ultimateimp – Xbox Game Pass has reportedly lost millions of subscribers following recent price increases, according to a report from The Wall Street Journal. The subscription service is said to have approximately 30 million subscribers. Down from the 34 million users Microsoft last reported in 2024. The slowdown leaves the platform well behind the company’s previously disclosed goal of reaching 77 million subscribers by 2026.
The reported decline comes as Microsoft continues restructuring its gaming division. Slower Game Pass growth has reportedly contributed to weaker financial performance. Prompting the company to reassess its subscription strategy while continuing to invest in the service.
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Xbox Game Pass Subscriber Base Reportedly Falls After Price Increases
According to The Wall Street Journal, citing a person familiar with the matter, Xbox Game Pass currently has around 30 million subscribers. Microsoft has not officially updated the service’s subscriber count since announcing 34 million users in 2024.
Xbox Game Pass launched in 2017 as Microsoft’s game subscription platform. The service reached 25 million subscribers by 2022 before expanding to 34 million two years later. That increase was partly driven by the migration of Xbox Live Gold members into the Game Pass ecosystem.
Since the 2024 announcement, Microsoft has remained silent regarding updated subscriber numbers. The absence of official figures led analysts to question whether subscriber growth had slowed or begun declining.
The latest report suggests the service has lost approximately four million subscribers since 2024. That represents a decline of nearly 12 percent from the previously reported total.
During Microsoft’s acquisition of Activision Blizzard, internal targets revealed the company hoped Game Pass would reach 77 million subscribers by 2026. Based on the reported figures, the service remains significantly below that objective.
Several factors are believed to have contributed to the slowdown. Declining Xbox console sales reduced the potential audience for the subscription platform, while multiple price increases reportedly made the service less attractive to both new and existing subscribers.
Microsoft Continues Investing Despite Slower Growth
Microsoft Gaming CEO Asha Sharma acknowledged that previous Game Pass price increases reduced the overall appeal of the subscription service. In a memo discussing the company’s recent layoffs, Sharma reportedly stated that weaker-than-expected Game Pass performance failed to deliver the expected improvement in gaming profits.
Since taking over leadership of Microsoft’s gaming business, Sharma has introduced measures designed to improve customer value. One of those changes included lowering subscription prices for the Xbox Game Pass Ultimate and PC Game Pass tiers.
Despite the reported decline, Microsoft continues to view Game Pass as a central part of its gaming strategy. The company is expected to keep investing in the platform while expanding its library of available games.
Recent reports have suggested Microsoft temporarily paused signing new agreements with some third-party publishers.
Future Call of Duty releases are reportedly no longer expected to launch as day-one additions to Xbox Game Pass. That represents a change from earlier expectations following Microsoft’s acquisition of Activision Blizzard.
Some industry analysts believe Game Pass may be approaching its natural growth limit. Many players continue to prefer purchasing games outright instead of paying for a recurring subscription, potentially limiting future subscriber growth.
Microsoft has not officially confirmed the reported subscriber total or revised its long-term targets. Nevertheless, the latest report highlights the challenges facing Xbox Game Pass as the company works to balance pricing, profitability, and sustainable growth in the increasingly competitive gaming subscription market.
