Gaming

Microsoft increases Xbox Series X|S prices by $100 to $150: component crisis forces major step

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Microsoft increases Xbox Series X|S prices by $100 to $150: component crisis forces major step

From August 1, Xbox Series X|S consoles will cost $100 to $150 more. Microsoft attributes the price increase to a doubling of storage and memory prices. The 2TB model will also be discontinued.

Microsoft is increasing the sales prices of Xbox Series X|S worldwide as of August 1, 2026. The 512GB models will be $100 more expensive, the 1TB models $150. At the same time, the 2TB model is being discontinued.

The decision follows a smaller price increase of $20 to $70 last October in the United States. At the time, Microsoft hoped a new increase would not be necessary. "Unfortunately, storage and memory prices have risen by more than 2.5 times, and we expect another doubling by fall 2027," the company writes in a note on Xbox Wire.

Component crisis hits consoles harder than other devices

According to Microsoft, all consumer electronics are affected by the component crisis, but consoles are hit disproportionately hard. "Unlike phones, computers, and speakers, consoles are typically not sold at a profit, but below cost price." That makes manufacturers extra vulnerable to rising purchase prices for memory and storage.

The announced increases are more substantial than the previous price step. The 2TB model, which served as a premium option for users who install many games digitally, is being completely eliminated.

Microsoft introduces alternative payment options

To soften the higher entry prices, Microsoft announces several programs:

Microsoft offers, among other things, a 'Buy Now, Pay Later' option, allowing players to pay for Xbox hardware in interest-free installments.

Additionally, interest-free financing is available through partners, with terms that may vary by region.

Pre-owned consoles: Microsoft is working with retailers on trade-in programs. Those who trade in their old console receive cash or store credit. The traded-in units are then resold at a lower price.

Certified Refurbished: In Microsoft Stores, certified refurbished consoles are available for up to $100 below the suggested retail price.

Microsoft emphasizes that the Xbox Series S remains the cheapest way to access the biggest releases of this year, including Assassin's Creed Black Flag Resynced, Call of Duty: Modern Warfare 4, Gears of War: E-Day, Grand Theft Auto VI, Halo: Campaign Evolved, and Madden NFL 27.