Microsoft is implementing significant price increases across its Xbox product lineup.
The company announced today that it will raise prices for Xbox consoles, controllers, headsets, and selected games. While console and accessory adjustments take effect immediately on May 1st, game pricing will remain unchanged for now. However, Microsoft plans to introduce new first-party titles at $79.99 during the upcoming holiday season.
These price adjustments apply worldwide, though headset increases will only affect the U.S. and Canadian markets.
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Here's the updated pricing structure for Xbox products in the U.S. market:
Xbox Series S 512GB - $379.99 (previously $299.99)
Xbox Series S 1TB - $429.99 (previously $349.99)
Xbox Series X Digital - $549.99 (previously $449.99)
Xbox Series X - $599.99 (previously $499.99)
Xbox Series X 2TB Galaxy Special Edition - $729.99 (previously $599.99)
Xbox Wireless Controller (Standard) - $64.99
Xbox Wireless Controller (Color Variants) - $69.99
Xbox Wireless Controller (Special Edition) - $79.99
Xbox Wireless Controller (Limited Edition) - $89.99 (previously $79.99)
Xbox Elite Wireless Controller Series 2 (Core) - $149.99 (previously $139.99)
Xbox Elite Wireless Controller Series 2 (Complete) - $199.99 (previously $179.99)
Xbox Stereo Headset - $64.99
Xbox Wireless Headset - $119.99 (previously $109.99)
Regional pricing details are available on Xbox's official announcement page.
Microsoft provided IGN with this explanation for the pricing adjustments:
"We recognize these changes present challenges for our community. This decision reflects careful evaluation of current market conditions and increasing development costs. Moving forward, we remain committed to expanding gameplay possibilities across devices while delivering exceptional value to Xbox players."
While specific $79.99 titles haven't been confirmed, potential candidates include the next Call of Duty installment, the delayed Fable reboot, Perfect Dark's revival, Clockwork Revolution from inXile, Rare's Everwild, Gears of War: E-Day, Hideo Kojima's OD, or State of Decay 3. Double Fine, known for Psychonauts, is also developing a new project.
Microsoft will share more details during its June showcase events, including the Xbox Games Showcase 2025 and The Outer Worlds 2 Direct.
This marks the first price adjustment for Xbox Series S since its 2020 launch, contrasting Microsoft's 2022 commitment to maintain prices when PlayStation increased PS5 costs. While Xbox Series X saw a 2023 price hike in most regions (excluding the U.S.), Game Pass subscriptions have undergone multiple global price increases.
Though the magnitude of these increases may surprise consumers, the decision itself aligns with industry trends. Sony recently implemented similar PlayStation price adjustments in the UK, Europe, Australia, and New Zealand - its second such increase in three years.
The gaming industry has been gradually transitioning to higher price points, with premium titles climbing from $60 to $70 over the past five years. Nintendo plans to release Switch 2 exclusives like Mario Kart World at $80, with the console itself launching at $450 - a price point that drew criticism despite analysts acknowledging economic realities.
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These developments preceded Nintendo's need to reevaluate pricing due to fluctuating U.S. tariffs. While the console retained its $450 price tag, accessories weren't as fortunate. Analysts speculate potential post-launch adjustments, with the Entertainment Software Association noting broader industry implications:
"The timing of Nintendo's Switch 2 announcement coinciding with new tariff policies created unfortunate optics. This impacts the entire gaming ecosystem - from consoles to VR headsets, smartphones, and PC gaming platforms. The effects will be industry-wide."
"American manufacturers also face challenges, as components must cross borders for production. This isn't company-specific - the entire industry will experience significant repercussions from these economic conditions."
Regardless of platform preference, gamers face increasingly expensive hobby costs across the board.