Microsoft will launch a free ad-supported tier for Xbox Cloud Gaming this year, according to multiple reports. The tier offers one-hour gaming sessions after watching pre-roll ads, marking Microsoft's first standalone cloud gaming option without Game Pass requirements.
Users began seeing "1 hour of ad-supported playtime per session" messages in Xbox Cloud Gaming loading screens last week. The Verge's Tom Warren and Windows Central's Jez Corden both confirmed the messages reference an upcoming free tier. Microsoft has internally tested the ad-supported version since at least October 2025.
The free tier will let users stream games they already own digitally without a Game Pass subscription. It will reportedly support a limited selection of games, including titles from the "Stream Your Own Game" catalog, eligible Free Play Days titles, and the Xbox Retro Classics collection. This includes around 50 additional games added in late December 2025, such as Blood West, LEGO Marvel Super Heroes 2, Resident Evil 3, and Octopath Traveler 0.
Xbox Cloud Gaming usage grew 45% year-over-year according to November 2025 metrics. The free tier aims to accelerate that growth while addressing hardware affordability concerns during the ongoing DRAM crisis. Cloud gaming services offer an alternative as component prices increase for traditional consoles and PCs.
Microsoft expanded Xbox Cloud Gaming to all non-PC Game Pass tiers in August 2025 after initially restricting it to Ultimate subscribers. The service now supports 29 countries including recent additions like India. It works on Xbox consoles, Windows PCs, Mac computers, Android and iOS devices, smart TVs, and handhelds like the Steam Deck and ROG Ally.
The ad-supported model follows NVIDIA's GeForce Now, which also offers one-hour free sessions. NVIDIA recently expanded GeForce Now to Linux and Amazon Fire TV devices. Microsoft already provides free Fortnite streaming without Game Pass, though those sessions also cap at one hour without ads. The new tier will presumably launch in all current Xbox Cloud Gaming markets.
Microsoft continues expanding device support, announcing Xbox Cloud Gaming for new Hisense TVs with V homeOS in 2026. The company's cloud gaming strategy includes potential future hardware like the Sebile cloud controller and Project Keystone streaming device, according to 2023 FTC trial documents.
No official launch date exists, but sources indicate the free tier will arrive sometime in 2026. Microsoft typically tests new features through public betas before full rollout, similar to how other games have tested different business models in the gaming industry.
