Microsoft Considers More Affordable Xbox Cloud Gaming Options
Table of Contents
Redmond, WA – August 18, 2025 – Microsoft is signaling a potential shift in its xbox Cloud Gaming strategy, hinting at plans to make the service more accessible through potentially lower price points. This move comes as competition intensifies in the cloud gaming market, especially from Nvidia‘s GeForce Now.
A History of Cloud Gaming at Microsoft
Two years ago, the Federal Trade Commission’s documentation revealed Microsoft’s growth of a distinct, “dedicated” version of Xbox Cloud Gaming. Shortly after,Microsoft Gaming CFO Tim Stuart suggested the possibility of a free,ad-supported tier for the service as reported by The Verge. Now, Microsoft is revisiting the idea of increased affordability.
Current Xbox Cloud Gaming Landscape
Currently, Xbox Cloud Gaming is exclusively bundled with Xbox Game Pass Ultimate, priced at $19.99 per month. Jason Ronald, Microsoft’s vice President of Next Generation Experiences, recently discussed the service on the official Xbox podcast, alongside updates on Xbox Play Anywhere and the company’s collaboration with AMD on next-generation chip technology. Ronald emphasized the important number of Game Pass Ultimate subscribers who utilize the cloud gaming feature, both as their primary gaming method and as a convenient option for on-the-go play.
“We see a lot of players using Game Pass Ultimate to access the cloud, whether that’s the primary way they play, or an additional way to play on the go,” Ronald stated. “This really opens up the prospect to make it much more affordable, and more accessible to players, whether that’s going into new regions, or new ways to actually access the cloud.”
Competition with Nvidia geforce Now
Microsoft’s exploration of more accessible pricing coincides with anticipated “major” announcements from Nvidia regarding GeForce Now. GeForce Now currently offers a superior cloud gaming experience compared to Xbox Cloud Gaming, boasting PC-powered performance, improved bitrates, higher resolution visuals, and reduced latency. Notably, Microsoft has even integrated GeForce Now into its own xbox game pages, acknowledging its competitor’s technical advantages.
Did You Know? Microsoft’s integration of GeForce Now into its xbox pages demonstrates a strategic acknowledgement of the competitor’s superior technology.
expanding Xbox Cloud Gaming Features
Microsoft expanded Xbox Cloud Gaming beyond the Game Pass library last year, allowing subscribers to stream games they already own. This feature is currently exclusive to Game Pass Ultimate members. The company had also planned to enable direct game purchases within the Xbox app for Android, allowing users to instantly stream those titles to their mobile devices. However, a legal challenge has temporarily halted these plans according to The Verge.
Next-Generation Hardware and AI Integration
Microsoft is actively developing the next generation of Xbox Cloud Gaming, alongside advancements in Xbox console hardware. The company is collaborating with AMD to design dedicated silicon and hardware to enhance gaming experiences.Investments are also being made in rendering technologies, such as neural rendering, to improve game quality.Furthermore, Microsoft plans to integrate more artificial intelligence features into future xbox offerings.
