Microsoft is making a bold move by discontinuing the complimentary Xbox Game Pass Ultimate offering for the majority of its 238,000 employees. This decision has not been well-received internally.
As reported by The Verge, sources familiar with the situation revealed that Microsoft has begun notifying employees this week that, starting in January 2024, the Xbox Game Pass Ultimate benefit, previously free for permanent Microsoft employees, will no longer be available.
However, Xbox employees will continue to enjoy this perk. Unfortunately, most Microsoft employees not associated with Xbox or Microsoft Gaming will see this benefit vanish next year. To compensate for the loss, Microsoft employees will be given the option to purchase a 12-month Xbox Game Pass Ultimate Subscription at a discounted rate from the company’s internal store.
The removal of this cherished Microsoft employee benefit comes in the wake of a price hike for Xbox Game Pass, marking the first price increase since its inception. The cost of Xbox Game Pass Ultimate rose from $14.99 to $16.99 per month, alongside price hikes for the Xbox Series X console in various markets outside of the United States. In September, Microsoft launched Xbox Game Pass Core to replace Xbox Live Gold.
The decision sparked objections from some Microsoft employees, who took to the company’s internal messaging platform to express their displeasure. These posts even caught the attention of Xbox chief Phil Spencer, who was unaware of the changes and is currently investigating the situation.
This change in benefits reflects Microsoft’s shift in focus. Over a year ago, Xbox chief Phil Spencer cautioned that Xbox Game Pass growth on consoles was slowing down. As a result, Microsoft has chosen to emphasize PC Game Pass throughout 2023. Notably, Microsoft has not provided updated Game Pass subscriber numbers for almost two years.
The last subscriber figure released by Microsoft was 25 million in January 2022. Despite the arrival of new games on Game Pass, such as Starfield and Forza Motorsport, during 2023, there has been no further update.
