Microsoft is piloting an ad-supported cloud gaming service for Xbox Insiders, allowing them to stream select owned games for free. This initiative mirrors Nvidia's Ge Force Now model, offering a one-hour time limit per session after viewing ads. Microsoft emphasizes that ads will not interrupt gameplay and will meet quality standards, aligning with player expectations.

This test comes as Xbox seeks more affordable ways for players to access games, following recent price increases for consoles and Game Pass subscriptions. The company has highlighted thin profit margins within the Xbox division, leading to a reorganization including job cuts and studio divestitures to improve financial performance.

The introduction of an ad-supported streaming option could contribute to better profitability. Notably, Microsoft announced this test on the same day Amazon integrated its Luna cloud gaming service into Prime Video.