

50% price hike means Microsoft is basically betting that less than 1/3 of the current subscribers will cancel. Microsoft is also betting that some will not cancel but just downgrade to lower tier instead. If more than 2/3 of the subscriber remain a subscriber then Microsoft will come out ahead.
Raising the price of hardware twice since May and now raising the price of game pass by 50% is not something a company would do if they’re interested in competing against Sony or Nintendo. Clearly Microsoft has thrown in the towel on XBOX. Only thing left for Microsoft to do is announce cancellation of next gen console altogether and do layoffs. I don’t know when that will happen but it’s inevitable at this point.