscribers in several countries, including Germany, Ireland, South Korea, Poland, and India. According to the Economic Times, the price increase will only apply to new purchases, allowing current users on auto-renewal plans to maintain their existing rates for now.

Kari Perez, head of Xbox communications, stated, “Our recent Game Pass update remains unchanged. Current subscribers in certain countries will continue to renew at their existing rate for now, in accordance with local regulations.” The company assured users that they would receive at least 60 days’ notice before any future price adjustments take effect.

The planned increase, which is set to take effect on October 1, 2023, for new subscribers, raised the price of the Ultimate tier from £14.99 to £22.99 per month in the UK. The new pricing structure will see three tiers: Essential at £10 per month, Premium at £14.99, and Ultimate at £22.99. The Ultimate tier provides gamers with access to new titles from Microsoft-owned studios on the day of release, which can retail for around £70 if purchased separately.

In Ireland, for example, current subscribers with auto-renewal will continue paying €17.99 instead of the new rate of €26.99. Microsoft emphasized that existing users will not be affected unless they choose to cancel and then repurchase their plan.

Dustin Blackwell, director of gaming and platform communications at Microsoft, noted, “This updated pricing will go into effect on October 1st for new subscribers, and then at the next billing cycle, likely to be November 4th, for current subscribers.” This announcement follows the launch of three upgraded Game Pass plans, which include expanded game libraries, unlimited cloud gaming, and revamped rewards.

The initial price hike had sparked fears among users about the sustainability of their subscriptions, especially in a time marked by rising living costs. As Microsoft navigates this contentious landscape, the company’s decision to pause the price increase reflects not only a response to customer sentiment but also the complexities of operating in diverse international markets.