Xbox Prices Jump Up to $150 in Third Increase in 13 Months

Microsoft is raising prices on its Xbox Series X and S consoles by up to $150, effective August 1, marking the third price hike in just over a year. According to CNBC, the 512GB Xbox Series S will increase by $100 to about $499.99, while all 1TB models will rise by $150. Gematsu reported that the company is also discontinuing the 2TB Xbox Series X model.

This latest increase follows two previous rounds: a global price hike in May 2025 and a U.S.-only increase of $20-$70 in October 2025, as noted by PureXbox. The repeated adjustments reflect what TechRaptor described as "broader trends of rising costs in console gaming." Microsoft has now raised prices on every storage tier available.

Microsoft attributed the move to surging component costs, particularly for storage and memory. Xbox.com stated that console storage and memory prices have risen by more than 2.5 times, with expectations of "further doubling by fall 2027." Insider-Gaming quoted the company warning that these cost increases could lead to additional price hikes down the line.

xbox.comMicrosoft to Raise XBOX Console Prices by Up to $150 Starting August 2026

"The ongoing component shortage crisis... despite a previous increase in October 2025, further increases have become unavoidable."

The price adjustments apply worldwide and coincide with significant leadership changes at Microsoft. Variety noted that the hikes come under new CEO Asha Sharma, who replaced longtime chief Phil Spencer earlier this year, and reported that the company has also undergone "significant layoffs." The combination of rising input costs and corporate restructuring signals a challenging period for the Xbox brand.

VarietyXbox Raises Console Prices by Over $100 for Second Time in a Year