Microsoft is reportedly set to announce and launch a free version of Xbox Cloud Gaming with ads for PC, Xbox consoles, handheld devices, and the web.
The Verge’s Tom Warren reports that Xbox Cloud Gaming supported by ads is currently being tested internally, and does not require a Game Pass subscription. A public test is said to be coming soon with a release in the months ahead.
Warren’s sources indicate Microsoft is testing approximately two minutes of ads before a game is playable for free via streaming. Microsoft is also apparently testing a limit of one hour for sessions, with up to five hours free a month. But, as Warren points out, this might change for launch.
The report comes after Microsoft sparked a backlash for raising the price of Xbox Game Pass Ultimate from $19.99 a month to $29.99 a month (an extra $120 a year).
To justify the increase in price of Ultimate, Microsoft has increased the number of day one releases per year to 75, and has added Fortnite Crew and Ubisoft+ Classics for the first time ever. Xbox Cloud Gaming, which has officially left beta, has seen its streaming quality upgraded.
Extension of cloud gaming layout
Xbox Cloud Gaming has officially concluded its multi-year beta testing phase and is now officially entering commercialization. In addition to PC and Xbox consoles, the free service is expected to support browsers and handheld devices in the future, thus addressing a wider range of use cases.
However, the free version will inevitably face longer wait times. The three existing Xbox Game Pass subscription service tiers already prioritize cloud gaming queues and streaming quality, with the free tier almost certainly being placed at the bottom. Ads will likely be used to mask the long wait times, but whether players will accept this remains to be seen.
Comparison of strategies with competitors
Microsoft’s move is clearly an attempt to further widen the gap with its competitors in terms of cloud gaming penetration. For example, Amazon’s Luna cloud gaming service has just been announced.Prime Gaming integration, and launched the hands-free social party game GameNight, focusing on low-barrier entertainment. NVIDIA’s GeForce NOW currently focuses on “streaming its own games,” offering differentiated graphics quality and server priority through tiered subscriptions. Sony’s PlayStation Plus Premium, while also offering cloud streaming, is relatively limited in terms of coverage and device support.