Microsoft Defends Xbox Game Pass Price Hike Amid FTC Allegations

Microsoft recently announced price increases for all Xbox Game Pass tiers, which upset many fans. Following this, the United States Federal Trade Commission (FTC) accused Microsoft of downgrading its service. Microsoft responded, stating that the FTC’s claims are misleading.

Microsoft highlighted that the new Game Pass Standard is not a “degraded” version of the previous Game Pass for Console. The old version didn’t include multiplayer functionality, which required an additional $9.99 monthly. The new Game Pass Standard consolidates these services, offering more value despite the higher price.

The gaming giant also addressed the price increase for Game Pass Ultimate, which will now cost $19.99 per month, up from $16.99. Microsoft justifies this hike by emphasizing the inclusion of more day-one releases, such as the highly anticipated Call of Duty, which has never been available on a subscription service before.

Also Read: FTC Criticizes Xbox Game Pass Price Hike

Microsoft argues that the FTC’s focus has shifted inappropriately from potential market competition issues to price changes. The company asserts that it is common for businesses to adjust service offerings over time and that there is no evidence supporting the FTC’s claim that Microsoft is harming competition.

According to Microsoft, Call of Duty is not being withheld from any platform, countering the FTC’s arguments about market foreclosure. They insist that the price changes reflect the added value and new features in the service, rather than any attempt to harm consumers.