Earlier this month, Microsoft raised the prices of its Xbox Game Pass service and unveiled a new tier within its gaming subscription offerings. The Xbox Game Pass Standard tier provides players access to a broad library of titles, along with all features of Game Pass Core, including online console multiplayer. However, it notably excludes new first-party game releases on their launch day.
Microsoft Addresses FTC Concerns
In response to a recent court filing from the US Federal Trade Commission (FTC) that labeled the new Standard tier as “degraded,” Microsoft countered this characterization, describing it as “misleading.”
In a court document submitted on Friday, Microsoft clarified that it was incorrect to designate the Standard tier as degraded when compared to the now-discontinued Game Pass for Console. The discontinued version lacked multiplayer capabilities, which users had to purchase separately at an additional cost, bringing the total to approximately $20.98 per month. Microsoft emphasized this point in its filing.
The Xbox Game Pass Standard tier is priced at $14.99 (approximately Rs. 1,251) and grants access to hundreds of games along with online multiplayer features. Microsoft further asserted that its Game Pass Ultimate tier offers more value by allowing subscribers to access new titles, such as the highly anticipated Call of Duty: Black Ops 6, on their release dates.
FTC’s Critique
The FTC’s filing on Thursday criticized the Standard tier for being a “degraded” product, highlighting that its price is 36% higher than the previous Console Game Pass, while omitting day-one releases. The agency stated, “Product degradation—removing the most valuable games from Microsoft’s new service—combined with price increases for existing customers, is precisely the type of consumer harm stemming from the Microsoft-Activision merger that we have reported.”
In its rebuttal, Microsoft referred to the FTC’s statement as “a misleading, extra-record account of the facts” and pointed out that the regulatory body scarcely addressed Game Pass subscriptions during the FTC v. Microsoft case concerning the attempted acquisition of Activision Blizzard last year. Microsoft noted that it is typical for companies to modify service offerings over time and emphasized that the new Game Pass tier does not prevent users from accessing Call of Duty.
Moreover, Microsoft highlighted that the Sony PlayStation Plus subscription service has continued to perform well, even with a limited selection of launch titles.
This price adjustment for Game Pass Ultimate, Xbox Game Pass Core, and PC Game Pass took effect earlier this month, alongside the discontinuation of Game Pass for Console for new subscribers. The new Game Pass Standard tier, which includes a library of hundreds of games and online multiplayer, is set to be rolled out in the coming months.
Notably, Call of Duty: Black Ops 6 will be available on Game Pass on its launch date, October 25. However, members of the Standard tier will not have access to this title as part of their subscription.
