Xbox Game Pass cloud-only subscription tier may be in the works

As an Amazon Associate, we earn from qualifying purchases. TweakTown may also earn commissions from other affiliate partners at no extra cost to you.

Microsoft still wants to launch a cloud-only version of Xbox Game Pass, sources tell Windows Central's Jez Corden. This echoes reports that were also made in July 2024.

4

With unprofitable consoles on land, Xbox's future could be in the clouds. Microsoft is making big moves to accelerate its cloud expansion efforts and bring Xbox games to as many people as possible--especially those that don't own actual Xbox consoles.

Microsoft has big plans for cloud gaming. The company hopes to make $8 billion from Xbox Game Pass through 2030 via an astronomical 110 million subscriber base. Cloud is expected to make a significant proportion of these revenues, with 29% of subscribers, or about 32 million, being from cloud.

4

So that begs to question...how will Microsoft actually make money specifically via cloud gaming without some sort of monetization path?

There's been reports that Microsoft could offer free access to xCloud game streaming in exchange for ad viewership.

But the more recent reports seem more likely: Microsoft could instead launch a streaming-only subscription tier for Xbox Game Pass. This would allow direct sustaining and concurrent revenues from a more persistent source.

As for game selection, it's possible that this cloud-only Xbox Game Pass tier could stream titles that Xbox users already own, as in the games they've purchased and have in their inter-generational games library, and/or the selected games made available for streaming via Xbox Game Pass Ultimate.

4

Possible Xbox Game Pass phase cycles--these are predictions and not confirmed by Microsoft.

Sources have told The Verge that Microsoft will start allowing Xbox users to stream titles from their owned games library in November.

I'd imagine the standalone tier would be limited compared to Ultimate, which is where the real money-making potential is. Ultimate just had a price hike to $19.99 a month and represents mighty revenue opportunities for Microsoft.

Bear in mind that Microsoft has yet to confirm or officially announce any details on its plans for cloud gaming in regards to a cloud-only subscription tier, but