Xbox Tests Ad-Supported Cloud Streaming

hand holds smart phone with XBox Game Pass on screen

Microsoft is testing ad-supported Xbox games, giving consumers a free way to play in exchange for viewing a commercial.

As PCMag reports, the test, announced on July 23, involves streaming select games over the internet to supported devices. For now, it’s limited to those in the Xbox Insider program, which offers early access to beta features and upcoming games. Microsoft didn’t specify which devices are supported, but the Xbox Insider program is available on Xbox consoles and Windows 10 and 11 PCs.

The ad-supported option will be free; no Game Pass subscription required. Eligible users will be able to stream select games from their own library for a limited time. The announcement notes that “players will have one-hour session limits across supported devices and regions.” Importantly, the ads will only appear before a game starts, not during gameplay. 

“Our overall goal is simple: to give players more affordable options to play [and] see how players use ad-supported streaming and listen to their feedback,” tweeted Xbox’s new Chief Strategy Officer, Matthew Ball.

There have been rumors swirling for awhile about a lower-cost, ad-supported Game Pass tier; the Ultimate tier currently costs $22.99 per month. Nvidia’s rival GeForce Now game-streaming service offers a free ad-supported option.

Still, some gamers fear that ads will soon be hard to avoid. “Just like streaming services, how long before the ads get incorporated unless you buy the highest tier?” asked one user on Reddit. We also don’t expect ads to save Xbox, which is desperately trying to turn the business around amid a memory shortage that risks making the next-gen console unaffordable. 

For now, Xbox is hinting it wants to beta-test the ad experience before a wider rollout. “We’ll learn from this test and continue to improve it based on how players use it and what they tell us,” the team wrote. 


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