New Xbox chief Asha Sharma has already begun reshaping Microsoft’s gaming strategy. Within weeks of taking the helm, she scrapped the “This Is an Xbox” ad push and signaled a major pricing shift for the subscription service. An internal memo leaked to The Verge warns that Game Pass “has become too expensive for players,” prompting plans for a lower‑cost tier.

The memo stresses short‑term price relief while promising a longer‑term overhaul that will make Game Pass more flexible. Earlier leaks hinted at a new tier tied to first‑party Xbox Game Studios titles, and recent software updates displayed a curated list of those games alongside the proposed subscription. Industry analysts see this as a bid to halt subscriber churn as competition intensifies.

Microsoft has also floated merging Xbox and PC Game Pass into a single offering, a move that would align with the hybrid gaming vision slated for the upcoming Xbox Helix console around 2028. By introducing a cheaper Game Pass tier, the company hopes to broaden its user base and restore value perception, a necessary step if subscription growth is to stay on an upward trajectory.