Xbox Live Gold

Microsoft's attempt to increase the price of Xbox Live Gold was widely rejected and so it immediately reversed the decision - instead using it as an "opportunity" to announce free-to-play games would no longer require a membership.

So what's the plan now that Gold's price will be staying the same? While we doubt Microsoft will be attempting something like this again anytime soon, Niko Partners senior analyst Daniel Ahmad says the company will find a "solution" in the long run to essentially get more coin out of each Xbox user.

"The simple fact is that everything Microsoft does or has done recently revolves around trying to get as many people to sign up to Game Pass as they can. The company needs as many core console players as possible on the service while it gears up to acquire new users long term."

"The reversal shows that Xbox is indeed responsive to criticism of how it is achieving its goals, as it does not want to have a repeat of the Xbox One launch debacle, but it should be noted that Xbox will continue to find a solution to increase the revenue per user on console."

Ahmad goes on to mention what's been suspected for some time now - stating how free-to-play had apparently been in the "works for months" and was obviously dropped to offset the backlash of the original announcement.

"The F2P announcement has been in the works for months and that announcement was dropped today to help offset the backlash from the original price increase announcement. Microsoft will continue its focus on Game Pass moving forward, and its acquisition of IP for the service."

Last of all, for any conspiracy theorists out there - Ahmad notes how the decision to reverse the announcement was in no way planned. How do you think Microsoft will go about getting more revenue out of Xbox users now that it's no longer increasing the price off Gold? Share your thoughts down below.