Xbox Update May Make Cloud Gaming Free for Millions of Gamers

Microsoft is reportedly planning to introduce an ad-supported tier for Xbox Cloud Gaming, which would allow players to stream games they already own digitally without subscribing to any Game Pass plan. This new option is designed to make Xbox Cloud Gaming more accessible, enabling players to enjoy their purchased titles on any compatible device, including PCs, tablets, and smartphones, without paying for a subscription, while generating revenue through advertisements.

Recently, some users noticed messages when launching cloud-based games mentioning “1 hour of ad-supported play time per session,” suggesting Microsoft is actively testing this feature, even though the tier is not yet publicly available. According to sources, the ad-supported tier is expected to cover hundreds of games currently available for digital purchase on Xbox Cloud Gaming, providing more flexibility for gamers who already own titles but do not want to subscribe to Game Pass.

At present, streaming games through the cloud requires at least one Game Pass subscription, regardless of whether a player owns the game outright. The ad-supported model would remove this restriction, offering free access with periodic ads similar to other free-to-play or ad-supported streaming services. Microsoft is reportedly aiming to launch this new tier sometime later in the year, signaling a shift toward making Xbox Cloud Gaming more widely available and competitive in the cloud gaming market.