Microsoft raises Xbox prices $100–$150 Aug. 1

Xbox prices – Microsoft will increase prices on Xbox Series X/S consoles worldwide on August 1, with 512GB models rising by $100 and 1TB versions by $150. The company says the latest round is driven by spiking memory and storage costs, warning prices could more than double

For the third time since the latest Xbox generation arrived, Microsoft is asking buyers to pay more—this time with the price tag jumping by as much as $150 starting August 1.

The announcement landed on Thursday, just hours after Apple boosted prices across several product lines. Put together, the message to shoppers is brutal: holiday gaming may cost significantly more, and consoles are starting to feel less like routine entertainment and more like a luxury purchase.

Microsoft says its popular Xbox game consoles will increase by $100–$150 on August 1. The 512 GB models will go up by $100, while the 1 TB versions will increase by $150. The Xbox configuration with the highest available storage—2 TB—will be discontinued entirely.

In a blog post, Microsoft explained that it hoped the last increase would hold.

“Last October, we increased XBOX console price by $20-$70 in the U.S. We hoped another price increase would not be necessary. and we have spent the last several months working with suppliers on options. ” Microsoft said. “Unfortunately. console storage and memory prices have increased by more than 2.5x and we expect another doubling by the fall of 2027.”.

This round applies worldwide. It is also the third time Microsoft has raised prices on its latest Xbox generation, after increases in May and October 2025. The Xbox Series X is now $250 to $300 more expensive than it was when it launched in 2020.

Across the wider consumer electronics market. Microsoft is pointing to the same culprit: a memory shortage that has rippled through pricing for multiple devices. The company said the shortage has impacted a broad range of consumer electronics companies. many of which have raised prices in the last 8 months.

That pressure isn’t limited to gaming. Computers, which also rely on memory and storage chips, have become more costly to produce. Apple followed suit on Thursday, boosting prices for MacBook and iMac, along with the iPad, Apple TV, HomePod, and Vision Pro—by as much as $300.

Microsoft also laid out why consoles feel the squeeze more sharply than some other categories. “The entire consumer electronics industry is struggling with the current components crisis. but the effects are particularly hard on consoles. ” Microsoft said. “Unlike phones. computers. speakers. and other consumer devices. consoles are typically not sold at a profit. but instead for less than they cost to make.”.

The gaming market’s competing platforms are not insulated. Microsoft’s chief rivals in the gaming wars, PlayStation and Nintendo, have both previously announced price increases for the PS5 and Nintendo Switch 2, respectively.

Still, Microsoft tried to soften the blow with programs aimed at making consoles more accessible. In its blog post announcing the coming price hikes. Microsoft shared details on initiatives it said “make XBOX consoles more accessible. ” including buy-now-pay-later and interest-free financing services. The company also described efforts to make previously used game consoles available via retailers to purchase.

The timeline is now locked: the price increases take effect on August 1. after a pattern of adjustments that began earlier this generation and has only accelerated as memory and storage costs surged. As Microsoft prepares to discontinue the 2 TB model and raise the price floor for other storage tiers. the industry’s broader components crunch is effectively turning a once-routine purchase into a costlier decision for more households.

Microsoft Xbox prices Xbox Series X memory shortage storage costs console price hike August 1 512GB $100 1TB $150 2TB discontinued buy-now-pay-later interest-free financing