Xbox fans, brace yourselves: Microsoft is hiking up console prices yet again, and it’s all about those pesky component costs! Starting August 1, expect to pay $100 more for the 512GB Xbox Series S and an extra $150 for 1TB models. Meanwhile, the 2TB Xbox Series X is getting the boot. Ouch!
This marks the third price increase since 2025 for consoles that have been around for nearly six years. So, why the spike? Microsoft’s pointing the finger at rising storage and memory prices—more than 2.5 times higher than before! And they’re expected to double by 2027. AI companies (yes, Microsoft included) are gobbling up memory and storage for massive data centers, driving up costs for everyone. The whole consumer electronics industry is feeling the heat, not just Xbox. Even Valve’s Steam Machine and other consoles are seeing price jumps.
To soften the blow, Microsoft is rolling out options like buy now, pay later programs and zero percent APR financing through Amazon. But if you’re eyeing a new Xbox, it might be worth checking out second-hand or certified refurbished models. With Xbox leaders reshuffling the division to cut costs, it’s a rocky time for the gaming giant. Keep an eye out for further updates, especially if you’re planning to upgrade your console soon!
Photo by Mahmoud Yahyaoui on Pexels
