A new report suggests Xbox may be slowing down or temporarily pausing negotiations for new third-party Xbox Game Pass agreements, although Microsoft has not confirmed the claim.
The report follows weeks of difficult headlines surrounding Xbox, including layoffs, studio uncertainty, hardware price increases, and broader restructuring efforts across Microsoft’s gaming division.
Report Claims Some Game Pass Deals Have Been Put on Hold
The latest claim comes from an episode of The Business of Video Games Podcast, where Caboodle Games founder Fernando Rizo discussed conversations he reportedly had with developers during a recent industry event in Italy.
According to Rizo, several studios that were reportedly in advanced discussions regarding Xbox Game Pass partnerships suddenly found negotiations halted.
He described hearing terms such as:
- “Rug pull”
- “Kaiboshed”
- “On pause”
While Rizo stopped short of claiming Microsoft had officially canceled the program, he suggested many developers were left believing ongoing negotiations had stalled.
Industry Conversations, Not Official Confirmation
Rizo explained that his comments were based on discussions with industry contacts rather than direct confirmation from Microsoft.
When asked whether Xbox had stopped making new Game Pass deals altogether, he clarified that the idea of negotiations being “on pause” was his interpretation of the situation rather than verified information.
As a result, the current status of third-party Game Pass agreements remains uncertain.
Could Xbox Be Rethinking Game Pass Spending?
If negotiations have indeed slowed, it would fit within Microsoft’s wider cost-cutting efforts.
Recent months have seen Xbox:
- Announce significant layoffs
- Review internal studio operations
- Reduce spending across several business areas
- Reevaluate long-term investment strategies
Game Pass has historically required Microsoft to spend substantial amounts securing day-one releases and licensing agreements from third-party publishers, making it a potential area for budget adjustments.
Microsoft Has Not Commented
At the time of writing, Microsoft has not publicly responded to the claims.
Insider Gaming reports that it has contacted Xbox for clarification regarding the status of future third-party Game Pass agreements but has yet to receive an official response.
Until Microsoft comments, it’s unclear whether:
- New Game Pass deals have been paused entirely
- Negotiations are simply progressing more slowly
- The reports reflect isolated cases rather than a company-wide policy change
Game Pass Remains Central to Xbox’s Strategy
Despite the rumors, Xbox Game Pass continues to be one of Microsoft’s flagship gaming services, offering first-party releases on launch day alongside a large rotating catalog of third-party titles.
Whether the company is temporarily tightening spending or making broader changes to its subscription strategy remains to be seen as Microsoft’s restructuring continues.
