The CEO of Xbox reports observing favorable effects after reducing the prices for Game Pass

Asha Sharma, the CEO of Xbox, has reported favorable outcomes following recent adjustments to the Game Pass pricing.

Information from an internal memo accessed by The Verge reveals that there have been notable enhancements since the pricing changes were implemented in April.

Sharma remarked, "Subscriber growth decelerated and cancellations increased after the pricing and SKU updates last year."

"After revising our prices, we've experienced an uptick in subscriptions and improved retention rates, marking a positive initial step."

She further mentioned, "We can't fix the issue with a single action or release. It will require substantial effort to regain consistent growth."

Sharma additionally talked about the shift back to the XBOX branding, aligning with the strategic vision put forth by Microsoft Gaming.

She explained, "We're dedicated to enhancing Xbox, which involves making tough decisions regarding our projects, investments, and the kind of company we aspire to be in the future."

Engaging in this rebranding signifies a deliberate approach to better connect with the core audience.

In April, Xbox introduced a price reduction for Game Pass, bringing Ultimate down from $29.99 to $22.99 per month, and the PC version from $16.49 to $13.99.

However, these reductions did not counteract the previous year's 50% price surge, when console Game Pass was priced at $19.99 and $11.99 for PC users.

Sharma projected that eventually, Game Pass will transform into a more adaptable model, a process anticipated to require extensive testing and iterations.

Recently, Xbox and Discord unveiled a collaboration offering a "starter edition" of Game Pass to Nitro members.

This edition provides access to a library of over 50 PC and console titles, such as Stardew Valley, Grounded, Hades, Fallout 4, and Doom Eternal along with ten hours of cloud gaming.

Moreover, qualifying Game Pass users will gain access to Discord Nitro perks.