Xbox announces new pay-as-you-go pricing for Cloud Gaming.

Xbox CEO Asha Sharma is driving a significant overhaul to revitalize the brand, which has included the tough decision to lay off nearly 2,000 employees, with three additional rounds of layoffs anticipated between October and January. Alongside these workforce reductions, changes are also coming to gaming services, notably with Xbox Cloud Gaming introducing a pay-as-you-go model. This new pricing structure will roll out in November.

Currently, unlimited cloud gaming is a benefit for all Game Pass subscribers, but that will soon change as Xbox implements monthly time limits for each subscription tier. Ultimate subscribers will receive 15 hours of cloud gaming, Premium subscribers will get 10 hours, and Essential subscribers will have access to five hours. Once their allotted time is used up, subscribers will need to buy a Cloud playtime pack. These packs will also be available for non-subscribers.

The most affordable pack is priced at $3.99, offering 10 hours of ad-free Xbox Cloud Gaming. For $7.99, players can access 25 hours of cloud time, which exceeds the limits of any Game Pass subscription. The highest tier pack costs $11.99 and provides a total of 50 hours of cloud gaming. While it remains unclear if the cloud gaming time included with Game Pass accumulates, any purchased playtime is tied to the user’s account and can be utilized at their convenience, without expiring at the end of the month.

Additionally, Xbox is exploring technology that could determine the optimal moments to display ads during Xbox Cloud Gaming sessions. Ultimately, the goal is to allow all players to access Xbox Cloud Gaming for free with ads, although this feature is currently limited to Xbox Insiders.

Microsoft’s subscription service has not met expectations thus far.