Xbox CEO wants cheaper Game Pass sub & Netflix bundle deal: Report

Microsoft Gaming’s new CEO Asha Sharma is reportedly exploring major changes to Xbox Game Pass pricing, including cheaper tiers and potential subscription bundles with Netflix.

The shift comes after Sharma took over from Phil Spencer in February, with a reported focus on making Xbox hardware and services more appealing to a wider audience. One of the key areas under review is Game Pass, which has seen significant price increases in recent months.

According to a report from The Information, Sharma is considering new pricing models that would lower the cost of entry for the subscription service.

Cheaper Game Pass & Netflix Bundle reportedly under consideration

The report claims Microsoft could introduce lower-priced Game Pass tiers, potentially including an ad-supported option. This could allow players to access games at a reduced cost, or even for free, in exchange for watching ads.

The move would mirror strategies already used across streaming platforms. Services like Netflix offer discounted plans with ads, with its ad-supported tier priced at $8 per month compared to its $18 standard plan.

Game Pass pricing has climbed in recent months. In October 2025, Microsoft increased the cost of Game Pass Ultimate to $30 per month, marking a 50% jump. Other tiers currently include Game Pass Premium at $15 per month, Game Pass Essential at $10, and PC Game Pass at $16.50.

The same report also suggests Microsoft and Netflix have discussed potential subscription bundles.

Netflix co-CEO Greg Peters said he and Sharma have “kicked around ideas” around a possible partnership, though nothing has been finalized.

“You would have to do it in a way that works for the consumer and works for both companies,” Peters said. “Microsoft’s still trying to figure out how to make the Game Pass bundle work for Microsoft.”

Peters added that he was encouraged by Sharma’s approach, saying: “What I like about Asha’s thinking is, it’s all about, ‘How do we do more?’ And it’s already been exciting to watch.”

In the same report, it was also claimed that Sharma has already made internal changes since taking over, including ending Microsoft’s “This Is An Xbox” marketing campaign, which was removed from official websites shortly after her appointment.