New Xbox CEO reportedly explores cheaper Game Pass options

Asha Sharma, Microsoft's new gaming CEO, has reportedly discussed bundling Xbox Game Pass with Netflix to reduce costs for subscribers. These efforts follow recent price increases for the service. The ideas emerged from conversations with Netflix co-CEO Greg Peters.

Asha Sharma has led Microsoft Gaming for about a month, succeeding Phil Spencer. According to a profile in The Information, Sharma quickly ended the “This Is An Xbox” marketing campaign upon taking over, removing all traces from Microsoft's channels. She has also been exploring ways to make Game Pass more affordable amid the service's challenges. Netflix co-CEO Greg Peters confirmed discussing ideas with Sharma, including potential bundling of Game Pass with Netflix subscriptions. The goal is to lower the effective cost for users after Microsoft raised Game Pass Ultimate to $30 last fall. Microsoft has considered an ad-supported tier for Game Pass, similar to Netflix's model introduced in 2022. Such a tier could attract more subscribers by offering a lower entry price while generating ad revenue. These moves come as Xbox faces platform decline, though Sharma has not yet outlined a major strategic shift. Earlier, she mentioned returning to the console's roots during the reorganization, and Project Helix—a gaming PC for Xbox titles—remains in development.

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Asha Sharma, new Microsoft Gaming CEO, at podium in high-tech office with Xbox, AI visuals, and outgoing leaders fading, symbolizing leadership shift.
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Microsoft gaming leadership shifts with Asha Sharma as new CEO

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Microsoft has appointed Asha Sharma as CEO of Microsoft Gaming following the retirement of Phil Spencer and the departure of Sarah Bond. The move comes amid concerns over Xbox's direction and a focus on AI integration. Sources suggest varying interpretations, from a potential turnaround to a gradual wind-down of the division.

Phil Spencer, who has led Microsoft Gaming for over a decade, announced his retirement after 38 years with the company. Asha Sharma, currently heading Microsoft's CoreAI division, will succeed him as CEO of Microsoft Gaming. The changes also include the resignation of Xbox President Sarah Bond and a promotion for Matt Booty.

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Rumors suggest the Xbox console era might be ending due to rising Game Pass costs. Wedbush Securities analyst Michael Pachter warns that the subscription model's high price could undermine hardware sales. Microsoft continues development of its next console, slated for 2027.

Game Pass dataminer @redphx has uncovered references to a potential new subscription tier codenamed 'Trion' in Microsoft's backend. This tier would feature only games from Xbox Studios, with a list of older first-party titles. The discovery suggests Microsoft may be planning changes to its Game Pass service.

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Microsoft's Xbox hardware struggled throughout 2025, marked by game cancellations, price hikes, and poor sales compared to Sony's PlayStation 5. The company shifted focus toward PC integration and multi-platform releases, raising questions about the future of dedicated Xbox consoles. Analysts suggest this year may signal the end of Xbox as a competitive console brand.

Users of Xbox Cloud Gaming have reported seeing notifications about ad-supported playtime, hinting at a new free tier from Microsoft. This comes amid rumors of an official launch soon, possibly tied to the upcoming Xbox Showcase. The development aligns with earlier comments from Xbox officials on experimenting with ad-based cloud gaming.

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Microsoft has confirmed a robust selection of new games joining Xbox Game Pass in February 2026, including major RPG titles and sports simulations. Highlights feature The Witcher 3: Wild Hunt - Complete Edition and EA Sports College Football 26 arriving on February 19. Several games are also set to leave the service later in the month.

 

 

 

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